This archive report was first published on 1 November 2019.
On Friday, Safaricom announced a significant increase in its half-year profit, reaching Ksh35.65 billion for the period ended September 2019. This represents a 14.4% growth from the Ksh31.17 billion posted at the same period the previous year.
As the most profitable company in the East African region, Safaricom's financial performance has been impressive, with the company's full-year profit reaching Ksh63.4 billion for the period ended March 31, 2019.
According to interim CEO Micheal Joseph, the company's revenue streams are diversified, with voice calls accounting for 34.7%, M-Pesa 33.8%, mobile data 15.9%, fixed data 3.7%, and other revenue streams accounting for 5.1% of the profit.
“Customer growth remained strong in the first half of this year and we have more than doubled our net additions versus last year,” said Mr. Joseph during the release of the results.
The company's balance sheet shows a significant growth in profit before tax, standing at Ksh51.7 billion, up from Ksh45.63 billion the previous year, marking a 13.3% growth.
Active M-Pesa customers increased to 23.61 million, while mobile data customers soared to 20.19 million, contributing to the company's overall growth.
As a significant contributor to the Kenyan economy, Safaricom's financial performance has a substantial impact on the country's GDP, with the company currently contributing 6.3% to the economy.
