Telkom has posted its group annual results for the year ended 31 March 2017, which show an increase in operating revenue for the company.
Telkom’s operating revenue increased to R40.97 billion for the year end, up from R37.33 billion in 2016.
Net operating revenue was up 7.9% to R31.85 billion, while EBITDA was down 0.3% to R10.94 billion.
The company stated that HEPS were up 12.4% to 731.4 cents per share for 2017. The annual dividend increased 56.3% to 422 cents per share, added Telkom.
Mobile on the up
One of the standout numbers was Telkom’s increase in mobile revenue and subscribers.
Mobile service revenue was up 38.4% to R3.50 billion.
Active mobile subscribers were up 47.7% to 3.999 million. This was comprised of 2.772 million prepaid users and 1.227 million post-paid users.
The prepaid and postpaid segments saw growth of 44.9% and 54.5% respectively over the past year.
Other sectors which saw increases included:
- IT revenue up 70.5% to R7.55 billion.
- Data revenue up 5.8% to R12.15 billion.
“I am pleased with our solid performance, which was boosted by the integration of BCX and the robust performance of our mobile business,” said Telkom CEO Sipho Maseko.
“The mobile business continued to be the star performer of the group, and delivered service revenue growth of 38.4% and EBITDA of R660 million after four years of recording EBITDA losses.”
“This was a result of an expansion in our network, extension of our distribution channels, and the launch of innovative products,” said Maseko.