Airtel Africa has recorded strong double-digit growth in the year ending March 2022 in revenues across all their regions and all their key services, with improving margins driven by strong cost control, and expanding cash generation which is enabling the telco to continue to invest in its network and services and expand their distribution.
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Looking at the financials, the reported revenue for Airtel Africa grew by 20.6% for the year, to $4,714m, and 17.8% for Q4. Constant currency underlying revenue grew 23.3% for the year and 19.1% in Q4. Constant currency underlying revenue growth was strong in all regions: Nigeria up 27.7%, East Africa up 22.7%, and Francophone Africa up 17.2%; and across all key services, with revenue in Voice up 15.4%, Data up 34.6%, and Mobile Money up 34.9%.
The company reports that the operating profit grew by 37.2% to $1,535m in reported currency. These figures strengthen the telco‘s balance sheet and definitely increases returns to shareholders. Profit after tax grew by 82.0% to $755m. Airtel Africa now boasts of a customer base of 128.4 million, up 8.7%, with increased penetration across mobile data (customer base up 15.2%) and mobile money services (customer base up 20.7%). NIN/SIM regulations in Nigeria impacted customer growth in H1, but then returned to strong growth, adding 4 million customers in Nigeria during H2’22.
Segun Ogunsanya, chief executive officer, said in a statement that “We have successfully executed on a number of strategic initiatives in the year, with tower sales completed in four countries, $550m of minority investments secured for our mobile money business, and a successful buyout of minorities in our Nigerian operation. Our receipt last month of a full PSB license in Nigeria will help us to accelerate financial inclusion in the territory and drive our mobile money business even faster.”
“While mindful of currency devaluation and repatriation risks, we continue to work actively to mitigate all our material risks and to deliver value for all our stakeholders. There are increasing challenges from global inflationary pressures, but we continue to target revenue growth ahead of the market and moderate margin expansion,” he added.
