airtel africa

Airtel Africa plc has released its full-year results for the period ending March 31, 2024, highlighting strong underlying growth momentum amidst a volatile macroeconomic environment.

Key Highlights:

  • Customer Growth: Total customer base increased by 9.0% to 152.7 million. Data customers grew 17.8% to 64.4 million, with data usage per customer rising 20.8%. Mobile money subscribers increased by 20.7%.
  • Network Expansion: Continued network investment resulted in 95% of sites now offering 4G coverage, leading to a 42.3% increase in 4G customers.
  • Revenue Growth (Constant Currency): Group revenue grew by 20.9% in constant currency, with Nigerian revenue accelerating to 34.2% in Q4’24 despite economic challenges. Reported currency revenue declined 5.3% to $4,979 million due to currency devaluation, particularly in Nigeria.
  • Financial Performance:
    • EBITDA: Group EBITDA remained strong at 48.8% despite currency headwinds and inflationary pressures. Constant currency EBITDA increased 21.3%, while reported currency EBITDA declined 5.7% to $2,428 million.
    • Loss After Tax: A loss of $89 million was reported, primarily due to significant foreign exchange losses arising from currency devaluation in Nigeria and Malawi.
    • EPS: Basic EPS was negative (4.4 cents) compared to 17.7 cents last year. EPS before exceptional items was 10.1 cents, a decline of 25.9%.
  • Capital Allocation: Capex was $737 million, flat year-over-year, with a focus on data center investments. The company also invested $152 million in license renewals and spectrum acquisitions.
    • Share Buyback: A share buyback program of up to $100 million over 12 months was approved. During March 2024, $9 million was spent repurchasing 7.4 million shares.
    • Dividend: The Board recommended a final dividend of 3.57 cents per share, bringing the total dividend for FY24 to 5.95 cents per share.
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Sustainability Initiatives:

  • Partnered with UNICEF to provide free educational resources to over one million children across 13 markets by 2027.
  • Collaborated with the Government of Rwanda to launch “ConnectRwanda 2.0,” aiming to provide affordable smartphones to over a million people.

Management Commentary:

Airtel Africa CEO, Olusegun Ogunsanya, highlighted the company’s “Win with” strategy as a key driver of constant currency revenue growth, mitigating the impact of currency headwinds. He emphasized the focus on affordable offerings, network expansion, and balance sheet management to navigate challenges. Ogunsanya reiterated the company’s commitment to reducing currency exposure and expressed confidence in Airtel Africa’s future growth prospects.

Financial Tables:

GAAP measures
(Year ended) 

Description

Mar-24

Mar-23

Reported
currency

$m

$m

change

Revenue

4,979

5,255

(5.3%)

Operating profit

1,640

1,757

(6.7%)

(Loss)/Profit after tax

(89)

750

(111.9%)

Basic EPS ($ cents)

(4.4)

17.7

(124.9%)

Net cash generated from operating activities

2,259

2,229

1.4%

 

Alternative performance measures (APM) 1
(Year ended)

Description

Mar-24

Mar-23

Reported
currency

Constant
currency

$m

$m

change

change

Revenue

4,979

5,255

(5.3%)

20.9%

EBITDA

2,428

2,575

(5.7%)

21.3%

EBITDA margin

48.8%

49.0%

(22) bps

14 bps

EPS before exceptional items ($ cents)

10.1

13.6

(25.9%)

Operating free cash flow

1,691

1,827

(7.4%)

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Nigel Jr.
As a tech enthusiast and expert, Nigel Jr. is dedicated to providing in-depth and insightful content on all things technology. With a background in online journalism, product reviewing, and tech creation, Nigel has become a trusted source for all things tech.

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