Safaricom, which owns a majority stake of 51.7% in Safaricom Ethiopia, is required to consolidate 100% of the earnings from its Ethiopian joint venture, as per International Financial Reporting Standards (IFRS). This means that despite the majority of the earnings being attributable to other shareholders in Safaricom Ethiopia, the parent company had to reflect these in its consolidated financials. The resulting forex losses had a direct bearing on the Group’s reported revenue and profits for the earnings period. Revenue Growth in EthiopiaDespite the negative impact of the Birr’s devaluation, Safaricom’s service revenues grew by 12.9%, reaching KSh 177.5 billion for the period under review. Mobile data remains the primary revenue driver for Safaricom Ethiopia, contributing 76.9% of its total service revenue.

Source: Ethiopian News November 18, 2024 08:56 UTC