Safaricom profit hits Sh38.1bn, 80pc to pay dividends

May 11, 2016
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CEO Bob Collymore attributes the jump to increase in customer numbers as well as rise in the use of data and text messaging/FILE
CEO Bob Collymore attributes the jump to increase in customer numbers as well as rise in the use of data and text messaging/FILE

, NAIROBI, Kenya, May 11- Safaricom has recorded a 19 per cent rise in net profit for the year 2015 to Sh38.1 billion from Sh31 billion recorded in the year 2014.

CEO Bob Collymore attributes the jump to increase in customer numbers as well as rise in the use of data and text messaging.

“Two things; growth in customers we are now at 25 million customers and of course the other thing we have seen an increase in the use of not just voice but data and texts,” Collymore said.

However Sh30.48 billion will go to paying dividend to shareholders which represents 80 percent of the total net income.

The company has recommended a dividend of 76 cents per share to shareholders.

“In light of the strong performance in the past year, the board has recommended a dividend of Sh0.76 per share, an increase of 18.9 percent,” Collymore said.

Mobile penetration in Kenya now stands at 87.7percent as at December 31, 2015, with Safaricom having a subscriber market share of 64.7 percent.

Total service revenue increased by 13.8 percent to Sh177.8billion with voice service revenue growing by 3.9percent to Sh90.8billion.

M-PESA revenue increase by 27.2 percent to Sh41.5billion while messaging revenue grew by 10.6 percent to Sh17.2billion.This was driven by a 19percent growth in 30 day active M-PESA customers to 16.6 million and a growth in M-PESA agent foot print to 100,744.

Lipa na M-PESA payments made at 44,000 outlets in March grew by 74 percent to Sh20 billion.

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