Econet revenue grow 133pc in FY24

Business Writer

Econet Wireless, Zimbabwe’s largest telecoms operator, has posted an inflation-adjusted revenue of $14.8 trillion for the financial year 2024, marking a significant 133 percent growth compared to the previous year.

This robust performance is underpinned by strategic investments in network modernisation, which saw voice and data volumes grow by 34 percent and 36 percent respectively. The company’s focus on cost optimisation has also paid off, yielding a profit margin exceeding 45 percent.

However, the company was not immune to the challenges posed by Zimbabwe’s volatile economic environment.

The depreciation of the local currency contributed to exchange losses of $3,2 trillion, equivalent to 22 percent of revenue, a slight improvement from the 23 percent recorded in the prior year.

Despite these setbacks, the retirement of debentures in October 2023 significantly reduced the Group’s exposure to foreign currency denominated obligations, positively impacting profitability.

In his statement, Dr. James Mayers, the group chairperson, expressed cautious optimism about the future, highlighting the potential of the newly introduced Zimbabwe Gold (ZiG) currency.

“While our financial statements have been affected by hyperinflation, we are hopeful that the new ZiG currency will bring much-needed stability to the economy. This presents a unique opportunity for our business to capitalise on a more stable financial environment,” he said.

Looking ahead, Econet is positioning itself for sustained growth and innovation. Dr. Mayers emphasized the company’s commitment to driving digital inclusion and enhancing customer experiences.

“As we look to the future, our business is poised for growth, innovation, and transformation. We are committed to delivering exceptional customer experiences, driving digital inclusion, and harnessing the power of technology to shape a better tomorrow,” he added.

The optimism surrounding the ZiG currency is expected to play a crucial role in Econet’s strategic initiatives, potentially unlocking new avenues for expansion in the evolving Zimbabwean market.