Safaricom PLC has reported a 35.9% increase in net income to KES 58.2 billion for the six months ended September 30, 2026. The growth was driven by strong performance in both Kenya and Ethiopia. The company's financial results show a significant improvement in its overall performance. Safaricom's management attributes the growth to effective execution across its businesses. The company's revenue growth was supported by an increase in service revenue.
In Kenya, Safaricom's service revenue rose 11.3% to KES 216 billion, while earnings before interest and tax (EBIT) increased 13.7% to KES 101.8 billion. This marks the first time the company's EBIT has crossed the KES 100 billion mark in a half-year reporting period. M-PESA revenue grew 13.6% to KES 100.1 billion, also surpassing KES 100 billion for the first time in a six-month period. More than half of all M-PESA transactions remained free or zero-rated during the period.
Safaricom's Ethiopian operation recorded significant growth, with service revenue increasing 71.6% to KES 10.6 billion. The growth was supported by an expanding customer base, with three-month active customers increasing 38.4% to 15.4 million. The Ethiopian operation narrowed its EBITDA loss by 96.5% to KES 434.4 million. Safaricom is targeting EBITDA break-even in Ethiopia by the end of the current financial year.
According to Peter Ndegwa, Group CEO of Safaricom, the company's performance reflects strong execution across its businesses. He noted that Ethiopia's sustained growth and commercial momentum brings the company closer to its target of achieving EBITDA break-even by the end of the financial year. Safaricom Chairman Adil Khawaja said the results demonstrate the resilience of the business and the strength of its strategy.
Beyond its financial performance, Safaricom reported that its foundations had impacted more than 1.5 million lives through education, healthcare, and economic empowerment programmes during the half-year. The company also reported that 60,000 young players have participated in the fifth season of the Safaricom Chapa Dimba football tournament. This highlights the company's commitment to corporate social responsibility.
Safaricom's group service revenue increased 13.1% to KES 226.1 billion, while EBITDA grew 27.5% to KES 129.2 billion. The company's financial performance is a significant improvement from the same period last year. The growth in revenue and EBITDA demonstrates the company's ability to execute its strategy.
The company's strong financial performance is a positive indicator for its future prospects. With a growing customer base and increasing revenue, Safaricom is well-positioned for continued growth. The company's target of achieving EBITDA break-even in Ethiopia by the end of the current financial year is also a key focus area.
Key points
- Safaricom's net income increased 35.9% to KES 58.2 billion.
- The company's Ethiopian operation narrowed its EBITDA loss by 96.5% to KES 434.4 million.
- Safaricom's M-PESA revenue grew 13.6% to KES 100.1 billion.
