Telkom SA reports 5.5% increase in revenue to USD1.2bn in H1 FY2016

16 Nov 2015

South African telecoms operator Telkom has reported group revenue of ZAR16.782 billion (USD1.166 billion) for the six months ended 30 September 2015 (H1 FY2016), an increase of 5.5% year-on-year, driven by mobile data turnover and higher fixed line subscription revenue. This was partly offset by the continuing decline in fixed line voice usage, due to mobile substitution, and leased line revenues, as a result of customers migrating to newer and cheaper technologies. EBITDA for the six-month period also increased, to ZAR5.040 billion, up 15.1% from ZAR4.379 billion in H1 FY2015, while profit slumped to ZAR606 million (down 43.8% from ZAR1.078 billion).

Telkom said that mobile net revenue jumped by 40.5% to reach approximately ZAR1.200 billion in the first half of the firm’s 2016 financial year, attributable to a 68.5% y-o-y rise in mobile data revenue and an increase in wireless subscribers (up 11.5% to 2.257 million). ADSL subscribers, meanwhile, saw growth of 4.2% to 1.012 million at the end of September 2015.

South Africa, Telkom South Africa