M-Pesa and Data Drives Safaricom’s Growth as Profit Dips

Safaricom has announced its half year financial result for 2011/2012. The company’s profit after taxation decreased by 47.4% to stand at 4.0 Billion from 7.6 Billion last year. Active subscriber base grew by 8% to stand at 18.1 Million. Of the the subscribers 82.4% have M-Pesa are so are also registered as per the CCK requirement.

Generally Safaricom’s revenue grew by 5.3% to stand at 49.6 Billion in the last 6 months. Of that Data revenue grew by 30.4% to stand at 14.6 Billion while M-Pesa revenue grew by a massive 49.3% to stand at 7.9 Billion. There was a growth of 36.3% in broadband revenue which stands at 3.1 Billion in September 2011.

Some interesting stats from the Safaricom Half year results;

  • M-Pesa agents now stand at 32,000 with the client base growing by 9.8% to stand at 14.9%
  • Ksh 314 Billion ($3.15 bn) worth of M-Pesa transactions were moved in the six months
  • 82.4% of Safaricom’s clients are now using M-Pesa
  • 43% growth in Safaricom data clients to stand at 5.1 Million
  • Mobile and Fixed Data revenue grew by 36.3% to stand at 3.1 Billion
  • Safaricom controls 92% of Kenya’s data market according to CCK
  • 52% of Safaricom network is now 3G active
  • Safaricom rolling out 21Mbps 3G network but is also testing 42Mbps network in some areas
  • Safaricom not pursuing the fibre-to-home ideas as it get some lessons over experience with the same
  • Fixed data clients up by 92% to stand at 6,177 from 3,223 in September 2010
In the data sector, around 20% of data users are bringing in 80% of the revenue. This might be due to many factors including lack of content and low penetration nationally. SMS revenue decreased by 0.4% as many of the lotteries which generated much revenue decreased. Also voice charges decreased and thus subscribers would rather call than SMS in more instances.
ARPU decreased by 3.9% to stand at Ksh 438.9. Data ARPU on the other hand, increased marginally.
Full release of the half year results can be found hereย

Written by Robert

Respected Kenyan blogger, tech evangelist, and social justice activist. Robert is known for his hard-hitting articles and opinions disseminated through his Twitter handle @RobertAlai or Facebook page (

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