South Africa: Vodacom Group Grows Customer Base And Increases Revenue
In the 12 months leading to the end of March 2018, Vodacom reported that it had won 7 million new customers in its core group operating markets of South Africa, DRC, Lesotho, Tanzania and Mozambique making the sum of its customer base 73.8 million.
Should Vodacom add that of Safaricom, in which it holds a 35% stake, it would mean the company has an additional 8.4 million customers (including 1.4 million at Safaricom). This figures would take its acclaimed total customer base to 103 million not forgetting the 30 million customers at Safaricom.
The majority of the customer gains happened in South Africa, where the network provider gained 4.5 million new customers taking its total to a whopping 41.6 million.
According to the Vodacom's Group CEO, Shameel Joosub: "Our huge investment move and tireless efforts to drive revenue diversification and digital transformation across the group are having the desired effect. This move is changing the way we operate, which means we are well positioned to pursue new and exciting growth opportunities as we seek to make the lives of people better through building a connected society. With the future in sight, we are encouraged by renewed economic and political stability in most of our operations in some African regions.
Josoob added that Vodacom's operations had benefitted immensely from stability in the foreign exchange and macro-economic communities which is expected to bring a higher degree of predictability to the results across the markets in which they are operating.
"These developments are encouraging to us, and we are counting on our three-year targets of mid-single-digit service revenue growth, mid-to-high single digit EBIT growth and capital intensity of 12 percent to14 percent of Group revenue, to build on this momentum.