Ethio Telecom reports jump in profits

Details: Manny Pham; Category: Operators; 11 July 2024; 8997 views

Ethiopian state-owned operator Ethio Telecom announced revenues and profits surged over 20% in its full year ending in June.

Ethio Telecom CEO Frehiwot Tamiru (pictured) said in a news conference revenue grew 22% to ETB93.7 billion (US$1.63 billion), and net profit increased 21% to ETB21.79 billion, Reuters reported.

Total subscribers rose 9% to 78.3 million and subscribers to mobile money platform Telebirr grew from 34.3 million to 47.55 million.

Ethiopia announced plans to float 10% of shares in Ethio Telecom in February but the plan has yet to attract a buyer.

Prior to that the government mulled putting 45% of shares on the market, a move to remain competitive against incoming rivalry at the time from Safaricom. Orange revealed itself as a candidate for the shares but pulled out as it was seeking over 50%.

Orange Middle East and Africa CEO Jerome Henique explained to Developing Telecoms at MWC Barcelona a partial stake would not enable Orange to deploy its operating model in Ethiopia. The chief executive has left the door open to a potential future deal.

Ethiopia is seen as one of the last bastions of growth for the telecoms sector with its large 100 million population. The government opened its economy to international businesses in 2018, paving the way for Safaricom to mount its challenge against Ethio Telecom.