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Airtel makes N121bn from voice calls in Nigeria in H1 2019, posts N500.2bn revenue

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Airtel makes N121bn from voice calls in Nigeria in H1 2019, posts N500.2bn revenue

Airtel Africa’s H1 2019 financial statement for the period ended September 30, 2019, shows that revenue for the group hit $1.6 billion (N500.2 billion).

Airtel Africa’s financial year begins in the second quarter of the year. Consequently, Q3 2019 becomes half-year for Airtel.

The results show that Nigerians spend more on voice calls than the rest of Africa where Airtel operates.

Also, the average amount spent by Nigerians on Airtel grew, while the rest of Africa dropped.

Earnings before interest, taxes, depreciation and amortization (EBITDA) stood at $719 million as against $649 million in 2018, representing an increase of 10.9%.

Rad also: IGR: Lagos, Rivers top list as states, FCT generate N691 billion for H1 2019

EBITDA margins provide investors with a snapshot of short-term operational efficiency. This measure is similar to other profitability ratios, but it can be especially useful for comparing companies with different capital investment, debt and tax profiles.

Profit before tax was $316 million compared to $122 million in 2018. This represents a jump of 158.4%.

The telco’s profit after tax stood at $228 million as against $204 million in 2018, representing 11.9% increase.

Earnings per share dropped to $6.3 in 2019 from $15.5 in 2018, marking a drop of 59.4%.

The total customer base for the group stood at 103.9 million as against 94.1 million in 2018, representing a 10.4% increase.

Nigeria operations

Revenue from Nigeria operation – Airtel’s biggest market – stood at $640 million as against $520 million in 2018, which marks an increase of 23.2%. Revenue from voice calls increased by 13.2% from $352 million in 2018 to $398 million in 2019.

Revenue from data also increased by 75.9% from $113 million to $199 million. Other revenue dropped by 20.9% from $55 million to $43 million.

The average revenue per user (ARPU) stood at $2.8 as against $2.6 representing a 6.4% increase. This means on average a subscriber on the Airtel network spent $2.8.

The total customer base grew by 15.6% to 39.5 million from 34.2 million in 2018.

East Africa operations

For East Africa, revenue grew marginally by 5.8% to $578 million from $546 million in 2019. Out of which voice revenue stood at $296 million as $299 million in 2018, representing a decrease of 0.9%.

Data revenue grew by 8.6% to $144 million from $132 million in 2018. Other revenue grew by 7.6% to $66 million from $61 million in 2018.

Airtel Mobile Money revenue grew by 28.5% to $99 million from $66 million in 2018.

ARPU dropped by 2.1% to $2.2 from $2.3 in 2018. This means on average subscribers spent less in H1 2019.

The total customer base grew by 9.1% from 41.3 million in 2018 to 45 million in 2019.

Rest of Africa operations

Revenue from operations in the rest of Africa dropped by 6.5% to $426 million from $455 million in 2018. Revenue from voice calls also dropped by 14.2% to $265 million from $309 million in 2018.

Data revenue, however, grew by 8.6% to $144 million from $132 million in 2018. Revenue from Airtel Mobile Money and other revenue grew by 48.8% and 7.6% to $99 million and $66 million respectively.

ARPU dropped by 9% to $3.7 from $4.1 in 2018.

The total customer base grew marginally by 3.8% to 19.4 million from 18.6 million in 2018.

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