On Monday, Vodacom Group reported that its earnings for the full-year had increased by 8.9%, yet could not make a call on current financial year outlook.
The company also announced that it will postpone the issuance of medium-term targets. This is due to the instability of the economy following the coronavirus disease.
Vodacom reported a surge in its fiber customer pool in the with over 60,000 users, in the second half of the year.
In the year ended March 31, South Africa saw a gain of 2.3% in service revenue. This was attributed to a rise in data traffic which recorded an increase of 6.7% in enterprise service and 21.5% in financial service revenue.
Vodacom and its competitor MTN were overcharging their data and thus the regulator forced the two to reduce data prices accordingly. This saw a drop in service revenue in the first half of the year. This was however compensated by the second half’s gains.
The group anticipates more gains following the increased usage of data. With increased home-based learning and working, data usage is going to surge.
Across the globe, Vodacom also recorded an increase in service revenue of 12.5%. This is traced to additional 4million new users, increased demand for mobile money transfer, and the increased number of data users.
As a result, the company recorded a high of 5% group service revenue and group revenue amounting to 90.7 billion, a high of 4.8%.
The price of the group’s shares was 126.40 rand, a 2.38% jump.
More focus is now redirected on network capacity to meet the increased demand from home data users.