Vodacom released its quarterly update for the period ended 30 June 2014. Vodacom holds a current market cap of R187.6bn and is trading at a price to earnings ratio of 14.08. Its share price is up 9.65% over the last year.
Overview of results:
- Group revenue increased 4.3% (2.7%*) to R18 287 million
- Group service revenue increased 1.8% to R14 897 million, up 5.0% excluding cuts in mobile termination rates (MTRs)
- Group data revenue increased 23.2% to R3 584 million, now 24.1% of service revenue
- Group active customers grew 15.6% to 59.6 million and active data customers(1) grew 36.7% to 25.3 million
- South Africa service revenue declined 2.0% due to MTR cuts, 2.0% increase excluding impact of MTRs
- International service revenue up 17.3% (7.8 %*) supported by strong customer growth and M-Pesa
Shameel Joosub, Vodacom Group CEO commented, “In the past year we’ve added more than eight million new customers, taking our active customer base to just shy of 60 million. Group revenue for the quarter was R18.3 billion, an increase of 4.3% over last year. Data and the International businesses have once again been the largest contributors to growth, and the entire business is seeing the benefit of our sustained investment programme.”
* Represents normalised growth at a constant currency (using current period as base). Refer to the SENS report for a reconciliation of normalised growth.
1. Excluding M2M customers
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