Home > Business, Money Matters, Zimbabwe > Econet earnings rise by 20%

Econet earnings rise by 20%

HARARE- Zimbabwe’s biggest telecommunications firm Econet Wireless reported an 20 percent jump in full-year earnings, driven by subscriber growth following a $184 million investment to expand its mobile phone network.
Chief executive Douglas Mboweni said on Tuesday Econet was in negotiations with international banks for a $307 million loan to further expand the network, a sum that would also include the rolling over of some current credit lines.He did not give details, citing discussions with the financiers.Econet’s basic earnings per share rose to $1 in the year-ended February, from $0.83 the previous year.

Subscriber numbers grew 16 percent to 6.4 million in the year, driving revenue up to $611 million from $493.5 million previously.

After-tax profit was $165.7 million, up from $141 million for 2011.

Mboweni told an analysts’ briefing the firm had invested $184 million on expanding the network, bringing the total investment to $614 million in the three years since Zimbabwe dumped a local unit ravaged by hyperinflation for foreign currencies, mostly the U.S dollar.

The use of foreign currencies under a unity government set up by President Robert Mugabe and his rival, Prime Minister Morgan Tsvangirai, three years ago after disputed 2008 polls has stabilised the economy and helped lift some companies.

Mboweni said while there was still strong demand for voice and data offerings in Zimbabwe, Econet had diversified its revenue streams by introducing a mobile money transfer service which mainly targets people with no access to banking services.

Econet controls 70 percent of Zimbabwe’s mobile phone market and is in competition with VimpelCom’s local unit Telecel and state-owned NetOne.

  1. click here
    May 5, 2012 at 8:20 pm

    Keep Fighting. You’ve got Come to be Oneself On track GO Have Them!

  2. May 8, 2012 at 9:15 pm

    This kind of publish had been extremely nicely created, you’ll take pride in includes many beneficial information. I enjoyed your professional way with words this particular post. You earn it quite simple will comprehend.

  3. May 11, 2012 at 8:20 pm

    Thanks for your posting on the traveling industry. I’d also like to add that if you’re a senior considering traveling, it is absolutely crucial to buy traveling insurance for retirees. When traveling, seniors are at greatest risk of experiencing a healthcare emergency. Obtaining the right insurance coverage package on your age group can look after your health and give you peace of mind.

  1. No trackbacks yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: