MTN's 'controversy-free' time in Nigeria may be short-lived

Time ticking for
MTN Nigeria

'controversy-free time' may be short-lived.

ITWeb Africa

Monday, Feb 17th

Zimbabwe's Econet stumbles as economy falters

Zimbabwe's Econet stumbles as Zim economy falters.

Revenue generation for Zimbabwe's Econet Wireless tumbled 17.7% for the half year period to the end of August, the company announced Wednesday, highlighting, however, that income from value added services was strengthening.

The company has mobile network, mobile money, mobile insurance and vehicle tracking services among other operations.

It has also ventured into banking after buying out former chairman Tawanda Nyambirai's controlling interest in TN Bank, which has since been rebranded as Steward Bank.

Zimbabwean mobile companies have complained of the impact that a government directive to reduce mobile voice tariffs has had on revenue generation.

Econet Wireless said revenue for the half year period declined from $323 million from the previous contrasting period's revenue position of $392.3 million.

Subscribers had nearly stagnated after rising by a smaller 1.8% margin to 9.1 million. Experts argue that the Zimbabwean mobile market has reached saturation in a country that has a population of about 13 million and includes operators such as NetOne, which has around 3 million subscribers, as well as Telecel Zimbabwe with a subscriber base of approximately 2.5 million.

"Zimbabwe is to ramp up gold production to 18 tonnes this year although platinum and chrome output is expected to be lower as mining companies in the mineral rich southern African country grapple with power outages, a worsening economy and increased revenue demands from the government," Econet said in a statement accompanying its financial report for the period under review.

After tax profits for the period tumbled from $49.6 million in the 2014 interim period to $23.8 million in the half year period to the end of August 2015. Basic earnings per share also fell from 3.2 cents in the prior year comparative period to 1.5 cents.

ALSO ON ITWEB AFRICA

What of Vodafone Ghana's economic future? Published on 12 February 2020

Transfer of control of the company to Vodacom Group reignites speculation over company's local listing.

Zimbabwean entrepreneur invents tech that turns a tree into a Wi-Fi hub Published on 03 February 2020

Trees of Knowledge' will convert trees and rural landmarks into educational Wi-Fi hubs in Africa.

Is your organisation prepared for the coronavirus? Published on 11 February 2020

Organisations should consider the direct and indirect impacts of the pandemic when evaluating whether they are prepared for the coronavirus, says Padma Naidoo, General Manager: Advisory Services at ContinuitySA.