Zim's Econet Wireless achieves record growth
- Published on 25 July 2012
Zimbabwean operator Econet Wireless has released its 2011 annual report ahead of its Annual General Meeting (AGM) scheduled for Friday, 27 July, with the mobile telecommunication company saying it has maintained its market leadership and sustained over 70% mobile market share.
The company's chairman Tawanda Nyambirai on Tuesday said subscribers during the year increased by 16% to reach 6,4 million.
"The country’s mobile penetration rate increased to 74% from 66% during the period under review," said Nyambirai.
He said in the last three financial years the business invested $614 million into the network.
Nyambirai said this investment had widened the competitive gap by increasing the market share to over 70% in just under four years.
Commenting on operations review, Nyambirai said EcoCash, a Mobile Money Transfer (MMT) product, was launched during the year and had achieved unprecedented success.
"Over one million subscribers were registered in less than six months since the launch of the product in September last year," he said.
Nyambirai said revenue for the year was $ 611,1 million, representing growth of 24% from the previous year.
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) increased by $ 48,1 million to $ 290,8 million, resulting in growth of 20%.
Profit after tax for the year was $165,7 million compared to $141,0 million for 2011, representing an increase of 18%.
"Due to the massive investments that the business has made the future looks bright.
"The products introduced by the business are experiencing exponential growth," Nyambirai said regarding the company's outlook.