Dar es Salaam. Vodacom Tanzania has more than tripled its profit after tax for the third quarter to Sh53.4 billion as customers for mobile money and data increased.
The company, listed on the Dar es Salaam Stock Exchange (DSE), said in a statement that the rise in profitability for the third quarter that ended on December 31, 2024, is also driven by strong commercial execution and sustained investment in network expansion and digital services.
The company’s net profit after tax increased by about 200 percent to Sh53.4 billion from Sh17.7 billion recorded during the same period in 2023, according to the company’s statement.
The growth was underpinned by a 20.5 percent rise in service revenue, fuelled by double-digit gains in M-Pesa and data services.
Vodacom Tanzania’s managing director, Mr Philip Besiimire, expressed satisfaction with the company’s financial trajectory despite some operational challenges.
“I am pleased with the execution of our commercial strategy, which navigated us through some headwinds while still delivering strong growth,” he stated.
M-Pesa, the company’s flagship mobile financial service, continued to be a key revenue driver, recording a 28.8 percent growth, while data revenue rose by 23.6 percent, he said.
The increase in customer base also played a pivotal role in Vodacom’s performance, with mobile subscribers growing 15.0 percent to 22.0 million and data customers increasing by 16.9 percent to 11.6 million.
The number of data users increased by 16.9 percent to 11.6 million, highlighting ever-growing demand for data services.
“This growth was driven by our ongoing investment in data network infrastructure and effective commercial strategies in acquiring and retaining customers, while also growing their usage, including driving increased adoption of smartphones,” said Mr Besiimire, adding that the company rolled out 109 new 4G sites, bringing the total to 3,172 sites during the quarter.
He said such investments supported a 27.3 percent increase in data traffic, with 4G traffic growing 42 percent annually, constituting 84 percent of total data traffic.
Cost-saving initiatives and favourable foreign exchange conditions also bolstered profitability. Vodacom Tanzania said it achieved cost savings of Sh15.2 billion, while the appreciation of the Tanzanian shilling against major currencies contributed positively to the bottom line.
Mr Besiimire reaffirmed the company’s commitment to sustained growth, saying he’s optimistic about the potential for a stable political and regulatory environment to support the company’s ambition of “connecting Tanzanians for a better future.”
The telecoms provider continues to invest in digital and financial services, with a focus on expanding smartphone penetration, increasing network resilience, and enhancing M-Pesa’s suite of products.
Recent initiatives include M-Wekeza, a collective investment platform, which aims to deepen financial inclusion by allowing M-Pesa users to invest in securities and stocks via mobile.
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Tanzania Declares Marburg Outbreak – Africa CDC Mobilizes Immediate Response
Addis Ababa, January 20, 2025</Strong> — Tanzania has declared a Marburg virus disease (MVD) outbreak after confirming one case and identifying 25 suspected cases in the Kagera Region of Northwestern Tanzania. The Marburg virus, a highly infectious and often fatal disease, is similar to Ebola and is transmitted to humans from fruit bats and monkeys. This outbreak marks the nation’s second encounter with the deadly virus, following the outbreak in Bukoba District of Kagera Region in March 2023, which resulted in nine cases and six deaths.
In response to this urgent threat, the Africa CDC is mobilizing strong support to help Tanzania contain the outbreak. A team of twelve public health experts will be deployed as part of an advance mission in the next 24 hours. The multidisciplinary team includes epidemiologists, risk communication, infection prevention and control (IPC), and laboratory experts to provide on-ground support for surveillance, IPC, diagnostics, and community engagement.
The Director-General of Africa CDC, Dr. Jean Kaseya, has engaged with Tanzania’s President Samia Suluhu Hassan and the Minister of Health to ensure coordinated efforts and secure political commitment for the response.
“Africa CDC stands firmly with Tanzania in this critical moment. To support the government’s efforts, we are committing US$ 2 million to bolster immediate response measures, including deploying public health experts, strengthening diagnostics, and enhancing case management. Building on Tanzania’s commendable response during the 2023 outbreak, we are confident that swift and decisive action, combined with our support and those of other partners, will bring this outbreak under control,” Dr. Kaseya stated.
Africa CDC has recently supported efforts to enhance the diagnostic and sequencing capacity of public health laboratories in Tanzania. PCR Test kits and genomic sequencing reagents have been dispatched, with additional supplies in the pipeline. To ensure rapid identification and confirmation of cases, the institution will also provide technical assistance to strengthen detection and genome sequencing for better characterization of the pathogen. Additionally, support will be provided to improve case management protocols and enhance the capacity to deliver safe and effective treatment.
Africa CDC is committed to working closely with the Government of Tanzania, regional partners, international organizations, and global stakeholders, including the World Health Organization, to stop the spread of the Marburg virus.
Source: allafrica.com
