Business - Companies
Updated: October 24, 2020

Airtel Africa Surviving On Nigerian Subscribers As Revenue Grows By 10.7%

By Olalekan Fakoyejo
October 24, 2020
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Nigerian subscribers gave Airtel Africa its highest revenue growth, as the telecommunications company generated $1.815 billion during the period ended September 31, 2020. According to a statement obtained by AllNews, Airtel Africa also recorded customer base growth of 12.0%.

Nigeria Is Airtel Africa's Most Lucrative Market

AllNews gathered that Airtel Africa, the parent company of Airtel Nigeria, secured 20.2% revenue growth in Nigeria, placing the country as its highest market in sub-Saharan Africa. Airtel Africa has over 39.79 million voice subscribers and data subscriber base of over 54.76 million in Nigeria

While combining other countries into the region, the company disclosed that East Africa reported a growth of up to 21.9% and Francophone Africa up 4.4%. Also, Operating profit for the period was $472 million; this reflected an increase of 19.5%.

Services That Pushed The Revenue Growth

The revenue for the period under review surpassed the $1.640 billion generated in the corresponding period of 2019. The $1.85 million revenue was driven by growth from voice revenue (calls) which went up by 7.0%, data by 33.4%, and mobile money by 30.4%.

To further breakdown the revenue sourced from these services, AllNews gathered that voice revenue was $972 million, Data revenue hit $548 million, mobile money revenue clocked $181 million, while another revenue was put at $164 million.

PBT And PAT Fall Amidst Rising Revenue

Despite the growth in its revenue, Profit Before Tax dropped in the period under review, as it hit $281 million, below the $316 million it reported in the corresponding period of 2019.

Also, the Profit After Tax also declined, as Airtel Africa reported $145 million for the period ending September 2020, failing to surpass the $228 million it posted for the corresponding period of last year.