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Airtel Africa Grows Revenue by 21.7% in 9 Months

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Airtel Africa has recorded a revenue growth of 21 per cent in nine months.

This is contained in a statement by the Chief Executive Officer, Mr Segun Ogunsanya, made available on Friday in Lagos.

Ogunsanya said that the revenue represented a growth of 21.7 per cent when compared with 2.87 million dollars recorded in the comparative period of 2020.

He said that the result was the effective execution of company’s strategy  across all its regional segments and key services.

Ogunsanya said the underlying revenue in constant currency grew by 24.8 per cent, revenue in Nigeria grew by 29.0 per cent, East Africa by 24.4 per cent and Francophone Africa rose by 19.0 per cent.

“We continued our strong double-digit growth across all key services: our voice revenue grew by 16.1 per cent, and both data revenue and mobile money revenue grew by 37.2 per cent and other revenue by 22.0 per cent.

“As a result, mobile services revenue grew by 23.3 per cent in constant currency (20.7 per cent in reported currency) and mobile money services revenue grew by 37.2 per cent (39.6 per cent in reported currency).

He said the year-on-year constant currency revenue growth rate for Q3’21 of 20.0 per cent was lower than the nine months growth rate of 24.8 per cent primarily due to softer comparatives in the first quarter of the prior year during the peak period of COVID-19 related restrictions across the region.

“A strong third quarter has contributed to a pleasing nine-month financial performance across all key metrics.

“Operationally, we have continued to execute on our network and distribution expansion plans, driving continued strong growth in ARPUs across voice, data and mobile money.

“We have also seen further improvement in our customer growth trends for the Group with Nigeria returning to strong customer growth after a period affected by the implementation of ‘know your customer’ requirements, posting 1.9 million net additions in the third quarter, taking total Group customer additions to 3.1 million.

“I am particularly pleased with developments in Nigeria, when in November we received approval in principle for both a payment service bank (mobile money) licence and a super-agent licence.

“We are now working closely with the Central Bank to meet all its conditions to receive the final operating licences and commence operations.

“This will enable us to expand our digital financial products and reach the millions of Nigerians that do not have access to traditional financial services.

“We continued to strengthen our balance sheet, with our leverage ratio now 1.4 times underlying EBITDA, thanks both to continued increases in operating cash flow delivery and to over 550 million dollars of cash that has now been received from minority investments into our mobile money business,” he said.

Ogunsanya added that the company would continue to invest in expanding and evolving its platform to further deepen both financial and digital inclusion across Africa.

“I continue to see huge growth potential across voice, data and mobile money and our strategy is delivering against this opportunity.

“Our sustained investments in both network and distribution expansion will help to ensure that both the communities and economies across our footprint will continue to benefit from increased and affordable connectivity and financial inclusion.

“We are committed to continue to improve the delivery of our services to our customers, with sustainability at the heart of our continued purpose to transform lives across Africa.

“Net finance costs were lower compared with the previous period driven by lower forex losses.

“The increase in tax charges of 129 million dollars was due to higher operating profit and withholding tax on dividends by subsidiaries, with the prior period also benefitting from 14 million dollars deferred tax credit recognition,” he said.

Ogunsanya said the company’s basic Earnings Per Share (EPS) improved to 11.7 cents and EPS before exceptional items improved to 11.5 cents, with higher profits more than offsetting the associated increased tax.

“Our balance sheet has also been further de-risked by continued localisation of our debt into the OpCos,” he added.


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Telecom

MobileCoreX Taps Wireless Technology Labs in Multi-Million Dollar Deal to Build New Mobile Core Network across Nigeria

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Wireless Technology Labs (WTL) today announced that it has been chosen by MobileCoreX Ltd (MCX), Nigeria’s premier Mobile Virtual Network Enabler (MVNE), to spearhead the development of the country’s first mobile virtual network in a landmark deal valued at millions of US dollars over the next three years. 

This initiative aims to enhance mobile connectivity for Nigeria’s 220+ million residents, addressing the current challenges of low broadband penetration and poor quality of service.

Nigeria’s telecom sector is predominantly dominated by four major operators—MTN, Airtel, Globacom, and 9Mobile – with only 29% of Nigerian’s 220+m population regularly accessing the mobile internet, (GSMA figures) due to poor coverage and a variety of other issues.

In Q2 of 2023, the Nigerian Communications Commission (NCC) adopted a new strategy to boost coverage and adoption, it issued 43 Mobile Virtual Network Operator (MVNO) licenses to amplify service coverage, particularly in unserved and underserved regions.

Amongst the licensee’s was MCX which obtained a tier 4 MVNE license aimed at constructing new mobile network infrastructure to provide capacity for emerging MVNOs as a platform as a service.

“Coverage, poor quality of service, costs and inflexible value propositions in Nigeria have persisted for too long.

“We are committed to leveraging innovative technology to create more competitive networks that reduce costs for consumers and provides value propositions that suite that needs,” stated Mr. Habib Ahmed, CEO of MCX.

He emphasized WTL’s pivotal role in delivering the carrier-grade core systems required for a comprehensive suite of mobile services, encompassing voice, data, and value-added features to meet the diverse needs of MVNO clients.

WTL, headquartered in Belgium, with over 20 years of experience, has been active in Nigeria and across Africa, working with operators of all sizes to rollout both urban and rural networks, work which has garnered it widespread recognition and industry awards.

The company has already partnered with two of the 43 new MVNOs licensed by the NCC, showcasing its commitment to enhancing telecom infrastructure in the region.

Mr. Satya Mekala, CEO of WTL “This partnership is about empowering a new entrant to make significant impact in the telecom market.

“We are committed to supporting MCX in its journey from a newcomer to a major player in the industry.

“Our advanced Core systems will ensure that MCX can offer reliable, scalable, and innovative mobile services from day one”.

As the telecom industry in Nigeria undergoes transformative changes, this collaboration signals a promising future for mobile connectivity and digital adoption in the country.

WTL will be showcasing its capabilities at upcoming events including MVNO Nation 2024 in Valencia, 6-8 November and The Africa Tech Festival in Cape Town, 12-14 November, further reinforcing its commitment to driving digital adoption across the continent and the globe.

To learn more about how WTL can help with the rollout of MVNO/E urban and rural networks in Africa, please email [email protected]


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Edo State Launches Data Centre in Benin

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Governor Godwin Obaseki of Edo has said that reforms by his administration in the digital and technology space over the last eight years have revolutionised the state.

The Governor who stated this on Friday at the launch of the Edo State Digital Policy and Edo Data Centre, disclosed that was the first data centre owned by a state in Nigeria.

According to him, his reforms had repositioned Edo as a leading state in digital inclusion in Nigeria, adding that his government was leveraging technology as a catalyst for socio-economic development and inclusive growth.

He said: “I welcome you to the only data center owned by a state in Nigeria. This event is significant because we have started a revolution in Edo State, a digital revolution. We are rounding up with a policy statement that will guide this revolution into the future.

“The population of Edo is scaled towards the youths as they are born in a digital age. The future is digital. It will be difficult to navigate the world today without technology. If you want to develop and grow rapidly, you must begin to think of how to use technology.

“The pace of the advancement of technology in the world today is scary. So, just imagine those who have not started yet; I don’t think they can live in the future world. In Edo, we have always been ahead in our history. We have been a knowledgeable people as we interacted at a global level over 500 years ago on our own level.

“To catch up, we had to do something else and different. That was why from the beginning it was clear to us that we had to introduce technology and make sure that we begin to retrain our young ones, the youths, to own this digital world and the confidence in it.”

Obaseki added: “We have moved Edo into the digital superhighway and to operate on that superhighway, they must know the rules and must be guided by certain rules and practices. That is what we are doing today and incorporating in this policy document. This will enable everybody to understand the shape of this high way and what they need to do on this high way.”

The governor continued: “I had the privilege of working with young people in Edo State and working together, we set up EdoJobs and the Edo Innovate Hub as these have helped our young people and till date, over 50,000 young men and women have benefited from various training and programmes from Edo Innovate. We have been lucky to build a digital ecosystem which has grown rapidly.

“Years ago, as the Chairman of the State’s Economy Team, we set up the ICTA but we struggled all through but we kept it alive, and set up the law governing it. The agency is principally responsible for providing technology for the government.

“I am proud today of what we have done in Edo State which is all-encompassing as no aspect of government in Edo State that has not been digitized or in the process of digitization. All Government jobs have been digitized, and it is not difficult to operate in Edo as files can’t miss again.”

He said: “Technology has made it easy for our children to learn in school through the EdoBEST programme. We have over 400,000 children in our public schools. We have data in all our public schools, teachers, parents and ward of our pupils.

“You can go to any of our primary healthcare centers today without seeing your records, especially if you have registered and with our health insurance. Security, healthcare, agriculture, education and other areas, we have introduced technology.

 


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IHS Nigeria Donates Solar-powered Boreholes to Support Flood Victims in Maiduguri, Borno State

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IHS Nigeria, part of the IHS Holding Limited (NYSE: IHS) (“IHS Towers”) group, one of the largest independent owners, operators, and developers of shared communications infrastructure in the world by tower count, has announced the donation of four solar-powered boreholes to support victims of recent floods in Maiduguri, Borno State.

The donation, which will be delivered through the United Nations Children’s Fund’s (UNICEF) emergency flood response, will help address the most urgent needs of flood-affected populations in Borno State, especially those displaced following flooding in Maiduguri Metropolitan Council, Jere and Konduga LGAs.

The response by IHS Nigeria and UNICEF will help mitigate the impact of the flood and the risk of waterborne diseases for nearly 20,000 people, including vulnerable groups such as pregnant women and young mothers, children, and patients visiting health centers.

The four solar-powered boreholes donated by IHS Nigeria will be constructed in displaced peoples’ settlements and other temporary displacement sites.

This will include in densely populated areas without access to a safe water source, at schools to help facilitate the early return of children to classes, and at health centers, which are also used as Outpatient Therapeutic Program sites and provide nutrition services and counselling for pregnant women, young mothers, and malnourished children.

Mohamad Darwish, CEO, IHS Nigeria, said, “We empathize with the government and people of Borno State and extend our sympathies to those who lost loved ones and properties in the flood.

“We are aware that as people begin to return to their homes and communities with flood waters receding, they continue to face major risk factors, including damaged and contaminated water sources.

“A key priority for us, which informed our donation of these boreholes, is to help prevent or limit outbreaks of communicable diseases such as cholera, while improving water, sanitation and hygiene (WASH) services for affected populations.

This donation is an extension of our partnership with UNICEF, which since 2021 has supported the provision of WASH facilities to over 6,000 beneficiaries and enabled the delivery of over one million preventive and curative treatments for tropical diseases related to WASH.”

Cristian Munduate, UNICEF Representative in Nigeria, said, “UNICEF is very grateful to IHS Nigeria for their generous donation of solar-powered boreholes, which comes at a critical time for communities affected by recent floods in Borno State.

“This contribution will not only provide essential safe water to thousands, but also protect vulnerable populations, including children, from the threat of waterborne diseases, and support communities as they work to start rebuilding their lives and livelihood.

“Together with IHS Nigeria, we are making significant strides in safeguarding children and families, and strengthening resilience through our shared commitment to water, sanitation and hygiene services in emergencies.”

IHS Nigeria’s long-standing partnership with UNICEF was recently demonstrated by the visit of Kitty van der Heidjen, UNICEF’s Deputy Executive Director, Partnerships, and her team to the company’s Head Office in Lagos.

Kitty van der Heidjen expressed her appreciation for the ongoing partnership with IHS Nigeria in empowering the country’s youth through education and digital connectivity. Under UNICEF’s Generation Unlimited (GenU) Project, designed to improve digital learning in Nigeria, IHS Nigeria has helped provide internet connectivity to 800 educational institutions between 2022 and 2024.

Through a collaborative partnership with UNICEF that began in 2019, IHS Nigeria has invested more than $4 million in various initiatives, including GenU 9ja, COVID-19 interventions, oxygen plant installations, WASH initiatives and school connectivity.

 


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