REG - Airtel Africa PLC - Q1 Results
24/07/2025 07:00
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RNS Number : 3321S Airtel Africa PLC 24 July 2025
Airtel Africa plc
Results for quarter ended 30 June 2025
24 July 2025
Strong operating and financial performance reflects effective execution of
strategy and consistent demand across our markets
Operating highlights
· Our total customer base grew 1 (#_ftn1) by 9.0% to 169.4 million,
with data customers increasing 17.4% to 75.6 million as the focus on bridging
the digital divide across our markets continues. This, alongside a 4.3%
increase in smartphone penetration to 45.9%, contributed to accelerating
demand for data services with data ARPU growth accelerating to 18.5% in
constant currency(1) as data usage across our network increased by 47.4%.
· Airtel Money continues to play a pivotal role in fostering financial
inclusion with a 16.1% increase in customers to 45.8 million. As use cases
continue to expand, customers are increasingly engaging with a wide range of
offerings supporting a 35% increase in annualised transaction value to $162bn,
and ARPU growth of 11.3% in constant currency.
· Our strategic focus on great customer experience is underpinned by
sustained network investment with the rollout of over 2,300 new sites to reach
37,579 sites and an expansion of our fibre network by 2,700 kms to over 79,600
kms. This investment continues to drive increased data capacity across the
region with 4G population coverage reaching 74.7% - an increase of 3.4% from a
year ago.
Financial performance
· Revenues of $1,415m saw strong growth of 24.9% in constant currency
and 22.4% in reported currency as currency headwinds continue to ease over the
last three quarters. The acceleration in constant currency revenue growth from
the previous quarter reflects not only the impact of the tariff adjustments in
Nigeria, but also a strong performance in Francophone Africa reflecting the
continued execution of our strategy focussed on the customer experience.
· Across the Group, mobile services revenue grew by 23.8% in constant
currency, driven by voice revenue growth of 13.9% and data revenue growth of
38.1%. Mobile money revenues continued to see a strong growth trajectory, with
30.3% growth in constant currency.
· EBITDA grew by 29.8% in reported currency to $679m with
EBITDA margins expanding further to 48.0% from 45.3% in the prior period
driven by continued operating momentum, more stable fuel prices and sustained
benefits from our cost efficiency programme.
· Profit after tax of $156m improved from $31m in the prior period. The
prior period was significantly impacted by derivative and foreign exchange
losses, primarily in Nigeria, while the current period benefitted from a $22m
gain largely arising from the Central African franc (CFA) appreciation during
the quarter.
· Basic EPS of 3.4 cents compares to 0.2 cents in the prior period,
predominantly reflecting higher operating profit in the current period and
derivative and foreign exchange losses in the prior period. EPS before
exceptional items increased from 2.3 cents in the prior period to 3.4 cents,
as higher operating profits more than offset the impact of higher finance
costs arising from the tower contract renewals undertaken during the previous
financial year.
Capital allocation
· Capex of $121m was lower compared to the prior period, driven largely
by timing differences. Capex guidance for the full year remains between $725m
and $750m.
· We continued with our debt localisation programme aimed to reduce our
foreign currency debt exposure with almost 95% of our OpCo debt (excl. lease
liabilities) now in local currency, up from 86% a year ago.
· Leverage has increased from 1.6x to 2.2x (an improvement from 2.3x in
Q4'25), primarily reflecting the $1.3bn increase in lease liabilities arising
from the tower contract renewals, as previously disclosed. Lease-adjusted
leverage remains flat at 0.9x.
· Since the commencement of the second tranche of the share buyback for
$55m, the company has returned $16.9m to shareholders following the purchase
of 7.1 million ordinary shares as of 30 June 2025.
Sunil Taldar, chief executive officer, on the trading update:
"We are very pleased with the strong growth in our operating and financial
performance in the first quarter. The strength of this performance, and the
scale of the growth we achieved, reflects the sustained demand for our
services and the strength of our business model to meet these demands.
Operationally, the acceleration in customer base growth to 9%, and 17.4%
growth in our data customers to 75.6m reflects the strong on-ground execution
with a relentless focus on digitisation and the simplification of the customer
experience. Our strategy continues to prioritise the customer experience, as
demonstrated by the launch of Airtel Spam Alert-an AI-powered solution aimed
at enhancing trust and delivering a safer network environment. This
underscores our commitment to leveraging technology to lower barriers to
smartphone adoption. With smartphone penetration at only 45.9%, we see
significant headroom to drive further adoption and play a key role in bridging
the digital divide.
Mobile money remains a cornerstone of our current and future growth
proposition. With our customer base approaching 46 million and expanding by
over 16%, we see significant potential to further advance financial inclusion
through the continued growth of our financial services offering. The continued
expansion of our mobile money portfolio and the advancement of enterprise and
digital payments contributed to a 35% growth in annualised transaction value
to $162bn. We will continue to focus on technology and the range of product
offerings to deliver a differentiated experience for our customers.
The provision of these essential services and the strategic focus on providing
a great customer experience underpinned the acceleration in constant currency
revenue growth to 24.9%, translating into reported currency revenue growth of
over 22% as currencies stabilise. This strong revenue performance and
continued cost efficiencies contributed to further EBITDA margin expansion
which resulted in strong EBITDA growth of approximately 30%, and we remain
focussed on further margin improvements subject to macroeconomic stability.
With a strong balance sheet and sustained network investment, I remain
confident about our ability to capture the available growth potential across
our markets and remain committed to efficiently and effectively delivering
services that help to improve the lives, communities and economies we serve."
GAAP measures
(Quarter ended)
Description Jun-25 Jun-24 Reported
currency
$m $m change
Revenue 1,415 1,156 22.4%
Operating profit 446 335 33.0%
Profit after tax 156 31 408.1%
Basic EPS ($ cents) 3.4 0.2 1832.3%
Net cash generated from operating activities 568 414 37.4%
Alternative performance measures (APM)2 (#_ftn2)
(Quarter ended)
Description Jun-25 Jun-24 Reported Constant
currency
currency
$m $m change change
Revenue 1,415 1,156 22.4% 24.9%
EBITDA 679 523 29.8% 32.7%
EBITDA margin 48.0% 45.3% 276 bps 282 bps
EPS before exceptional items ($ cents) 3.4 2.3 48.6%
Operating free cash flow 558 376 48.4%
About Airtel Africa
Airtel Africa is a leading provider of telecommunications and mobile money
services, with operations in 14 countries in sub-Saharan Africa. Airtel
Africa provides an integrated offer to its subscribers, including mobile
voice and data services as well as mobile money services both nationally and
internationally.
The company's strategy is focused on providing a great customer experience
across the entire footprint, enabling our corporate purpose of transforming
lives across Africa.
Enquiries
Airtel Africa - Investor Relations
Alastair Jones +44 7464 830 011
Investor.relations@africa.airtel.com +44 207 493 9315
(mailto:Investor.relations@africa.airtel.com)
Hudson Sandler
Nick Lyon
Emily Dillon
airtelafrica@hudsonsandler.com (mailto:airtelafrica@hudsonsandler.com) +44 207 796 4133
Conference call
Management will host an analyst and investor conference call at 13:00pm UK
time (BST) on Thursday 24 July 2025, including a Question-and-Answer session.
To receive an invitation with the dial in numbers to participate in the event,
please register beforehand using the following link:
Conference call registration link
(https://services.choruscall.eu/DiamondPassRegistration/register?confirmationNumber=9954460&linkSecurityString=17ae12d5fc)
Key consolidated financial information
Description Unit of measure Quarter ended
Jun-25 Jun-24 Reported currency Constant currency
change %
change %
Profit and loss summary
Revenue (1) $m 1,415 1,156 22.4% 24.9%
Voice revenue $m 533 476 11.9% 13.9%
Data revenue $m 549 409 34.1% 38.1%
Mobile money revenue (2) $m 290 222 31.0% 30.3%
Other revenue $m 108 100 8.7% 12.4%
Expenses $m (742) (641) 15.7% 18.0%
EBITDA (3) $m 679 523 29.8% 32.7%
EBITDA margin % 48.0% 45.3% 276 bps 282 bps
Depreciation and amortisation $m (233) (188) 24.1% 27.8%
Operating profit $m 446 335 33.0% 35.4%
Other finance cost - net of finance income (4) $m (173) (139) 23.7%
Finance cost - exceptional items (5) $m - (122)
Total finance cost $m (173) (261) (33.9%)
Net monetary losses relating to hyperinflationary accounting $m (1) -
Profit before tax $m 273 74 267.8%
Tax $m (117) (85) 36.4%
Tax - exceptional items (5) $m - 42
Total tax charge $m (117) (43) 169.9%
Profit after tax $m 156 31 408.1%
Non-controlling interest $m (30) (24) 27.1%
Profit attributable to owners of the company - before exceptional items $m 126 87 45.5%
Profit attributable to owners of the company $m 126 7 1792.4%
EPS - before exceptional items cents 3.4 2.3 48.6%
Basic EPS cents 3.4 0.2 1832.3%
Weighted average number of shares million 3,660 3,737 (2.1%)
Capex $m 121 147 (17.7%)
Operating free cash flow $m 558 376 48.4%
Net cash generated from operating activities $m 568 414 37.4%
Net debt $m 5,494 3,728
Leverage (net debt to EBITDA) times 2.2x 1.6x
Lease-adjusted leverage times 0.9x 0.9x
Return on capital employed (6) % 19.3% 22.9% (354) bps
Operating KPIs
ARPU $ 2.8 2.5 12.2% 14.5%
Total customer base million 169.4 155.4 9.0%
Data customer base million 75.6 64.4 17.4%
Mobile money customer base million 45.8 39.5 16.1%
All commentary in the footnotes refers to the quarter ended 30 June 2025, and
the prior period (30 June 2024), unless otherwise stated.
(1) Revenue includes inter-segment eliminations of $65m and $51m for
the prior period.
(2) Mobile money revenue post inter-segment eliminations with mobile
services were $225m and $171m for the prior period.
(3) EBITDA includes other income of $6m and $8m for the prior period.
(4) Other finance cost - net of finance income includes derivative and
foreign exchange gain of $22m in the current period and a loss of $14m in the
prior period which has not been treated as exceptional items.
(5) Exceptional items in the prior period relates to derivative and
foreign exchange losses due to the devaluation of the Nigerian naira, which
resulted in an exceptional tax gain of $42m.
(6) Return on capital employed (ROCE) at 19.3% (Q4'25 was 19.4%) is
lower compared to prior period (Q1'25 was 22.9%) - despite increase in
operating profits - due to an increase in average capital employed resulting
from the tower contract renewals as previously disclosed.
Financial review for the quarter ended 30 June 2025
Revenue
Group revenue in reported currency increased by 22.4% to $1,415m, with constant currency growth of 24.9%. Group mobile services revenue grew by 23.8% in constant currency, supported by data revenues growth of 38.1% and voice revenue growth of 13.9%. Acceleration in constant currency revenue growth was supported by tariff adjustments in Nigeria and a continued improvement in Francophone Africa revenue growth, which accelerated further to 16.4%. In East Africa, constant currency growth also remained strong at 20.3%.
Reported currency revenue growth of 22.4% reflects a more stable macroeconomic environment across our markets. Francophone Africa revenue growth was 19.2% - a premium to the constant currency revenue growth - primarily due to CFA appreciation. In East Africa, reported currency revenue grew 20.9%. In Nigeria, the naira devalued from a weighted average NGN/USD rate of 1,384 in the prior period to NGN/USD 1,585 in the current period resulting in 30.0% growth in reported currency compared to 48.9% in constant currency.
Mobile services revenue at $1,192m grew by 20.8% in reported currency and by 23.8% in constant currency. Mobile money revenue grew by 31.0% in reported currency and by 30.3% in constant currency, driven by strong growth both in East and Francophone Africa.
EBITDA 2
Reported currency EBITDA grew by 29.8% to $679m, while in constant currency, EBITDA increased by 32.7%. Following a more stable operating environment and reflecting the success of our cost efficiency programme, EBITDA margins have increased by 276bps with Q1'25 margins of 45.3% rising to 48.0% in Q1'26.
Mobile services EBITDA increased by 30.9% in constant currency with EBITDA margin at 46.8% expanding 240bps in reported currency. Mobile money EBITDA margins of 52.7% declined 77bps in reported currency primarily due to higher sales and marketing spend during the period to support future growth.
Operating profit
Operating profit in reported currency increased by 33.0% to $446m largely
driven by EBITDA growth of 29.8% in reported currency.
Finance costs
Total finance costs for the quarter ended 30 June 2025 were $173m as compared
to $261m in prior period. Prior period finance costs were impacted by $136m of
derivative and foreign exchange losses (reflecting the revaluation of US
dollar balance sheet liabilities and derivatives following currency
devaluations), of which $122m resulted from the Nigerian Naira devaluation
which was classified as an exceptional item. Current period finance cost had
$22m of derivative and foreign exchange gains largely on account of CFA
appreciation in the quarter. Hence, finance costs excluding derivative and
foreign exchange losses/gains increased from $125m to $195m in the current
period reflecting an increase in interest on lease liabilities due to tower
contract renewals with ATC and I.H.S (tower contract renewals had neutral to
positive impact on cashflows) and increased OpCo market debt. The shift of
foreign currency debt to local currency debt, which carries a higher average
interest rate, also contributed to increase in finance costs in the current
period.
The Group's effective interest rate increased to 12.9% compared to 12.7% in
the prior period.
Exceptional items2
Finance cost - Exceptional Items of $122m in prior periods was related to
derivative and foreign exchange losses following the devaluation of Nigerian
naira during the period. These losses resulted in an exceptional tax gain of
$42m.
Profit before tax
Profit before tax at $273m during the quarter ended 30 June 2025 as compared
to $74m in the prior period. Higher profit before tax in current period as
compared to prior period was on account of higher operating profit and
derivative and foreign exchange gains of $22m in current period as compared to
$136m derivative and foreign exchange losses in the prior period.
Taxation
Total tax charges were $117m as compared to $43m in the prior period. Total
tax charges in the prior period reflected an exceptional gain of $42m, arising
from the exceptional derivative and foreign exchange losses. Excluding
exceptional items, tax charges increased by $32m which was largely a result of
higher profit before tax in the current period and withholding taxes on
dividends paid by subsidiaries.
The effective tax rate was 41.3% compared to 41.0% in the previous financial
year (FY'25). Effective tax rate is higher than weighted average statutory
corporate tax rate of approximately 32%, largely due to the profit mix between
various OpCos and withholding taxes on dividends paid by subsidiaries.
Profit after tax
Profit after tax was $156m during the quarter ended 30 June 2025 as compared
to $31m in the prior period.
Earnings per share
Basic EPS of 3.4 cents compares to 0.2 cents in the prior period,
predominantly reflecting higher operating profits in the current period and
derivative and foreign exchange losses in the prior period.
EPS before exceptional items 3 (#_ftn4) also increased from 2.3 cents in the
prior period to 3.4 cents as higher operating profits due to strong revenue
growth and margin expansion more than offset the impact of higher finance cost
arising on account of tower contract renewals, which had a neutral to positive
impact on cashflows.
Net cash generated from operating activities
Net cash generated from operating activities was $568m, 37.4% higher compared
to $414m in the prior period.
Operating free cash flow
Operating free cash flow was $558m, up by 48.4%, as a result of higher EBITDA
and lower capex during the current period.
Leverage3
Over the year we have continued to improve our debt structure and continued
with debt localisation programme. The proportion of local currency OpCo debt
(excluding lease liabilities) on our balance sheet increased to 95% as of 30
June 2025 from 86% a year ago.
As previously disclosed, the Group introduced a new APM, lease-adjusted
leverage which reduces the volatility in the leverage ratio associated with
lease accounting under IFRS16, improves comparability between periods and
reflects the Group's financial market debt position. Lease-adjusted leverage
remained stable at 0.9x while leverage over the period has increased from 1.6x
to 2.2x (an improvement from 2.3x in Q4'25), primarily reflecting the impact
of tower contract renewals.
Other significant updates
Migration of customers to advanced system verification platform in Nigeria
In May 2025, the Nigerian Communications Commission (NCC) directed Airtel
Nigeria and other operators to transfer all verified unique subscriber records
in the SIM registration database from the existing NIN token system to a more
advanced and secure platform, the High Availability NIMC Verification Service
(HA-NVS). The initial cut-off date for transfer was 27 May 2025 which was
subsequently extended multiple times to address the critical outstanding
issues with respect to the transfer.
Subsequently, the existing NIN token platform was shut down on 26 June 2025
and on 3 July 2025, the NCC released the framework required for HA-NVS
integration. The data migration exercise is still in progress; however, the
new customer onboarding process has commenced effective 23 July 2025.
Partnership with SpaceX
On 5 May 2025, the Company announced an agreement with SpaceX to bring
Starlink's high-speed internet services to its customers in Africa. With this
collaboration, Airtel Africa will further enhance its next generation
satellite connectivity offerings and augment connectivity for enterprises,
businesses and socio-economic communities like school, health centres etc in
most rural parts of Africa.
Currently, SpaceX has acquired the necessary licences in nine out of 14
countries within Airtel Africa's footprint and operating licences for the
other five countries are under process.
Directorate changes
Following the conclusion of AGM on 9 July 2025, Jaideep Paul, chief financial
officer (CFO) has retired from his position as executive director and CFO.
Kamal Dua had become an executive director and assumed the role of CFO
following his appointment at the 2025 AGM.
On 1 April 2025, Cynthia Gordon was appointed as an independent non-executive
director who will serve on the Group's Remuneration Committee.
On 9 July 2025, Akhil Gupta retired as a non-executive director of Airtel
Africa plc in accordance with the announcement made on 13 May 2025.
Update on share buyback programme
On 23 December 2024, the Company announced the commencement of a second share
buyback programme that will return up to $100m to shareholders. This programme
is to be phased in two tranches. The company completed the first tranche on 24
April 2025, returning $45m to shareholders following the purchase of 26.3
million ordinary shares.
Following the completion of the first tranche, on 14 May 2025, the company
announced the commencement of the second tranche of the share buy-back
amounting to a maximum of $55 million which is anticipated to end on or before
19 November 2025. Since the commencement of the second tranche, the company
has returned $16.9 million to shareholders following the purchase of 7.1
million ordinary shares as of 30 June 2025.
Information on additional KPIs
An investor relations pack with information on the additional KPIs and balance
sheet is available to download on our website at www.airtel.africa
(http://www.airtel.africa/investors)
Financial review for the quarter ended 30 June 2025
Nigeria - Mobile services
Description Unit of Quarter ended
measure
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Summarised statement of
Operations
Revenue $m 332 256 29.8% 48.6%
Voice revenue $m 134 112 19.1% 36.7%
Data revenue $m 164 117 40.2% 60.3%
Other revenue (1) $m 34 27 27.3% 46.9%
EBITDA $m 185 123 49.9% 71.7%
EBITDA margin % 55.7% 48.2% 750 bps 751 bps
Depreciation and amortisation $m (67) (49) 37.5% 58.4%
Operating profit $m 110 83 31.6% 48.8%
Capex $m 39 38 1.7% 1.7%
Operating free cash flow $m 146 85 71.1% 108.5%
Operating KPIs
Total customer base million 53.6 50.4 6.3%
Data customer base million 29.3 26.3 11.3%
Mobile services ARPU $ 2.1 1.7 22.7% 40.5%
((1) )Other
revenue includes inter-segment revenue of $1m in the quarter ended 30 June
2025 and in the prior period. Excluding inter-segment revenue, other revenue
was $33m in quarter ended 30 June 2025 and $26m in the prior period.
Revenue grew by 48.6% in constant currency, largely driven by continued
strength in the demand for data services further supported by the full quarter
impact of tariff adjustments. In reported currency, revenues grew by 29.8% to
$332m. The difference in constant and reported currency revenue growth was due
to devaluation in Nigerian Naira from weighted average rate of 1,384 NGN/USD
in Q1'25 to 1,585 NGN/USD in Q1'26. The constant currency revenue growth was
driven by ARPU growth of 40.5%, while our customer base grew by 6.3%.
Voice revenue grew by 36.7% in constant currency, driven by voice ARPU growth
of 29.3%.
Data revenue grew by 60.3% in constant currency, as a function of both data
customer and data ARPU growth of 11.3% and 46.8%, respectively. Data usage per
customer increased by 27.3% to 9.3 GB per month (from 7.3 GB in the prior
period), with smartphone penetration increasing 4.8% to reach 51.4%.
Smartphone data usage per customer reached 11.8 GB per month compared to 9.9
GB per month in the prior period.
EBITDA of $185m improved by 49.9% in reported currency and increased by 71.7%
in constant currency. The EBITDA margin increased 750 basis points to 55.7%,
driven by the strong revenue growth and continued benefits arising from the
cost efficiency programme. The strong margin performance was also supported by
stable fuel prices, and more favourable operating conditions.
Operating free cash flow was $146m, up by 108.5% in constant currency
contributed by EBITDA growth. In reported currency, operating free cash flow
increased by 71.1%, lower compared to constant currency growth, due to lower
reported currency EBITDA growth following the Nigerian naira devaluation.
East Africa - Mobile services (1)
Description Unit of Quarter ended
measure
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Summarised statement of
operations
Revenue $m 498 423 17.6% 16.9%
Voice revenue $m 245 210 16.4% 15.1%
Data revenue $m 207 170 22.1% 21.4%
Other revenue (2) $m 46 43 6.9% 7.7%
EBITDA $m 230 198 16.3% 15.1%
EBITDA margin % 46.1% 46.7% (55) bps (73) bps
Depreciation and amortisation $m (97) (76) 26.3% 25.8%
Operating profit $m 120 108 11.4% 9.6%
Capex $m 43 77 (44.1%) (44.1%)
Operating free cash flow $m 187 121 54.7% 53.3%
Operating KPIs
Total customer base million 79.1 72.0 9.8%
Data customer base million 32.4 27.4 18.3%
Mobile services ARPU $ 2.1 2.0 6.2% 5.6%
((1) ) The East Africa business region includes Kenya, Malawi, Rwanda,
Tanzania, Uganda and Zambia.
((2) )Other revenue includes inter-segment revenue of $4m in the quarter
ended 30 June 2025 and $3m in the prior period. Excluding inter-segment
revenue, other revenue was $42m in quarter ended 30 June 2025 and $40m in the
prior period.
East Africa revenue grew by 17.6% in reported currency to $498m and by 16.9%
in constant currency. Higher reported currency revenue growth as compared to
constant currency was primarily due to Ugandan Shilling appreciation. The
constant currency growth was made up of voice revenue growth of 15.1% and data
revenue growth of 21.4%.
Voice revenues were supported by customer base growth of 9.8% and voice ARPU
growth of 4.0%. The customer base growth was largely driven by expansion of
both increased network coverage and the increasing scale of the distribution
network.
Data customer base growth of 18.3% contributed to the strong performance in
data revenues. We continue to invest in the network and expand our 4G and 5G
network in the region. 1,244 sites are 5G enabled across four key markets.
Data usage per customer increased to 7.1 GB per customer per month, up by
28.8%, with smartphone penetration increasing 3.9% to reach 43.0%. Smartphone
data usage per customer reached 8.8 GB per month compared to 7.0 GB per month
in the prior period.
EBITDA increased to $230m, up by 16.3% in reported currency and up by 15.1% in
constant currency. EBITDA margins of 46.1% as compared to 46.7% in the prior
period.
Operating free cash flow was $187m, up by 53.3% in constant currency, due
largely to EBITDA growth and lower capex during the current period.
Francophone Africa - Mobile services (1)
Description Unit of Quarter ended
measure
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Summarised statement of
Operations
Revenue $m 362 307 17.7% 14.8%
Voice revenue $m 154 154 0.1% (3.0%)
Data revenue $m 178 122 44.9% 41.9%
Other revenue (2) $m 30 31 (2.8%) (4.4%)
EBITDA $m 143 114 25.3% 21.9%
EBITDA margin % 39.5% 37.1% 240 bps 232 bps
Depreciation and amortisation $m (60) (55) 8.4% 5.6%
Operating profit $m 70 46 52.0% 46.9%
Capex $m 31 23 32.8% 32.8%
Operating free cash flow $m 112 91 23.3% 19.2%
Operating KPIs
Total customer base million 36.7 32.9 11.3%
Data customer base million 13.9 10.7 29.9%
Mobile services ARPU $ 3.4 3.1 6.5% 3.9%
((1)) The Francophone Africa business region includes Chad, Democratic
Republic of the Congo, Gabon, Madagascar, Niger, Republic of the Congo, and
Seychelles.
((2) )
Other revenue includes inter-segment revenue of $1m in the quarter ended 30
June 2025 and in the prior period. Excluding inter-segment revenue, other
revenue was $29m in quarter ended 30 June 2025 and $30m in the prior period.
Revenue grew by 17.7% in reported currency and by 14.8% in constant currency.
Higher reported currency revenue growth compared to constant currency was due
to an appreciation in the CFA. The constant currency growth has consistently
accelerated over the last year, reaching 14.8% in Q1'26 from 3.6% in Q1'25
following recovery in market trends and the benefits of sustained network
investment and intensive focus on 'go-to-market' initiatives.
Voice revenue declined by 3.0% in constant currency, as customer base growth
of 11.3% was more than offset by a decline in voice ARPU reflecting
interconnect rate reductions.
Data revenue grew by 41.9% in constant currency, supported by customer base
growth of 29.9%. Our continued 4G network rollout resulted in an increase in
total data usage of 62% and per customer data usage growth of 25.9%. 92% of
sites are now on 4G as compared to 83% in prior period. Data usage per
customer increased to 6.1 GB per month (up from 4.8 GB in the prior period),
with smartphone penetration increasing 4.7% to reach 44.0%. Smartphone data
usage per customer reached 7.3 GB per month compared to 5.9 GB per month in
the prior period.
EBITDA at $143m increased by 25.3% and 21.9% in reported and constant
currency, respectively. The EBITDA margin improved to 39.5%, an increase of
240 basis points, because of continued strong revenue growth.
Operating free cash flow of $112m increased by 19.2% in constant currency, due
to the increase in EBITDA partially offset by higher capex spends during the
quarter.
Mobile services
Description Unit of measure Quarter ended
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Summarised statement of operations
Revenue (1) $m 1,192 986 20.8% 23.8%
Voice revenue $m 533 476 11.9% 13.9%
Data revenue $m 549 409 34.1% 38.1%
Other revenue $m 110 101 9.0% 12.6%
EBITDA $m 558 438 27.3% 30.9%
EBITDA margin % 46.8% 44.4% 240 bps 257 bps
Depreciation and amortisation $m (224) (180) 24.0% 27.5%
Operating profit $m 300 240 24.8% 28.5%
Capex $m 113 138 (18.5%) (18.5%)
Operating free cash flow $m 445 300 48.5% 54.9%
Operating KPIs
Mobile voice
Customer base million 169.4 155.4 9.0%
Voice ARPU $ 1.1 1.0 2.6% 4.4%
Mobile data
Data customer base million 75.6 64.4 17.4%
Data ARPU $ 2.4 2.1 15.0% 18.5%
((1) ) Mobile service revenue after
inter-segment eliminations was $1,190m in the quarter ended 30 June 2025 and
$985m in the prior period.
Overall revenue from mobile services increased by 20.8% in reported currency
and by 23.8% in constant currency. The constant currency growth was evident
across all regions and services.
Voice revenue grew by 13.9% in constant currency, supported primarily by the
continued growth in the customer base by 9.0% as we continue to invest in our
network and enhance our distribution infrastructure. The voice ARPU growth of
4.4% was supported by an increase in voice usage per customer of 1.4%,
reaching 294 minutes per customer per month, with total minutes on the network
increasing by 10.5%.
Data revenue grew by 38.1% in constant currency, driven by both customer base
growth of 17.4% and data ARPU growth of 18.5%. The customer base growth was
recorded across all the regions supported by the expansion of our network. 5G
is operational across five countries, with 1,479 sites deployed. Data usage
per customer increased to 7.8 GB per customer per month (from 6.2 GB in the
prior period), with smartphone penetration increasing 4.3% to reach 45.9%.
Smartphone data usage per customer reached 9.6 GB per month compared to 8.0 GB
per month in the prior period. Data revenue contributed to 46.1% of total
mobile services revenue, up from 41.5% in the prior period.
EBITDA was $558m, up 27.3% in reported currency and by 30.9% in constant
currency. The EBITDA margin improved by 240 basis points year on year to
46.8%, an improvement of 257 basis points in constant currency, following the
strong revenue performance, a more stable operating environment and continued
benefits from the ongoing cost efficiency programme.
Operating free cash flow was $445m, up by 54.9% in constant currency, due to
the increased constant currency EBITDA and lower capex during the period.
Mobile money
Description Unit of measure Quarter ended
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Summarised statement of operations
Revenue (1) $m 290 222 31.0% 30.3%
Nigeria $m 2 1 - -
East Africa $m 216 167 29.6% 29.6%
Francophone Africa $m 72 54 33.5% 30.7%
EBITDA $m 153 118 29.2% 28.2%
EBITDA margin % 52.7% 53.5% (77) bps (90) bps
Depreciation and amortisation $m (6) (5) 36.6% 40.7%
Operating profit $m 143 111 29.2% 28.0%
Capex $m 4 4 0.7% 0.7%
Operating free cash flow $m 149 114 30.3% 29.2%
Operating KPIs
Mobile money customer base Million 45.8 39.5 16.1%
Transaction value $bn 40.5 30.0 35.0% 34.5%
Mobile money ARPU $ 2.1 1.9 12.0% 11.3%
((1)) Mobile money service revenue post inter-segment eliminations with mobile
services was $225m in the quarter ended 30 June 2025 and $171m in the prior
period.
Mobile money revenue grew by 31.0% in reported currency, with constant
currency growth of 30.3%. Higher reported currency revenue growth compared to
constant currency was primarily on account of CFA appreciation. The constant
currency growth was driven by revenue growth in both East Africa and
Francophone Africa of 29.6% and 30.7%, respectively.
The constant currency revenue growth of 30.3% was driven by both our customer
base growth of 16.1% and mobile money ARPU growth of 11.3%. The expansion of
our distribution network supported the customer base growth. ARPU growth was
supported by the increased range of services on offer, resulting in
transaction value per customer growth of 14.9% in constant currency, to $298
per customer per month.
Q1'26 annualised transaction value amounted to $162bn in reported currency.
Mobile money revenue contributed 20.5% 4 (#_ftn5) of total Group revenue
during the quarter ended 30 June 2025.
EBITDA was $153m, up by 29.2% and 28.2% in reported and constant currency,
respectively. The EBITDA margin at 52.7%, a decline of 90 basis points in
constant currency and 77 basis points in reported currency largely on account
of higher sales and marketing spend to drive future growth.
Operating free cash flow was $149m, up by 29.2% in constant currency, due to
the increased constant currency EBITDA.
Regional performance
Nigeria
Description Unit of measure Quarter ended
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Revenue $m 333 256 30.0% 48.9%
Voice revenue $m 134 112 19.1% 36.7%
Data revenue $m 164 117 40.2% 60.3%
Mobile money revenue $m 2 1 - -
Other revenue $m 34 26 28.7% 46.9%
EBITDA $m 185 123 51.1% 73.2%
EBITDA margin % 55.6% 47.8% 777 bps 780 bps
Operating KPIs
ARPU $ 2.1 1.7 22.9% 40.8%
East Africa
Description Unit of measure Quarter ended
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Revenue $m 670 554 20.9% 20.3%
Voice revenue $m 245 210 16.4% 15.1%
Data revenue $m 207 170 22.1% 21.4%
Mobile money revenue $m 216 167 29.7% 29.6%
Other revenue $m 44 41 6.5% 7.3%
EBITDA $m 348 289 20.3% 19.4%
EBITDA margin % 51.9% 52.2% (28) bps (41) bps
Operating KPIs
ARPU $ 2.8 2.6 9.2% 8.7%
Francophone Africa
Description Unit of measure Quarter ended
Jun-25 Jun-24 Reported Constant
currency currency
change
change
Revenue $m 411 345 19.2% 16.4%
Voice revenue $m 154 154 0.1% (3.0%)
Data revenue $m 178 122 44.9% 41.9%
Mobile money revenue $m 72 54 33.5% 30.7%
Other revenue $m 29 30 (3.1%) (4.8%)
EBITDA $m 182 144 26.0% 22.9%
EBITDA margin % 44.2% 41.8% 240 bps 235 bps
Operating KPIs
ARPU $ 3.8 3.5 7.9% 5.3%
Consolidated performance
Description UoM Quarter ended - June 2025 Quarter ended - June 2024
Mobile services Mobile money Unallocated Eliminations Total Mobile services Mobile money Unallocated Eliminations Total
Revenue $m 1,192 290 - (67) 1,415 986 222 - (52) 1,156
Voice revenue $m 533 - - 533 476 - - 476
Data revenue $m 549 - - 549 409 - - 409
Other revenue $m 110 - (2) 108 101 - (1) 100
EBITDA $m 558 153 (32) - 679 438 118 (33) - 523
EBITDA margin % 46.8% 52.7% 48.0% 44.4% 53.5% 45.3%
Depreciation and amortisation $m (224) (6) (3) - (233) (180) (5) (3) - (188)
Operating profit $m 300 143 3 - 446 240 111 (16) - 335
Risk factors
The risk factors summarised below relate to the Group's business and industry
in which it operates. Additional risks and uncertainties relating to the Group
that are currently unknown to the Group, or those the Group currently deems
immaterial, may, individually or cumulatively, also have a material adverse
impact on the Group's business, results of operations and financial position.
The Group's principal and emerging risks and risk management process are
described in our Annual Report and Accounts. Based on the Group's assessment,
there has been no changes to the group's principal risks in the period.
Summary of principal risks
The Group continually monitors its external and internal environment to
identify risks which have the ability to impact its operations, financial
performance or the achievement of its objectives.
1. We operate in a competitive environment with the potential for
aggressive competition by existing players, or the entry of new players, which
could both put a downward pressure on prices, adversely affecting our revenue
and profitability.
2. Failure to innovate through simplifying the customer experience,
developing adequate digital touchpoints in line with changing customer needs
and competitive landscape could lead to loss of customers and market share.
3. Global geopolitical and regional tensions have the potential to
impact our business directly and indirectly due to the interconnectedness of
the global supply chain. Relatedly, adverse macroeconomic conditions such as
rising inflation and increased cost of living not only puts pressure on the
disposable income of our customers but also increases the cost of inputs for
our business negatively impacting sales and profitability.
4. Cybersecurity threats through internal or external sabotage or system
vulnerabilities could potentially result in customer data breaches and/or
service downtimes.
5. Adverse changes in our external business environment and
macro-economic conditions such as supply chain disruptions, increase in global
commodity prices and inflationary pressures could lead to a significant
increase in our operating cost structure while also negatively impacting the
disposable income of consumers. These adverse economic conditions therefore
not only put pressure on our profitability but also on customer usage for our
services.
6. Shortages of skilled telecommunications professionals in some markets
and the inability to identify and develop successors for key leadership
positions could both lead to disruptions in the execution of our corporate
strategy.
7. Our internal control environment is subject to the risk that controls
may become inadequate due to changes in internal or external conditions, new
accounting requirements, delays, or inaccuracies in reporting.
8. Our ability to provide quality of service to our customers and meet
quality of service (QoS) requirements depends on the robustness and resilience
of our technology stack and ecosystem encompassing hardware, software,
products, services, applications and our ability to respond appropriately to
any disruptions. However, telecommunications networks are subject to the risks
of technical failures, aging infrastructure, human error, wilful acts of
destruction or natural disasters.
9. We operate in a diverse and dynamic legal, tax and regulatory
environment. Adverse changes in the political, macro-economic and policy
environment could have a negative impact on our ability to achieve our
strategy. While the group makes every effort to comply with its legal and
regulatory obligations in all its operating jurisdictions in line with the
group's risk appetite, we are however continually faced with an uncertain and
constantly evolving legal, regulatory, and policy environment in some of the
markets where we operate.
10. Our multinational footprint means we are constantly exposed to the risk
of adverse currency fluctuations and the macroeconomic conditions in the
markets where we operate. We derive revenue and incur costs in local
currencies where we operate, but we also incur costs in foreign currencies,
mainly from buying equipment and services from manufacturers and technology
service providers. That means adverse movements in exchange rates between the
currencies in our OpCos and the US dollar could have a negative effect on our
liquidity and financial condition. In some markets, we face instances of
limited supply of foreign currency within the local monetary system. This not
only constrains our ability to fully benefit at Group level from strong cash
generation by those OpCos but also impacts our ability to make timely foreign
currency payments to our international suppliers.
Given the severity of this risk, specifically in some of our OpCos, the Group
management continuously monitors the potential impact of this risk of exchange
rate fluctuations based on the following methodology:
a) Comparing the average devaluation of each currency in the markets in
which the Group operates against US dollar on a ten-year historic basis, and
onshore forward exchange rates over a one-year period, if available.
Additionally, for our Nigerian operations, management uses different
sensitivity analysis for scenario planning purposes which includes the recent
impact of the naira devaluation.
With respect to currency devaluation sensitivity going forward, on a 12-month basis assuming that the USD appreciation occurs at the beginning of the period, a further 1% USD appreciation across all currencies in our OpCos would have a negative impact of $49m - $51m on revenues, $24m - $26m on EBITDA and $25m - $27m on foreign exchange loss (excluding derivatives). Our largest exposure is to the Nigerian naira, for which on a similar basis, a further 1% USD appreciation would have a negative impact of $14m - $15m on revenues, $8m - $9m on EBITDA and $14m - $15m on foreign exchange loss (excluding derivatives).
This does not represent any guidance and is being used solely to illustrate
the potential impact of further currency devaluation on the Group for the
purpose of exchange rate risk management, and assumes all other variables
remain constant. The accounting under IFRS is based on exchange rates in line
with the requirements of IAS 21 'The Effect of Changes in Foreign Exchange'
and does not factor in the devaluation mentioned above.
Based on above-mentioned specific methodology for the identified OpCos,
management evaluates specific mitigation actions based on available mechanisms
in each of the geographies. For further details on such mitigation action,
refer to the risk section of the Annual Report and Accounts which can be
downloaded from our website www.airtel.africa (http://www.airtel.africa)
Forward looking statements
This document contains certain forward-looking statements regarding our
intentions, beliefs or current expectations concerning, amongst other things,
our results of operations, financial condition, liquidity, prospects, growth,
strategies and the economic and business circumstances occurring from time to
time in the countries and markets in which the Group operates.
These statements are often, but not always, made through the use of words or
phrases such as "believe," "anticipate," "could," "may," "would," "should,"
"intend," "plan," "potential," "predict," "will," "expect," "estimate,"
"project," "positioned," "strategy," "outlook", "target" and similar
expressions.
It is believed that the expectations reflected in this document are
reasonable, but they may be affected by a wide range of variables that could
cause actual results to differ materially from those currently anticipated.
All such forward-looking statements involve estimates and assumptions that are
subject to risks, uncertainties and other factors that could cause actual
future financial condition, performance and results to differ materially from
the plans, goals, expectations and results expressed in the forward-looking
statements and other financial and/or statistical data within this
communication.
Among the key factors that could cause actual results to differ materially
from those projected in the forward-looking statements are uncertainties
related to the following: the impact of competition from illicit trade; the
impact of adverse domestic or international legislation and regulation;
changes in domestic or international tax laws and rates; adverse litigation
and dispute outcomes and the effect of such outcomes on Airtel Africa's
financial condition; changes or differences in domestic or international
economic or political conditions; the ability to obtain price increases and
the impact of price increases on consumer affordability thresholds; adverse
decisions by domestic or international regulatory bodies; the impact of market
size reduction and consumer down-trading; translational and transactional
foreign exchange rate exposure; the impact of serious injury, illness or death
in the workplace; the ability to maintain credit ratings; the ability to
develop, produce or market new alternative products and to do so profitably;
the ability to effectively implement strategic initiatives and actions taken
to increase sales growth; the ability to enhance cash generation and pay
dividends and changes in the market position, businesses, financial condition,
results of operations or prospects of Airtel Africa.
Past performance is no guide to future performance and persons needing advice
should consult an independent financial adviser. The forward-looking
statements contained in this document reflect the knowledge and information
available to Airtel Africa at the date of preparation of this document and
Airtel Africa undertakes no obligation to update or revise these
forward-looking statements, whether as a result of new information, future
events or otherwise. Readers are cautioned not to place undue reliance on such
forward-looking statements.
No statement in this communication is intended to be, nor should be construed
as, a profit forecast or a profit estimate and no statement in this
communication should be interpreted to mean that earnings per share of Airtel
Africa plc for the current or any future financial periods would necessarily
match, exceed or be lower than the historical published earnings per share of
Airtel Africa plc.
Financial data included in this document are presented in US dollars rounded
to the nearest million. Therefore, discrepancies in the tables between totals
and the sums of the amounts listed may occur due to such rounding. The
percentages included in the tables throughout the document are based on
numbers calculated to the nearest $1,000 and therefore minor rounding
differences may result in the tables. Growth metrics are provided on a
constant currency basis unless otherwise stated. The Group has presented
certain financial information on a constant currency basis. This is calculated
by translating the results for the current financial year and prior financial
year at a fixed 'constant currency' exchange rate, which is done to measure
the organic performance of the Group. Growth rates for our reporting regions
and service segments are provided in constant currency as this better
represents the performance of the business.
Alternative performance measures (APMs)
Introduction
In the reporting of financial information, the directors have adopted various
APMs. These measures are not defined by International Financial Reporting
Standards (IFRS) and therefore may not be directly comparable with other
companies APMs, including those in the Group's industry.
APMs should be considered in addition to, and are not intended to be a
substitute for, or superior to, IFRS measurements.
Purpose
The directors believe that these APMs assist in providing additional useful
information on the underlying trends, performance and position of the Group.
APMs are also used to enhance the comparability of information between
reporting periods and geographical units (such as like-for-like sales), by
adjusting for non-recurring or uncontrollable factors which affect IFRS
measures, to aid users in understanding the Group's performance. Consequently,
APMs are used by the directors and management for performance analysis,
planning, reporting and incentive-setting purposes.
The directors believe the following metrics to be the APMs used by the Group
to help evaluate growth trends, establish budgets and assess operational
performance and efficiencies. These measures provide an enhanced understanding
of the Group's results and related trends, therefore increasing transparency
and clarity into the core results of the business.
The following metrics are useful in evaluating the Group's operating
performance:
APM Closest equivalent IFRS measure Adjustments to reconcile to IFRS measure Definition and purpose
EBITDA(1) and margin Operating profit · Depreciation and amortisation The Group defines EBITDA as operating profit/(loss) for the period before
depreciation and amortisation.
The Group defines EBITDA margin as EBITDA divided by revenue.
EBITDA and margin are measures used by the directors to assess the trading
performance of the business and are therefore the measure of segment profit
that the Group presents under IFRS. EBITDA and margin are also presented on a
consolidated basis because the directors believe it is important to consider
profitability on a basis consistent with that of the Group's operating
segments. When presented on a consolidated basis, EBITDA and margin are APMs.
Depreciation and amortisation is a non-cash item which fluctuates depending on
the timing of capital investment and useful economic life. Directors believe
that a measure which removes this volatility improves comparability of the
Group's results period on period and hence is adjusted to arrive at EBITDA and
margin.
Underlying profit / (loss) before tax Profit / (loss) before tax · Exceptional items The Group defines underlying profit/(loss) before tax as profit/(loss) before
tax adjusted for exceptional items.
The directors view underlying profit/(loss) before tax to be a meaningful
measure to analyse the Group's profitability.
Effective tax rate Reported tax rate · Exceptional items The Group defines effective tax rate as reported tax rate (reported tax charge
divided by reported profit before tax) adjusted for exceptional items, foreign
· Foreign exchange rate movements exchange rate movements and one-off tax items of prior period adjustment, tax
settlements, impact of hyperinflationary accounting and impact of permanent
· One-off tax impact of prior period, tax litigation settlement, impact differences on tax.
of hyperinflationary accounting and impact of tax on permanent differences
This provides an indication of the current on-going tax rate across the Group.
Foreign exchange rate movements are specific items that are non-tax deductible
in a few of the entities which are loss making and/or where DTA is not yet
triggered and hence are considered to hinder comparison of the Group's
effective tax rate on a period-to-period basis and therefore excluded to
arrive at effective tax rate.
One-off tax impact on account of prior period adjustment, any tax litigation
settlement, impact of hyperinflationary accounting and tax impact on permanent
differences are additional specific items that because of their size and
frequency in the results, are considered to hinder comparison of the Group's
effective tax rate on a period-to-period basis.
Underlying profit/(loss) after tax Profit/(loss) for the period · Exceptional items The Group defines underlying profit/(loss) after tax as profit/(loss) for the
period adjusted for exceptional items.
The directors view underlying profit/(loss) after tax to be a meaningful
measure to analyse the Group's profitability.
Earnings per share before exceptional items EPS · Exceptional items The Group defines earnings per share before exceptional items as profit/(loss)
for the period before exceptional items attributable to owners of the company
divided by the weighted average number of ordinary shares in issue during the
financial period.
This measure reflects the earnings per share before exceptional items for each
share unit of the company.
Earnings per share before exceptional items and derivative and foreign EPS · Exceptional items The Group defines earnings per share before exceptional items and derivative
exchange losses
and foreign exchange losses as profit/(loss) for the period before exceptional
· Derivative and foreign exchange losses items and derivative and foreign exchange losses (net of tax) attributable to
owners of the company divided by the weighted average number of ordinary
shares in issue during the financial period.
This measure reflects the earnings per share before exceptional items and
derivative and foreign exchange losses for each share unit of the company.
Derivative and foreign exchange losses are due to revaluation of US dollar
balance sheet liabilities and derivatives as a result of currency devaluation.
Operating free cash flow Cash generated from operating activities · Income tax paid The Group defines operating free cash flow as net cash generated from
operating activities before income tax paid, changes in working capital, other
· Changes in working capital non-cash items, non-operating income, exceptional items, and after capital
expenditures. The Group views operating free cash flow as a key liquidity
· Other non-cash items measure, as it indicates the cash available to pay dividends, repay debt or
make further investments in the Group.
· Non-operating income
· Exceptional items
· Capital expenditures
Net debt and leverage ratio · Borrowings · Lease liabilities
· Operating profit · Cash and cash equivalent The Group defines net debt as borrowings including lease liabilities less cash
and cash equivalents, term deposits with banks, deposits given against
· Term deposits with banks borrowings/non-derivative financial instruments, processing costs related to
borrowings and fair value hedge adjustments.
· Deposits given against borrowings/ non-derivative financial instruments
The Group defines leverage ratio as net debt divided by EBITDA for the
· Fair value hedges preceding 12 months.
The directors view net debt and the leverage ratio to be meaningful measures
to monitor the Group's ability to cover its debt through its earnings.
Lease- adjusted leverage · Borrowings · Cash and cash equivalent The Group defines lease-adjusted leverage ratio as Lease-adjusted net debt
divided by Lease-adjusted EBITDA (EBITDAaL) for the preceding 12 months,
· Operating profit · Term deposits with banks where:
· Deposits given against borrowings/ non-derivative financial - Lease-adjusted net debt is defined as borrowings excluding lease
instruments liabilities less cash and cash equivalents, term deposits with banks, deposits
given against borrowings/non-derivative financial instruments, processing
· Fair value hedges costs related to borrowings and fair value hedge adjustments.
· Depreciation and amortisation - Lease-adjusted EBITDA is defined as operating profit/(loss) for
the period before depreciation and amortisation less principal repayments due
· Principal repayments due on right-of-use assets on right-of-use assets during the period and interest on lease liabilities
· Interest on lease liabilities Lease-adjusted leverage is a prominent metric used by debt rating agencies and
the capital markets. This APM reduces the volatility in the leverage ratio
associated with lease accounting under IFRS16, improves comparability between
periods and reflects the Group's financial market debt position.
Accordingly, the Directors view lease adjusted leverage as a meaningful
measure to analyse the Group's performance.
Return on capital employed No direct equivalent · Exceptional items to arrive at EBIT The Group defines return on capital employed ('ROCE') as EBIT divided by
average capital employed.
The directors view ROCE as a financial ratio that measures the Group's
profitability and the efficiency with which its capital is being utilised.
The Group defines EBIT as operating profit/(loss) for the period.
Capital employed is defined as sum of equity attributable to owners of the
company (grossed up for put option provided to minority shareholders to
provide them liquidity as part of the sale agreements executed with them
during year ended 31 March 2022), non-controlling interests and net debt.
Average capital employed is average of capital employed at the closing and
beginning of the relevant period.
For quarterly computations, ROCE is calculated by dividing EBIT for the
preceding 12 months by the average capital employed (being the average of the
capital employed averages for the preceding four quarters).
(1)Underlying EBITDA was disclosed in prior year (FY25) instead of EBITDA
given that there were exceptional items impacting operating profit/(loss). In
Q1'26 as well as Q1'25 there are no exceptional items impacting operating
profit/(loss). Therefore, we have used EBITDA instead of Underlying EBITDA,
which is not a new APM.
Some of the Group's IFRS measures and APMs are translated at constant currency
exchange rates to measure the organic performance of the Group. In determining
the percentage change in constant currency terms, both current and previous
financial reporting period's results have been converted using exchange rates
prevailing as on 31 March 2025 for all countries. Reported currency percentage
change is derived based on the average actual periodic exchange rates for that
financial period. Variances between constant currency and reported currency
percentages are due to exchange rate movements between the previous financial
reporting period and the current period. The constant currency numbers only
reflect the retranslation of reported numbers into exchange rates as of 31
March 2025 and are not intended to represent the wider impact that currency
changes have on the business.
Statement of Directors' Responsibilities
We confirm that to the best of our knowledge:
a) the interim condensed consolidated financial statements, prepared in
accordance with the relevant financial reporting framework, give a true and
fair view of the assets, liabilities, financial position and profit or loss of
the company and the undertakings included in the consolidation taken as a
whole;
b) the management report includes a fair review of the development and
performance of the business and the position of the company, and the
undertakings included in the consolidation taken as a whole, together with a
summary description of the principal risks and uncertainties that they face;
and
c) the interim condensed consolidated financial statements include
disclosure of related parties' transactions that have taken place during the
period and that have materially affected the financial position or performance
of the company.
This responsibility statement was approved by the board of directors on 23
July 2025 and is signed on its behalf by:
Sunil Taldar
Chief Executive Officer
23 July 2025
Glossary
Technical and Industry Terms
4G data customer A customer having a 4G handset and who has used at least 1 MB on any of the
Group's GPRS, 3G and 4G network in the last 30 days.
Airtel Money (mobile money) Airtel Money is the brand name for Airtel Africa's mobile money products and
services. The term is used interchangeably with 'mobile money' when referring
to our mobile money business, finance, operations and activities.
Airtel Money ARPU Mobile money average revenue per user per month. This is derived by dividing
total mobile money revenue during the relevant period by the average number of
active mobile money customers and dividing the result by the number of months
in the relevant period.
Airtel Money customer base Total number of active subscribers who have enacted any mobile money usage
event in last 30 days.
Airtel Money customer penetration The proportion of total Airtel Africa active mobile customers who use mobile
money services. Calculated by dividing the mobile money customer base by the
Group's total customer base.
Airtel Money transaction value Any financial transaction performed on Airtel Africa's mobile money platform.
Airtel Money transaction value per customer per month Calculated by dividing the total mobile money transaction value on the Group's
mobile money platform during the relevant period by the average number of
active mobile money customers and dividing the result by the number of months
in the relevant period.
Airtime credit service A value-added service where the customer can take an airtime credit and
continue to use our voice and data services, with the credit recovered through
subsequent customer recharge. This is classified as a Mobile Services product
(not a Mobile Money product).
ARPU Average revenue per user per month. This is derived by dividing total revenue
during the relevant period by the average number of customers during the
period and dividing the result by the number of months in the relevant period.
Average customers The average number of active customers for a period. Derived from the monthly
averages during the relevant period. Monthly averages are calculated using the
number of active customers at the beginning and the end of each month.
Capital expenditure An alternative performance measure (non-GAAP). Defined as investment in gross
fixed assets (both tangible and intangible but excluding spectrum and
licences) plus capital work in progress (CWIP), excluding provisions on CWIP
for the period.
Constant currency The Group has presented certain financial information that is calculated by
translating the results at a fixed 'constant currency' exchange rate, which is
done to measure the organic performance of the Group and represents the
performance of the business in a better way. Constant currency amounts and
growth rates are calculated using closing exchange rates as of 31 March 2025
for all reporting regions and service segments.
Customer Defined as a unique active subscriber with a unique mobile telephone number
who has used any of Airtel's services in the last 30 days.
Customer base The total number of active subscribers that have used any of our services
(voice calls, SMS, data usage or mobile money transaction) in the last 30
days.
Data ARPU Data average revenue per user per month. Data ARPU is derived by dividing
total data revenue during the relevant period by the average number of data
customers and dividing the result by the number of months in the relevant
period.
Data customer base The total number of subscribers who have consumed at least 1 MB on the Group's
GPRS, 3G or 4G network in the last 30 days.
Data customer penetration The proportion of customers using data services. Calculated by dividing the
data customer base by the total customer base.
Data usage per customer per month Calculated by dividing the total data consumed on the Group's network during
the relevant period by the average data customer base over the same period and
dividing the result by the number of months in the relevant period.
Digitalisation We use the term digitalisation in its broadest sense to encompass both
digitisation actions and processes that convert analogue information into a
digital form and thereby bring customers into the digital environment, and the
broader digitalisation processes of controlling, connecting and planning
processes digitally; the processes that effect digital transformation of our
business, and of industry, economics and society as a whole through bringing
about new business models, socio-economic structures and organisational
patterns.
Diluted earnings per share Diluted EPS is calculated by adjusting the profit for the period attributable
to the shareholders and the weighted average number of shares considered for
deriving basic EPS, for the effects of all the shares that could have been
issued upon conversion of all dilutive potential shares. The dilutive
potential shares are adjusted for the proceeds receivable had the shares
actually been issued at fair value. Further, the dilutive potential shares are
deemed converted as at beginning of the period, unless issued at a later date
during the period.
Earnings per share (EPS) EPS is calculated by dividing the profit for the period attributable to the
owners of the company by the weighted average number of ordinary shares
outstanding during the period.
Foreign exchange rate movements for non-DTA operating companies Foreign exchange rate movements are specific items that are non-tax deductible
in a few of our operating entities, hence these hinder a like-for-like
and holding companies comparison of the Group's effective tax rate on a period-to-period basis and
are therefore excluded when calculating the effective tax rate.
Indefeasible Rights of Use (IRU) A standard long-term leasehold contractual agreement that confers upon the
holder the exclusive right to use a portion of the capacity of a fibre route
for a stated period.
Information and communication technologies (ICT) ICT refers to all communication technologies, including the internet, wireless
networks, cell phones, computers, software, middleware, videoconferencing,
social networking, and other media applications and services.
Interconnect usage charges (IUC) Interconnect usage charges are the charges paid to the telecom operator on
whose network a call is terminated.
Lease liability Lease liability represents the present value of future lease payment
obligations.
Market Debt Market debt is defined as Borrowings from Banks or Financial Institutions and
debt capital market issuances in the form of Bonds.
Minutes of usage Minutes of usage refer to the duration in minutes for which customers use the
Group's network for making and receiving voice calls. It includes all incoming
and outgoing call minutes, including roaming calls.
Mobile services Mobile services are our core telecom services, mainly voice and data services,
but also including revenue from tower operation services provided by the Group
and excluding mobile money services.
Net debt An alternative performance measure (non-GAAP). The Group defines net debt as
borrowings including lease liabilities less cash and cash equivalents, term
deposits with banks, processing costs related to borrowings and fair value
hedge adjustments.
Net debt to EBITDA (LTM) An alternative performance measure (non-GAAP) Calculated by dividing net debt
as at the end of the relevant period by EBITDA for the preceding 12 months
(from the end of the relevant period). This is also referred to as the
leverage ratio.
Lease-adjusted Net Debt An alternative performance measure (non-GAAP). The Group defines
Lease-adjusted net debt as borrowings excluding lease liabilities less cash
and cash equivalents, term deposits with banks, processing costs related to
borrowings and fair value hedge adjustments.
Lease adjusted leverage (LTM) An alternative performance measure (non-GAAP) Calculated by dividing
Lease-adjusted net debt as at the end of the relevant period by Lease-adjusted
EBITDA (EBITDAaL) for the preceding 12 months (from the end of the relevant
period).
Net monetary gain relating to hyperinflationary accounting Net monetary gain relating to hyperinflationary accounting is computed as
difference resulting from the restatement of non-monetary net assets, equity
and items in the statement of comprehensive income due to application of IAS
29 hyperinflationary accounting.
Network towers or 'sites' Physical network infrastructure comprising a base transmission system (BTS)
which holds the radio transceivers (TRXs) that define a cell and coordinates
the radio link protocols with the mobile device. It includes all ground-based,
roof top and in-building solutions.
Operating company (OpCo) Operating company (or OpCo) is a defined corporate business unit, providing
telecoms services and mobile money services in the Group's footprint.
Operating free cash flow An alternative performance measure (non-GAAP). Calculated by subtracting
capital expenditure from EBITDA.
Operating profit Operating profit is a GAAP measure of profitability. Calculated as revenue
less operating expenditure (including depreciation and amortisation and
operating exceptional items).
Other revenue Other revenue includes revenues from messaging, value added services (VAS),
enterprise, site sharing and handset sale revenue.
Reported currency Our reported currency is US dollars. Accordingly, actual periodic exchange
rates are used to translate the local currency financial statements of OpCos
into US dollars. Under reported currency the assets and liabilities are
translated into US dollars at the exchange rates prevailing at the reporting
date whereas the statements of profit and loss are translated into US dollars
at monthly average exchange rates.
Smartphone A smartphone is defined as a mobile phone with an interactive touch screen
that allows the user to access the internet and additional data applications,
providing additional functionality to that of a basic feature phone which is
used only for making voice calls and sending and receiving text messages.
Smartphone penetration Calculated by dividing the number of smartphone devices in use by the total
number of customers.
Data Usage Includes total data consumed (uploaded and downloaded) on the network during
the relevant period.
EBIT Defined as operating profit/(loss) for the period adjusted for exceptional
items.
EBITDA An alternative performance measure (non-GAAP). Defined as operating profit
before depreciation & amortisation.
EBITDA margin An alternative performance measure (non-GAAP). Calculated by dividing EBITDA
for the relevant period by revenue for the relevant period.
Lease-adjusted EBITDA (EBITDAaL) An alternative performance measure (non-GAAP). Defined as operating profit
before depreciation, amortisation, interest on lease liabilities and repayment
of lease liabilities due during the relevant period
Unstructured Supplementary Service Data Unstructured Supplementary Service Data (USSD), also known as "quick codes" or
"feature codes", is a communications protocol for GSM mobile operators,
similar to SMS messaging. It has a variety of uses such as WAP browsing,
prepaid callback services, mobile-money services, location-based content
services, menu-based information services, and for configuring phones on the
network.
Voice minutes of usage per customer per month Calculated by dividing the total number of voice minutes of usage on the
Group's network during the relevant period by the average number of customers
and dividing the result by the number of months in the relevant period.
Weighted average number of shares The weighted average number of shares is calculated by multiplying the number
of outstanding shares by the portion of the reporting period those shares
covered, doing this for each portion and then summing the total.
Abbreviations
2G Second-generation mobile technology
3G Third-generation mobile technology
4G Fourth-generation mobile technology
5G Fifth-generation mobile technology
ARPU Average revenue per user
bn Billion
bps Basis points
CAGR Compound annual growth rate
Capex Capital expenditure
CBN Central Bank of Nigeria
CSR Corporate social responsibility
DTA Deferred Tax Asset
EBIT Earnings before interest and tax
EBITDA Earnings before interest, tax, depreciation and amortisation
EBITDAaL Earnings before interest, tax, depreciation and amortisation after lease
payments
EPS Earnings per share
FPPP Financial position and prospects procedures
GAAP Generally accepted accounting principles
GB Gigabyte
HoldCo Holding company
IAS International accounting standards
ICT Information and communication technologies
ICT (Hub) Information communication technology (Hub) IFRS
IFRS International financial reporting standards
IMF International monetary fund
IPO Initial public offering
KPIs Key performance indicators
KYC Know your customer
LTE Long-term evolution (4G technology)
LTM Last 12 months
m Million
MB Megabyte
MI Minority interest (non-controlling interest)
NGO Non-governmental organisation
OpCo Operating company
P2P Person to person
PAYG Pay-as-you-go
QoS Quality of service
RAN Radio access network
SIM Subscriber identification module
Single RAN Single radio access network
SMS Short messaging service
TB Terabyte
Telecoms Telecommunications
UoM Unit of measure
USSD Unstructured supplementary service data
(#_ftnref1) Unless otherwise stated, all growth rates represent YoY growth for
the period ending 30 June 2025.
(1)An explanation of constant currency growth in on page 19
2 (#_ftnref2) Alternative performance measures (APM) are described on page 17
2 (#_ftnref3) Alternative performance measures (APM) are described on page
17
3 (#_ftnref4) Alternative performance measures (APM) are described on page
17
4 (#_ftnref5) Mobile money contribution is based upon mobile money revenue
including cross-charge revenue from mobile services which is eliminated upon
consolidation.
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