HARARE – Econet Wireless Zimbabwe Limited has announced a 69% growth in revenue for the third quarter ended November 30, 2024, driven by a 42% increase in revenue from its mobile network operations and the acquisition of financial technology (FinTech) businesses.
The Zimbabwe Stock Exchange listed telecoms giant’s mobile network operations saw a 20% increase in voice usage and a 36% increase in data usage compared to the same quarter last year.
The demand for data is expected to remain firm and continue to grow, driven by the increasing adoption of mobile broadband and digital services.
Econet’s FinTech businesses, which include mobile money, life insurance, and short-term insurance, also reported significant growth.
The mobile money business saw a 55% increase in active subscribers and a 79% increase in wallet funding, while the life insurance business recorded a 51% growth in transaction volumes.
FinTech businesses acquired from EcoCash became subsidiaries of Econet with effect from 1 March 2024.
“We have continued our transformative journey through the reorganization of the Mobile Network Operations and FinTech businesses to create a more agile and innovative organization.
“This strategic intervention has enabled us to enhance customer experience and strengthen our competitive positioning,” Tatenda Ngowe, the Group Company Secretary, said in an update.
“The mobile money business continued to register steady growth largely driven by a 55% increase in active subscribers and a 79% increase in wallet funding.
“This business continues to actively onboard more payment partners in alignment with the strategy to establish a universal payment platform that prioritizes convenience and value for customers.
“The growth in mobile money volumes and transactions reflects gains we continue to make towards improved financial inclusion.
“The life insurance business, EcoSure, recorded a 51% growth in transaction volumes compared to the same period last year as it continues to offer digital bundled products for a wider customer reach. Moovah, the short-term insurance business. continued to grow its portfolio driven largely by new business acquisitions and endorsements which translated to a 25% increase in motor and non-motor insurance customers.”
The company’s capital expenditure for the quarter was 18% of revenue, primarily focused on modernising the network infrastructure to support the growth in usage and improve service quality.
Econet Wireless Zimbabwe declared and paid an interim dividend of US$0.36 cents per share for the quarter ended November 30, 2024.
Looking ahead, the company remains committed to delivering value to its stakeholders and will continue to invest in digital transformation, embracing artificial intelligence, and pursuing strategic opportunities to enhance its product and service portfolio.
