Vodacom Reports R40.0 Billion Revenue, 13.8% Service Growth in Q1

Vodacom Group  has announced a strong financial performance for the quarter ended 30 June 2025, with significant growth across its operations, particularly in Egypt and its financial services segment.

The telecommunications giant reported a 10.6% increase in group revenue, reaching R40.0 billion for the quarter. Group service revenue also saw a healthy acceleration, growing by 13.8% on a normalised basis, tracking favorably against the company’s medium-term targets.

Egypt emerged as a standout performer, with service revenue surging by 43.8% in local currency, significantly outpacing inflation. Financial services revenue in Egypt also demonstrated exceptional growth, rising by 55.1% in local currency. Vodacom’s International business contributed positively, with service revenue increasing by 9.7%, and normalised growth accelerating to 12.4%. South Africa’s service revenue grew by a resilient 3.0%, buoyed by strong contract performance.

Financial services remain a core strategic driver for Vodacom, with group financial services revenue increasing by 18.1% (21.3% normalised) to R3.9 billion. The company highlighted that it transacted US$460.0 billion through its mobile money platforms, including Safaricom, over the last twelve months, showcasing a 14.9% increase in transaction value over the past year. This underscores Vodacom’s leading position in fintech across Africa.

“Encouraging trends from Vodacom Group’s first quarter performance support the confidence we communicated in May this year, when we upgraded our financial targets, signalling that the organisation is poised for stronger growth in the medium-term. These trends include strong revenue and service revenue growth in rand terms, a healthier performance trajectory by our International business, good growth in the contract segment and beyond mobile services in South Africa, and another all-round excellent performance by Egypt.”

–Shameel Joosub, CEO, Vodacom Group.

Beyond mobile services were a key growth driver, contributing R6.9 billion in the quarter, representing 21.4% of the Group’s total and on track to reach the target contribution of 30% by 2030. Data traffic across the Group saw robust growth, with a 32.7% increase in South Africa and a 35.4% increase in International businesses. Vodacom invested R1.6 billion in the quarter and anticipates a capital expenditure of around R12.0 billion for the current financial year to further enhance customer experience and network capabilities.

In a significant development for its South African operations, Vodacom recently announced that the Competition Commission will no longer oppose its acquisition of a 30% stake in Maziv, ahead of the Competition Appeal Court hearing on 22 July 2025. This decision followed the agreement to expanded conditions by the merger parties. Joosub expressed confidence that, pending requisite approval, the transaction will accelerate fibre network expansion, help bridge the digital divide, and contribute to job creation in South Africa.

Looking ahead, Vodacom remains focused on its Vision 2030 targets, aiming to expand its customer base to 260 million and its financial services customer base to 120 million, through continued investment in mobile and fixed connectivity, handset financing, and digital and financial services across its markets.