Telkom’s Data Revenue Hits 60% of Total, Subscriber Base Surpasses 25 Million
Group revenue for Q3 FY2025 reached R11.13 billion, marking a 1.3% year-on-year increase, while year-to-date revenue grew 2.7% to R33.24 billion.
Telkom has reported solid financial and operational performance for the third quarter of 2025 and the first nine months of the fiscal year, driven by strong growth in data services and strategic cost optimisation initiatives.
Group Revenue and Data Growth
Group revenue for Q3 FY2025 reached R11.13 billion, marking a 1.3% year-on-year increase, while year-to-date revenue grew 2.7% to R33.24 billion. The company’s data-led strategy contributed to a 9.6% increase in data revenue for the quarter, with mobile data revenue rising 12.9% and fibre-related revenue up 8.9%. Year-to-date, group data revenue grew 8.5%, contributing 60.0% of total revenue.
Mobile and Fibre Performance
Telkom’s mobile business continued to perform strongly, with service revenue up 7.2% for the quarter and prepaid revenue increasing 11.6%. Total mobile subscribers surpassed 25 million, with mobile data subscribers rising 29.3% to 19.3 million. Fibre connectivity remained robust, with a 52.4% connectivity rate and 786,490 homes connected.
Openserve and BCX Performance
Openserve reported a 2.2% increase in overall revenue, supported by continued fibre monetisation, marking the third consecutive quarter of growth. Its fibre-related revenue grew 8.7%, with homes passed increasing 12% to 1.5 million. EBITDA for Openserve remained resilient at 34.4%.
BCX faced challenging market conditions, with revenue declining 9.3% in Q3 and 5.9% year-to-date. The IT hardware and software segment, however, grew 19.6%, and cybersecurity services showed strong performance despite macroeconomic pressures.
Financial and Operational Efficiency
Telkom’s group EBITDA grew 8.4% to R3.24 billion for the quarter, expanding the EBITDA margin to 29.1%. Year-to-date, EBITDA increased 7.8%, with a margin of 27.9%. The company maintained a disciplined approach to cost management, benefiting from reduced impairment of receivables and network optimisation initiatives.
Capex and Strategic Investments
Capital expenditure for the quarter amounted to R1.304 billion, primarily focused on growth areas such as mobile and fibre expansion, while year-to-date Capex reached R4.174 billion at an intensity ratio of 12.6%. Openserve invested R557 million in network modernisation, connecting 30,081 homes in Q3.
Outlook
Telkom remains focused on its data-led growth strategy, prioritising mobile and fibre services to drive future revenue. Openserve will continue to expand fibre connectivity, while BCX focuses on operational stabilisation and strategic transformation under incoming leadership. CEO Serame Taukobong highlighted that the company’s cost optimisation initiatives and disciplined execution continue to reinforce Telkom’s position as South Africa’s digital backbone.
The company will host a conference call for investors on 16 February 2026 to discuss the trading update and answer questions.
