Safaricom Chief Executive Officer Peter Ndegwa earned Ksh324.5 million in total remuneration during the financial year ended March 31, 2026, following a year in which the telecommunications giant posted record profits and strong growth across its mobile money and connectivity businesses.

Details contained in Safaricom’s latest annual report show that Ndegwa’s compensation package increased from Ksh284.2 million in the previous financial year, representing a rise of approximately 14.2 per cent.

The increase came as Safaricom delivered one of its strongest financial performances in history, reporting a 24.7 per cent jump in net income to Ksh119.1 billion, alongside double-digit growth in key business segments including M-PESA and mobile data services.

How Ndegwa earned Ksh324.5 million

According to the Directors’ Remuneration Report, Ndegwa’s pay package for FY2026 comprised a salary of Ksh105.4 million, a bonus of Ksh118.5 million, non-cash benefits of Ksh31.4 million, and an employee Performance Share Award Plan (EPSAP) of Ksh69.2 million.

The package brought his total remuneration to Ksh324.5 million, making him one of the highest-paid corporate executives in Kenya.

The largest increase came from his performance-based bonus, which rose significantly as the company exceeded several operational and financial targets during the year.

Record year for Safaricom

Ndegwa’s improved compensation coincided with a landmark year for Safaricom, which continued to strengthen its position as East Africa’s most profitable telecommunications company.

The company reported a service revenue of Ksh400.8 billion, up 10 per cent, a net income of Ksh119.1 billion, up 24.7 per cent, EBITDA of Ksh233.9 billion, up 13.7 per cent, and operating free cash flow of Ksh173.6 billion, up 16.7 per cent.

The results reflected robust growth in both traditional telecommunications services and digital financial products, helping Safaricom recover from the financial pressures associated with its expansion into Ethiopia and continued infrastructure investments.

M-PESA remains the growth engine

One of the key drivers behind Safaricom’s strong performance was M-PESA, which continued its transformation from a mobile money platform into a broader financial services ecosystem.

During FY2026, M-PESA revenue grew 13.4 per cent to Ksh182.7 billion. The platform also processed Ksh41.68 trillion worth of transactions.

The figures highlight the increasing importance of financial services to Safaricom’s business model, with M-PESA revenue now approaching the size of the company’s traditional connectivity business.

Reward for a transformation strategy

Since taking over as CEO in April 2020, Ndegwa has spearheaded a strategy aimed at transforming Safaricom from a telecommunications operator into a technology-led company.

Under his leadership, the company has expanded into enterprise solutions, cloud services, digital health, Internet of Things (IoT) services and fintech products, while also overseeing Safaricom’s entry into the Ethiopian market.

The FY2026 annual report described the Kenya business as delivering a “resilient and diversified performance” driven by a scaled connectivity and financial services ecosystem.

The disclosure of Ndegwa’s remuneration is likely to reignite debate over executive compensation in Kenya, particularly at a time when many households continue to grapple with the high cost of living and economic pressures.

Safaricom’s strong earnings performance and its status as one of the Nairobi Securities Exchange’s most valuable companies are likely to feature prominently in discussions around the CEO’s compensation.