Safaricom Group Plc has reported a strong half-year performance for the period ending September 31, 2025, with net profit rising 52 per cent to Ksh42.8 billion. The growth was driven by solid results from Safaricom Kenya and a narrowing of losses in its Ethiopian operations.

Safaricom Kenya continued to dominate the domestic market, contributing Ksh194.08 billion in service revenue, up 9.3 per cent year-on-year. Earnings before interest and taxes (EBIT) grew 13.1 per cent to Ksh89.5 billion, while net income rose 22.6 per cent to Ksh58.28 billion. The growth reflects strong demand for mobile data and M-Pesa services, which remain the backbone of Safaricom’s profitability in Kenya.

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Safaricom Ethiopia showed progress. Service revenue jumped 136 per cent to Ksh6.28 billion, reflecting a growing subscriber base, but the subsidiary posted an EBIT of Ksh24.38 billion and a net of Ksh15.58 billion.

Group posts strong growth

Overall, the Group recorded service revenue of Ksh199.98 billion, up 11.1 per cent from the previous year, with EBIT rising 54.5 per cent to Ksh65.2 billion. Net income for the Group reached Ksh42.8 billion, marking the strongest half-year performance since Safaricom’s 2008 IPO.

Safaricom’s funding position remains strong, with Ksh293 billion raised from consortium partners during the period and an additional Ksh53 billion injected through equity contributions. The funds support expansion in Ethiopia and continued investment in Kenya.

CFA Dedan Maina said the results show “resilient fundamentals and strategic foresight.” He added that investments in Ethiopia are transitioning from capital strain toward value creation, while domestic operations maintain strong profitability.

The Group’s gross profit margin has steadily improved over the past five years, reflecting efficiency in high-margin services. Although net profit margins have declined from 30.2 per cent in 2022 to 20.9 per cent in 2025 due to investment costs in Ethiopia, it is expected that the trend to stabilise as cash inflows from operations catch up.