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Airtel Africa Q2 net profit more than doubles on-year to $192 million

Strong growth across the Group, doubling profit after tax, increased cash generation, lower leverage and dividend upgrade


  • H1’22 reported revenue grew by 25.2% to $2,272m with double digit growth across all regions. Q2 reported revenue growth of 20.3%.
  • Revenue in constant currency grew by 27.6%.
  • Strong double-digit constant currency revenue growth across all regions: Nigeria up 32.4%, East Africa up 25.8% and Francophone Africa up 22.1%; and across all key services, Voice up 19.7%, Data up 36.9% and Mobile Money up 42.0%.
  • Underlying EBITDA grew by 35.2% to $1,098m in reported currency and underlying EBITDA margin improved to 48.3%, an increase of 360 basis points led by both revenue growth and improved operational efficiencies.
  • Operating profit up 55.1% to $732m in reported currency.
  • Profit after tax more than doubled to $335m, largely due to higher profit before tax which more than offset the associated increase in tax charges.
  • Basic EPS was 7.6 cents, an increase of 155.9%, as a result of higher profit. EPS before exceptional items increased to 7.5 cents from 3.0 cents in previous period.
  • Operating free cash flow was $853m, up 43.1%, and over the last 18 months we have up streamed more than $570m across our operating entities.
  • Leverage ratio reduced to 1.5x from 2.2x.
  • Customer base grew by 5.4% to 122.7 million, with increased penetration across mobile data (customer base up 10.9%) and mobile money services (customer base up 19.0%). Customer base growth was affected by the new NIN/SIM registration regulations in Nigeria; excluding Nigeria the customer base grew by 13.7%.
  • The board has declared an interim dividend of 2 cents per share (1.5 cents in H1’21) in line with an upgraded dividend policy. The new policy aims to grow the dividend annually by a mid to high-single digit percentage from a new base of 5 cents per share for FY 2022, with a continued focus to further strengthen the balance sheet.
Alternative performance measures 1
(Half year ended)
GAAP measures
(Half year ended) 
Description Sep-21 Sep-20 Reported
Description Sep-21 Sep-20 Reported
$m $m change % change % $m $m change %
Revenue 2,272 1,815 25.2% 27.6% Revenue 2,272 1,815 25.2%
Underlying EBITDA 1,098 812 35.2% 38.5% Operating profit 732 472 55.1%
Underlying EBITDA margin 48.3% 44.7% 360 bps 381 bps Profit after tax 335 145 131.6%
EPS before exceptional items ($ cents) 7.5 3.0 149.7% Basic EPS ($ cents) 7.6 3.0 155.9%
Operating free cash flow 853 596 43.1% Net cash generated from operating activities 922 744 23.9%

 (1) Alternative performance measures (APM) are described on page 45.

 Segun Ogunsanya, chief executive officer, on the trading update:

“Our first half financial performance has been strong. The first half of last year, and especially Q1, was impacted by the start of Covid, but even after adjusting for these effects, our revenue growth rates for the half year for the Group and all our service segments are ahead of our FY’21 revenue growth trends, and in reported terms these are all in strong double digits.

The risks from Covid still remain, with sub-Saharan Africa continuing to experience a third wave of the pandemic. Governments continue to implement balanced measures of lockdowns and restrictions accordingly.

But vaccination levels remain low, and we continue to monitor the situation for potential impacts on economies and consumers.

Operationally we have continued our network modernisation and expansion, aligned with an extension of our distribution capabilities, which have together contributed towards continued strong growth in ARPUs across voice, data and mobile money. We have seen an improvement in our customer growth trends for the Group as we approach stability of net monthly movements in Nigeria.

Alongside our results we have today launched our sustainability strategy. Airtel Africa has always been a business with a sustainable premise at the heart of our purpose to transform lives across Africa through our promotion of both digital and financial inclusion. Our sustainability strategy builds upon this, extending and more comprehensively articulating our sustainability goals and credentials. I am excited by the new initiatives we have launched and I look forward to reporting back on our developments in this area with our first sustainability report next year.

As incoming Group CEO, I have inherited the responsibility to build upon a business with solid foundations and as I look ahead, I continue to see huge potential across voice, data and mobile money from low penetration levels across Africa. The continent continues to be a growth story for us despite the pandemic. We will continue to invest in mobile and digital technologies to drive digital and financial inclusion sustainably in Africa. I am pleased with the progress we have made in the last couple of years on delivering value to everyone touched by our network.”
CT Bureau

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