Ethio Telecom is steadfastly pursuing its “Lead” development strategy, aimed at diversifying its operations and offering new solutions beyond connectivity.
In the 2022/2023 fiscal year, the incumbent operator reported a net profit of 18.03 billion birr.
Strong Financial Performance
The Ethiopian state-owned telecom company, Ethio Telecom, recorded a net profit of 21.79 billion birr ($377.7 million) in the 2023/2024 fiscal year. This marks a substantial 20.9% increase compared to the previous year.
By the end of the year, Ethio Telecom’s revenue had grown by 21.7% year-on-year, reaching 93.7 billion birr. Earnings before interest, taxes, depreciation, and amortization (EBITDA) reached 42.44 billion birr, representing a notable 47% increase.
Key Initiatives Driving Growth
“We have focused on several key initiatives to maintain our growth trajectory. These included expanding and enhancing our digital and telecommunications infrastructure to meet the growing demand for high-quality services,” explained the incumbent operator.
The company also emphasized ongoing network optimization, the provision of innovative products and services, brand strengthening, and cost optimization.
Customer Base Expansion
At the close of the year, Ethio Telecom boasted 78.3 million mobile customers, reflecting an 8.9% increase. The incumbent operator is solidifying its dominance in the national telecom market, even in the face of competition from Safaricom Ethiopia, which launched commercial operations in October 2022.
As of March 31, 2024, Safaricom Ethiopia reported covering approximately 40% of the population with 9.4 million mobile subscribers.