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Econet will play part in the resurgence of Zimbabwe's economy

by Staff reporter
09 Aug 2021 at 17:36hrs | Views
GIANT telecoms operator, Econet Wireless Zimbabwe, has vowed to continue playing its part in contributing to growing the country's economy.

The diversified company has been scaling up its capital expenditure over the years and has recently seen a spike in revenue as a dividend from its massive digital footprint.

In its report for the financial year ended 28 February 2021, which was issued last week, Econet said revenue for the period increased by 23 percent to ZWL$35 billion from the previous year, largely due to the increase in data usage, which increased by 47 percent.

The company declared a final dividend of ZWL$0,60 cents per share for the year ended February 28, 2021 bringing the total dividend paid to 100 cents per share.

The period saw net exchange losses decreasing by 46 percent to close the year at ZWL$13,7 billion.

"We believe that we will play a part in the resurgence of Zimbabwe's economy through providing world class services to support the enhanced growth and digitalisation of the economy," said Econet.

"Our services are gradually changing as we pivot the business to the new realities that we see emerging, as consumers demand a different digital experience as the world evolves and technology changes to cater for the new needs and expectations of our society."

On the outlook, the telecommunications operator said aims to develop resilient business models that are relevant to its customers and operating environment.

"Capital expenditure investment remains subdued due to the scarcity of foreign currency. Our earnings per share increased from a loss of 237 cents per share to a positive earnings per share of 35 cents," said the company.

"Our cash flow remains positive and we continue to manage cash position prudently in light of the challenging operating environment.

"Our balance sheet is bolstered by our investment, of about seven percent of Liquid Telecommunications Jersey (LTJ), a pan-African fibre operator, which is now valued at US$145 million," it said.

Source - the herald