Safaricom shareholders have approved a final dividend payout of Kes0.65 per share, coming to Kes26.04 billion for the year ending March 31, 2024. With an interim dividend of Kes0.55 per share, or Kes22.04 billion already paid in March, this pushes the total dividend payout for the year to Kes1.20 per share, coming to Kes48.08 billion.
“During the financial year under review, the business showed great resilience in returning excellent growth in both our top and bottom lines. This has enabled us to achieve a major milestone—attaining, in our Kenyan business alone, earnings of more than $1 billion before tax and interest,” said CEO Peter Ndegwa. He added, “Safaricom is the first company in the Eastern Africa region to attain this landmark number.”
It is expected that dividend payment will be effective on or about August 31, 2024, to shareholders on the Register of Members as of close of business on July 31, 2024.
“I am encouraged by the resilience demonstrated to deliver a very strong set of financial results, which enabled us to pay a similar dividend to last year’s despite the startup losses in Ethiopia. This success is credited to a strong strategy execution, which again guided our decision to deliver for our shareholders, giving more value to our customers,” said Mr. Adil Khawaja, Chairman of the Board.
While Safaricom performed well from a financial perspective, the year remained difficult for Kenya and Ethiopia from an economic standpoint. High interest rates, high inflation, and currency volatility impacted disposable income and how business was conducted. Against this backdrop of stiff headwinds, the Company reaffirmed its commitment to generating value for shareholders by making optimal investments and exercising disciplined execution.
During the session, Safaricom shares closed trading at Kes15.55 at the Nairobi Securities Exchange, with a total turnover of Kes331.74 million shares.
Safaricom Group is accordingly well-placed for continued growth in both the short, medium, and long term. The company forecasts breaking even in Ethiopia by the end of the fourth year of operations. Its new vision and strategy will be the drivers for growth in Kenya as it works towards becoming the leading technology company in Africa by 2030.