Airtel Africa (AAF) Q2 2025 earnings summary

Executive summary

• Achieved 19.9% constant currency revenue growth (20.8% in Q2'25), driven by strong demand, network investment, and resilient performance despite significant currency devaluation, especially in Nigeria.

• EBITDA grew 13.5% in constant currency to $1.1 billion, with margin at 45.8%, though down from last year due to lower Nigeria contribution and inflationary pressures.

• Mobile customer base grew 6.1% to 156.6 million, with data customers up 10.4% to 66.0 million and mobile money subscribers up 13.4% to 41.5 million.

• Interim dividend increased by 9% to 2.6 cents per share, reflecting sustained value creation and a progressive dividend policy.

• Continued investment in network expansion, with over 2,800 new sites and 3,500 km of fiber deployed in the year; capex for H1'25 was $316m.

Financial highlights

• Revenue: $2,370m, up 19.9% in constant currency but down 9.7% in reported currency due to FX devaluation.

• EBITDA: $1,087m, up 13.5% constant currency, down 16.5% reported; margin at 45.8% (down from 49.6% YoY).

• Operating free cash flow: $771m, down 22% in reported currency, impacted by currency devaluation.

• EPS before exceptional items: 4.9 cents, down from 7.0 cents YoY, mainly due to FX devaluation and higher finance charges.

• Mobile Money: Revenue up 28.8% in constant currency, EBITDA up 33% to $247m, margin at 53%.

Outlook and guidance

• Capex guidance for FY remains $725m–$750m, focused on network expansion, fibre, and digital infrastructure.

• Focus on margin improvement, cost optimization, and expanding B2B, home broadband, and enterprise segments.

• No further material change in leverage expected from additional tower lease renewals in the near-to-medium term.

• Progressive dividend policy aims for mid- to high single-digit annual growth.