Vodacom Group (VOD) H2 2026 earnings summary

Executive summary

• Achieved record financial results for FY 2026, with strong double-digit growth in revenue, EBITDA, and headline earnings per share, driven by geographic and product diversification and robust operational performance across all regions.

• Customer base expanded by 26 million to 237 million, surpassing Vision 2030 targets; financial service customers reached over 100 million.

• Major strategic transactions included the Maziv fiber acquisition (30% stake) and an additional 20% stake in Safaricom, enhancing scale and market presence.

• Upgraded Vision 2030 ambitions, targeting 275 million customers and 130 million financial services customers.

• Continued leadership in ESG, digital and financial inclusion, and climate initiatives, with 100% renewable energy usage matched.

Financial highlights

• Group revenue rose 10.1% to ZAR 168 billion (R167.7bn); service revenue up 10.6% to ZAR 134 billion (R133.6bn).

• EBITDA increased 12.8% to ZAR 63 billion (R62.6bn); normalized EBITDA growth was 14.2%.

• Net profit attributable to equity holders grew 24.4% to ZAR 20.6 billion; EPS up 22.9% to ZAR 10.53 (1,053 cents).

• Free cash flow increased 20.1% to ZAR 21.8 billion; alternative figure of R33.0bn reported.

• Final dividend of ZAR 4.05 per share, total dividend ZAR 7.35 (735 cents), up 18.5% year-over-year.

Outlook and guidance

• Upgraded Vision 2030 targets: customer base ambition raised to 275 million and financial service customers to 130 million by 2030.

• Targeting double-digit growth in group service revenue, EBITDA, and operating free cash flow in the medium term.

• Beyond mobile services targeted to contribute 30% of group service revenue; financial services to contribute mid-teens.

• Capex intensity ratio guided at 13.5%-14.5% of group revenue; FY 2027 South Africa capex around ZAR 12 billion.

• Safaricom FY27 EBIT guidance: KES 180-187bn, with Ethiopia narrowing losses.