The Egyptian arm of Vodafone PLC has experienced slip drop in its annual net earnings amounting to 3.2 billion Egyptian pounds (£252 million) by the end of financial year 2015-2016.
A year earlier, Vodafone Egypt posted net earnings worth 3.7 billion Egyptian pounds.
Earnings before interest and tax reached around 6.3 billion Egyptian pounds; while service revenue increased 11.3 percent during FY2015-16 ended March 31, 2016, the parent company added in its financial statements released Tuesday.
“This has been a year of strong execution for the Group, returning to organic growth in both revenue and EBITDA for the first time since 2008. We achieved the first quarter of positive revenue growth in Europe since December 2010 while growth in AMAP accelerated with strong performance in South Africa, Turkey and Egypt. EBITDA margins also grew year-on-year, supported by our cost efficiency programmes.”
Vodafone Group’s revenues decreased 1.3 percent, with strong organic growth offset by a 7.7 percentage point adverse impact from foreign exchange movements, particularly with regards to the South African rand, Turkish lira and Egyptian pound.
However, the Egyptian pound is expected to be on the road to recover during this year, the group added.
Vodafone Egypt’s shareholding is distributed as Vodafone Group plc with 55 percent share, Telecom Egypt with 45 percent.
The statement further showed that the number of Vodafone Egypt subscribers reached 38.5 million, representing 40 percent of market share; while fixed internet users reached 213,000 clients, marking a 10 percent of the Egyptian market share.