HARARE – Econet Wireless Zimbabwe Limited has announced an impressive 69% growth in revenue for the third quarter ended November 30, 2024. This remarkable performance was driven by a 42% increase in revenue from its mobile network operations, coupled with the acquisition of several financial technology (FinTech) businesses.
The company, listed on the Zimbabwe Stock Exchange, experienced significant growth in its mobile network sector. Voice usage increased by 20%, while data usage saw a 36% rise compared to the same period last year. As mobile broadband and digital services continue to gain traction in the country, the demand for data is expected to remain strong and continue its upward trajectory.
Econet’s FinTech businesses, which include mobile money, life insurance, and short-term insurance, also played a pivotal role in the company’s growth. The mobile money sector saw a substantial 55% increase in active subscribers and a 79% rise in wallet funding. Furthermore, EcoSure, the life insurance arm, reported a 51% increase in transaction volumes, and Moovah, the short-term insurance business, experienced a 25% increase in motor and non-motor insurance customers.
In March 2024, Econet’s acquisition of EcoCash’s FinTech businesses, which now operate as subsidiaries, marked a significant milestone in the company’s transformative journey. According to Tatenda Ngowe, the Group Company Secretary, these changes have helped Econet enhance its customer experience and strengthen its competitive edge in the market.
The company’s mobile money platform has seen continued success, driven by the surge in active subscribers and wallet funding. Econet aims to establish a universal payment platform that prioritizes convenience and value for customers, thereby improving financial inclusion. EcoSure’s growth has been fueled by digital bundled products, enabling wider access to insurance services, while Moovah’s success is attributed to new business acquisitions and endorsements.
Econet’s capital expenditure for the quarter amounted to 18% of its revenue, primarily allocated to modernizing network infrastructure to support the growing demand for mobile services and to enhance service quality.
In addition to its strong financial performance, Econet Wireless Zimbabwe declared an interim dividend of US$0.36 per share for the quarter. The company remains committed to its digital transformation journey, with plans to incorporate artificial intelligence and pursue strategic opportunities to further expand its product and service offerings.
As Econet continues to innovate and grow, it is poised to deliver value to its stakeholders, embracing the future of telecoms and FinTech in Zimbabwe.
