Markets • Nov 06, 2025

Safaricom half-year profits up 52% to Sh42Bn on strong M-Pesa activity

Safaricom PLC executives at the release of the telco's half-year results where the telco reported a net profit of KES42.8 billion, reflecting a 52.1 percent increase from KES28.1 billion in the first half of 2025.

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Safaricom PLC has reported a net profit of KES42.8 billion for the first half of 2026, reflecting a 52.1 percent increase from KES28.1 billion in the first half of 2025, demonstrating resilience and growth across its Kenya and Ethiopia operations.

During the half, Safaricom's M-PESA revenues increased by 14.1 percent reaching KES88.1 billion.

Dilip Pal, Group Chief Finance Officer, Safaricom PLC, said the M-PESA ecosystem continues to expand with the total volume growing by 27 percent to 22 billion transactions and the value transacted growing by 5 percent year-over-year to KES20 trillion.

Additionally, the telco saw the combined merchant base of formal merchants using Lipa na M-PESA, and informal merchants Pochi La Biashara hit 2.4 million, representing a growth of 55 percent year-on-year.

Further, Pochi La Biashara merchants base expanded by 73 percent year-over-year to 1.5 million, with the revenue almost doubling to KES1.7 billion during the half under review. Safaricom said the total revenue from merchant payments grew by 32 percent year-over-year to KES6 billion.

Safaricom Kenya operations

In its Kenya operations, the company recorded a 22.6 percent growth in net income to KES58.2 billion, marking a 9.3 percent jump in service revenue to KES194 billion and 13.1 percent growth in earnings before interest and taxes (EBIT) to KES89.5 billion.

In Ethiopia, the telco losses reduced by 20.1 percent year-on-year to KES15.5 billion, even as pricing and currency reform challenges persisted in the new market.

“This is a strong set of results, and a solid start to our Vision 2030 strategy cycle, maintaining our FY26 guidance. We remain focused on executing our strategy through segment-led execution and integrated solutions,” said Peter Ndegwa, Group CEO, Safaricom.

In addition to the strong set of results, the company continued to invest heavily in communities. Safaricom recently launched the Citizens of the Future program, an initiative set to benefit 500 schools with infrastructure upgrades, 10,000 scholarships and over 56,000 beneficiaries of digital literacy over the next five years.

“It has been 25 years of transforming lives, through innovation and community empowerment, a journey powered by purpose and collaboration. We have transformed the lives of over 22 million Kenyans through the Safaricom and M-PESA Foundations. We remain anchored in purpose, driving sustainable growth and positive change,” Ndegwa said.

Further, the company launched Safaricom Ethiopia Foundation in July this year, investing over ETB 650 million in community projects under education, youth and economic empowerment, a demonstration of the company’s commitment to purpose before profit.

"Earnings before interest and taxes (EBIT) grew 13.1 percent to KES89.5 billion, and net income grew 22.6 percent to 58.2 billion. At Group level, the growth is impressive. Service revenue grew 11.1 percent to close to KES200 billion. EBIT jumped 54.5 percent to KES65.2 billion, and net income grew 52.1 percent to KES42.8 billion," explained Dr. Ndegwa.

He added: "In Ethiopia, currency reforms are starting to create a more liquid market. Losses have reduced by 20.1 percent year-on-year to 15.5 billion shillings, even as pricing and currency reform challenges persist. It is important to note, the Birr depreciation against major currencies particularly the US dollar and Euro, contributed 35 percent to the Ethiopia’s net losses."