Safaricom has delivered its strongest dividend increase in years, following record profitability of 99.7 billion shillings for the financial year ended March 31, 2026.
The telco giant reported a group net income of KES 100 billion, driven by sustained customer growth, rising adoption of digital services, and strong performance across its core product lines.
As part of its FY26 results, Safaricom announced a dividend payout of 2 shillings per share, totaling KES 80.1 billion, representing a 66.7% increase from the previous year.
This comprises an interim dividend of 85 cents per share and a recommended final dividend of 1 shilling 15 cents per share, subject to shareholder approval, underscoring the company’s resilient balance sheet and confidence in its long-term growth outlook.
“We have shown strong execution in the first year of our five-year strategy, signaling a great setup for delivering our vision. We delivered strong performance, with acceleration in the second half, surpassing Group guidance with outstanding Kenya performance offsetting the impact of currency reforms and the timing of market repair actions in Ethiopia,” said Peter Ndegwa, Group CEO, Safaricom PLC.
Kenya Drives Double-Digit Growth in Revenue and Profit
During the year, Safaricom delivered strong performance in its Kenyan business, with Kenya service revenue increasing by 10% to KES 400.8 billion.
In addition, Earnings Before Interest and Tax (EBIT) rose by 15.3% to KES 182.3 billion.
Overall, the group’s performance was further supported by continued customer growth, with the company reaching 71.6 million customers therefore, reflecting strong demand for digital connectivity and financial services across its markets.
The financial Year 2026 marked 25 years of Safaricom, and a milestone marked by robust revenue growth, and dividend payout to shareholders.
Kenya remained the Group’s largest revenue contributor, helping lift total Group service revenue by 11.5 per cent to KES 414.1 billion during the period.
Notably, the company attributed the strong results to increased adoption of digital services and steady customer expansion, which continued to offset ongoing investments in Ethiopia and reinforce earnings growth.
Peter Ndegwa, Group CEO of Safaricom PLC, said the company delivered strong execution in the first year of its five-year strategy, supported by accelerated growth in the second half of the financial year.
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Safaricom Ethiopia Turnaround
Safaricom’s Ethiopia business continued to gain momentum during the year, showing early signs of improved performance since its market entry.
At the same time, the operation reported reduced losses compared to the previous period, reflecting gradual improvements in commercial activity as the business scaled.
Performance strengthened particularly in the second half of the year, supported by increased customer uptake and expanding network coverage.
Safaricom Ethiopia service revenue grew by 6 per cent to KES 14.1 billion, reflecting gradual monetization of its expanding subscriber base.
Meanwhile, subscriber numbers rose to 13.6 million, supported by rapid network rollout and continued expansion of infrastructure.
The company’s network coverage grew significantly during the year, with 3,504 sites now covering around 60 per cent of the population.
Additionally, it contributed 12.5 per cent to Group service revenue growth during the period, highlighting its increasing role in supporting overall Group performance as the business continues its scale-up phase.
Management said the improving trajectory in Ethiopia is beginning to support Group results as the market continues to develop towards stronger scale and operational stability.
