In a clear demonstration of strategic execution, Telkom has published robust financial results for the six months ended 30 September 2025.
The figures reveal a company successfully monetizing its extensive network infrastructure, transforming its data-led strategy into sustained profit growth and a remarkable surge in its mobile,. fibre and IT businesses.
The Group’s commitment to delivering quality earnings is reflected across key metrics.
Earnings before interest, taxes, depreciation, and amortisation (EBITDA) increased by 7.4%, a key indicator of improved operational performance.
The EBITDA margin strengthened by 1.0 percentage point to 27.2%, slightly above the top end of the group’s medium-term guidance range.
Data Strategy Powers Financial Performance
The success of Telkom’s core strategy was undeniable.
Mobile data revenue increased by 10.3%, while fibre-related data revenue across the group grew by 12.3%. In total, data revenue now accounts for 59.1% of Telkom’s total revenue, underlining its central role.
This growth was not achieved through revenue alone; disciplined cost management and structural improvements were crucial in strengthening the bottom line.
The group’s financial health was further solidified by a stable net debt to EBITDA ratio of 0.7x, even after the settlement of R4.8 billion in interest-bearing debt. Headline earnings per share grew by a strong 16.4% to 305.6 cents.
Mobile and Consumer Business Booms
The Telkom Consumer division was a standout performer, increasing operating revenue by 6.4% to R14.25 billion. This was driven by advanced data analytics, product portfolio optimisation, and expanded distribution channels.
The most striking figures came from mobile, where service revenue increased by 7.9%, continuing to outpace market growth rates.
Mobile data subscribers grew by an exceptional 26.7% to 18.5 million, now representing 75.3% of the total mobile subscriber base of 24.5 million. This performance cements a remarkable milestone: its Mobile business delivered market-leading service revenue growth for the 11th consecutive quarter.
Openserve and BCX: The Network Backbone Delivers
The ‘OneTelkom’ approach, which leverages the group’s integrated capabilities, was a recurring theme. Openserve, South Africa’s leading wholesale infrastructure provider, saw overall revenue grow by 2.7%, with fibre-related revenue increasing by 10.1%. It now reaches 1.5 million homes passed, with a market-leading connection rate of 52%.
BCX, meanwhile, showed significant progress on profitability, with its EBITDA margin improving to 9.9% for the half. While overall revenue saw a decline, strategic areas shined: fibre-related data revenue grew by 13.8% and cybersecurity services revenue increased by 10.4%.
Leadership Confident in Sustained Strategy
Group Chief Executive Officer Serame Taukobong says the ongoing focus on operational excellence across business units and the OneTelkom approach drove the group’s sustained performance.
“These results demonstrate that we are well positioned to deliver on the commitments of our medium-term objectives. Additionally, the results reflect the determination and commitment of all our employees, who are relentlessly focused on executing our data-led strategy,” Taukobong said.
Looking ahead, Taukobong acknowledged a subdued economic outlook and intensifying competition but reaffirmed the group’s strategic focus. “We will continue to leverage the unique advantage of our extensive fibre footprint to drive growth through our strong mobile offerings in service and data,” he stated.
The group expects to maintain mid-single-digit service revenue growth for the mobile business and will continue to prioritize strategic capital expenditure, which increased by 12.9% to R2,870 million in the period, to reinforce its market leadership and drive long-term value creation.
