The latest financial results for Econet Wireless for the half year ending August 2014 were released yesterday with an indication of a performance that has benefited significantly from the network’s overlay services.
With revenue for the period up by 4.2 % to $392.3 million Econet has been posting a strong performance, despite the tough economic environment that has been cited as one of the reasons for a decline in earnings before interest which were down by 8.3% to $155 million.
The network has rolled out an aggressive diversification strategy that has resulted in the introduction of varied services that include car tracking, advertising and products that enhance the earning potential of the mobile money service EcoCash.
In the same period Econet has also been heavy on broadband products that included bundled services for Facebook, WhatsApp and Opera Mini as well as a USSD related product for Facebook. These have been geared at boosting the Average Revenue Per User (ARPU) in an environment where voice revenues have decreased sharply.
Steward Bank, Econet’s banking subsidiary has reduced its losses and was cited as being key to the network’s strategic focus going forward. This likely points to a more amplified involvement in products and services like EcoCash diaspora that concern EcoCash which, as a mobile money service, is seen as the salvation for local telecoms.
You can view the half year financial results below