Kampala, Uganda – Airtel Uganda has posted a significant increase in its half-year profits, driven by strong growth in its data services. The financial results highlight a continuing trend in the telecommunications industry, where traditional voice call revenue is being outpaced by internet-based services.
The company’s profit after tax for the first half of 2025 rose by 28.7% to 197.2 billion Ugandan shillings, up from 153.2 billion shillings a year earlier. This came as total revenue climbed by 12.3% to 1.08 trillion shillings, bolstered by a growing number of subscribers and increased demand for data.
While data revenues soared by more than 30%, becoming the main engine of growth, voice revenues experienced a 2% year-on-year decline. This fall is largely attributed to a regulatory decision in September 2024 to cut interconnect rates. Consequently, voice’s contribution to total revenue dropped to 47.9%, down from 54.8% in the same period last year.
Airtel Uganda’s financial health was also boosted by its cost-efficiency measures, with operating expenses increasing by only 5.5%. This allowed EBITDA (earnings before interest, taxes, depreciation, and amortisation) to rise by 19.3% to 567.3 billion shillings, and EBITDA margins to expand to 52.3%.
In a positive development for investors, the company’s board has proposed an interim dividend of 174 billion shillings, marking a 31.8% increase on the previous year’s payout.
The company’s capital expenditure of 87.8 billion shillings was directed towards network upgrades and building new sites in various districts, including Kabale, Lira, and Tororo. Airtel Uganda reports that it has achieved 100% 4G coverage and is continuing to roll out its 5G and fibre infrastructure in urban centers like Kampala.
The National Social Security Fund’s gain of over 50.3 billion shillings from its investment in Airtel shares has been seen as a vote of confidence in the Uganda Securities Exchange, signaling the continued development of the nation’s capital markets.
