Vodacom CEO scores R61 million payday

 ·17 Jun 2024

Vodacom CEO Shameel Joosub has received a pay package of R61 million for the 2024 financial year.

For the year ended 31 March 2024, Joosub said that start-up losses in Ethiopia, higher finance and energy costs, the hit of absorbing inflationary pressures, and a weaker exchange rate across hurt its headline earnings, which dropped by 10.8% to 846 cents per share.

Nevertheless, service revenue grew by 2.6% due to new services, the consumer contract segment, and prepaid mobile data.

The growth was, however, offset by pressure in Vodacom Business due to a shift away from work-from-home policies that saw corporate customers recalibrating their spending. 

A more mobile workforce would boost the group’s mobile sales and services, while a return to the office would see bigger spending on fixed-line services.

The group’s financials for the period can be found below:

Financials (Rm)FY 2023FY 2024% change
Revenue119 170150 59426.4
Service revenue93 650120 89729.1
Net profit from associates and joint ventures2 6072 197(15.7)
Operating profit29 25235 33720.8
Net profit18 11119 2626.4
Net debt to EBITDA1.10.9(0.2x)
Earnings per share (cents)948842(11.2)
Headline earnings per share (cents)948846(10.8)
Total dividend per share (cents)670590(11.9)

CEO and CFO pay

Amid the group’s tough time, Joosub’s pay package dropped by 4.0% from the R64 million he earned in the prior financial year.

Overall, his long-term inventive rewards (LTIs) dropped by 39.9% to R17.3 million.

His dividend payments also dropped by 14.8% to R6.3 million.

When considering tax, his take-home pay dropped by 4.0% to R33 million.

Croup CFO Raisibe Morathi, on the other hand, saw her pay remuneration package increase by 6.2% to R30 million.

Although her dividend payments dropped by 53.6% to R665 thousand, her short-term incentives climbed by 47.0% to R9.5 million.

Post-tax, she took home R16.5 million:

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