Telkom has returned to paying dividends after the group declared over R7 billion in profit, including a special dividend following the sale of Swiftnet.<\/p>\n\n\n\n
Serame Taukobong, Telkom’s Group CEO, said the company’s strategic vision is yielding exceptional results.<\/p>\n\n\n\n
The group also completed the sale of its tower business, Swiftnet, to a consortium of buyers for R6.5 billion during the financial year. <\/p>\n\n\n\n
Although the group data revenue remained strong, a combination of successful strategies fuelled the increase in EBITDA and cash flow growth.<\/p>\n\n\n\n
Mobile and fibre service revenue growth across the group improved adjusted EBITDA by 25.1% and drove a 19.3% year-on-year increase in cash flow from underlying operations.<\/p>\n\n\n\n
With total profit income for the year growing from R1.8 billion to R7.5 billion, Telkom reinstated dividend payments after a five-year suspension.<\/p>\n\n\n\n
The group’s new dividend policy aims to maintain a strong balance sheet, buffer potential economic downturns and fund future capital investments.<\/p>\n\n\n\n
The board declared a final ordinary dividend of 163 cents per share for the year and a special dividend of 98 cents per ordinary share.<\/p>\n\n\n\n
The ordinary dividend was declared out of the cash balances, and the special dividend was declared out of the cash proceeds from the Swiftnet disposal.<\/p>\n\n\n\n
This took the total dividend for FY2025 to 261 cents per share, with Telkom returning R1.3 billion to its shareholders. <\/p>\n\n\n\n
The group suspended the payment of dividends for three years to conserve cash and buy much-needed spectrum in 2020, but required another two years before paying out.<\/p>\n\n\n\n The group has set several objectives for the next three years using its current momentum, which it says will be achievable.<\/p>\n\n\n\n Maintaining a strong balance sheet remains a top priority, as this will enable it to invest in profitable growth without compromising its resilience, it said.<\/p>\n\n\n\n Telkom also hopes to sustain the positive free cash flow momentum that has been established to date.<\/p>\n\n\n\n The group’s medium-term objectives are:<\/p>\n\n\n\n “We will continue to navigate global macro-economic uncertainties and domestic challenges like high unemployment and the need for sustained economic growth to support our connectivity businesses,” it said.<\/p>\n\n\n\n “At the same time, we are encouraged by positive signals in South Africa, including moderating inflation and marginally lower interest rates.”<\/p>\n","protected":false},"excerpt":{"rendered":" Telkom has declared its first dividend in five years, with shareholders also receiving a special dividend following the sale of Switnet. <\/p>\n","protected":false},"author":95,"featured_media":695809,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[22811,65],"class_list":["post-827489","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-telecommunications","tag-switnet","tag-telkom"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/827489","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=827489"}],"version-history":[{"count":6,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/827489\/revisions"}],"predecessor-version":[{"id":827591,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/827489\/revisions\/827591"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/695809"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=827489"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=827489"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=827489"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Financials<\/strong><\/td> 2024<\/strong><\/td> 2025<\/strong><\/td> % Change<\/strong><\/td><\/tr> Revenue (Rm)<\/td> 43 230<\/td> 44 572<\/td> +3.1%<\/td><\/tr> EBITDA (Rm)<\/td> 10 041<\/td> 15 939<\/td> +58.7%<\/td><\/tr> Profit for the year (Rm)<\/td> 1 881<\/td> 7 503<\/td> +298.9%<\/td><\/tr> Basic earnings per share (cents)<\/td> 296.4<\/td> 1,528.1<\/td> +385.5%<\/td><\/tr> Headline earnings per share (cents)<\/td> 376.0<\/td> 544.5<\/td> +44.8%<\/td><\/tr> Dividend (cents)<\/td> –<\/td> 260.8<\/td> >100%<\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n Outlook<\/strong><\/h2>\n\n\n\n
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