Safaricom Raises Interim Dividend After Strong First-Half Performance

Safaricom Plc has increased its interim dividend by 54.5 per cent following a strong first-half financial performance, reflecting improved profitability and growth in its core revenue streams.

In a notice to the Capital Markets Authority, the telecommunications firm announced an interim dividend of Sh0.85 per ordinary share for the financial year ending March 31, 2026, up from the previous year’s level. The dividend will be paid to shareholders on or about March 31, 2026, to those registered at the close of business on February 25.

The higher payout follows a sharp improvement in earnings during the first half of the financial year. Safaricom reported a 52.1 per cent increase in post-tax profit to Sh42.8 billion, compared with Sh28.1 billion recorded in the same period last year.

Revenue growth remained steady, with service revenue rising 11.1 per cent to Sh199.9 billion. Operating performance strengthened further as earnings before interest and tax (EBIT) Safaricom surged 54.5 per cent to Sh65.2 billion, supported largely by continued growth in data services and M-Pesa revenues.

The results point to sustained momentum in Safaricom’s core business segments, even as the company operates in a competitive and evolving telecommunications market. The improved earnings profile has enabled the company to deliver higher interim returns to shareholders while maintaining its financial position.

The dividend increase signals confidence in Safaricom’s earnings outlook and underscores the role of data and mobile financial services as key drivers of profitability in the current financial year.