One of the leading telecom in the country, Vodacom Tanzania has recorded a 63.4 percent net profit, equivalent to Tshs 47.6billion in a year ending March, thanks to M-Pesa revenue growth.

The firm handsome profit came at time of concluding its Tshs 476billion initial public offer (IPO), the biggest in the history of Dar es Salaam bourse. Vodacom Managing Director Ian Ferrao said that M-Pesa revenue grew 11 per cent to Tshs 249.6billion pinned by an increase of 936,000 active customers.

“In particular our continued investment in data, M-Pesa and enterprise paid dividends….” Mr Ferrao said yesterday in a statement. The MD said despite negative impact on excise duty imposed last July, M-Pesa delivered strong growth throughout the year.

“Looking ahead, we aim to maintain the encouraging momentum of the second half of the past year by continuing focus investments across our key strategic drivers—data, M-Pesa, and enterprise…,” Mr Ferrao said.

The telecom expansion of its mobile money ecosystem has invoked an 18 per cent rise in the number of transaction to reach over 8.0 million customers who make up 63 per cent of Vodacom active customer base.

The results enabled earnings per share to grow 63 per cent to Tshs 28.3billion for the year ending March. Vodacom share price at IPO was at Tshs 850 Vodacom projects its net profit in 2018 will reach Tshs 95.86billion a change increase of 102.8 per cent.

The growth in 2018, according to prospectus, will be fueled by data demand as smart devices become more accessible while 3G and 4G networks reach more customers.