Saturday, June 7, 2025
No Result
View All Result
News Report  Zimbabwe
  • News that Matters
    • News
    • Health and Diseases
    • Technology
    • Religion
    • Horror and Disaster
    • Elections 2023
  • Crime and Courts
  • Celebrity
  • Sports
  • Mjolo
  • Breaking News
  • News that Matters
    • News
    • Health and Diseases
    • Technology
    • Religion
    • Horror and Disaster
    • Elections 2023
  • Crime and Courts
  • Celebrity
  • Sports
  • Mjolo
  • Breaking News
No Result
View All Result
News Report  Zimbabwe
No Result
View All Result
Home News

Currency depreciation erodes Econet Wireless earnings

November 22, 2023
0
Currency depreciation erodes Econet Wireless earnings

Econet Wireless has started harvesting the fruits of its investment drive, however the impact of inflation, sub-economic tariffs and the currency depreciation still threatened the company’s earnings.

Econet Wireless, the biggest telecommunications company in Zimbabwe’s latest half-year results have exposed the trend being faced by many other firms.

From an investment level of less than 5% of revenue in previous years, Econet Wireless increased its capital investments to 24% of revenue in the six months to August.

This move saw 252 base station sites being modernised in the first quarter, and a further 439 sites in the second quarter, covering Harare and Bulawayo.

This was one of the most significant network investment in years.

“We successfully leveraged the partnerships we have with our major equipment vendors to modernise our network after several years of under-investment,” Econet reports.

“The network modernisation entails replacing old equipment that had limited capacity or is no longer supported by the vendors.

“The modernised equipment has better performance, capacity and coverage.”

This investment assisted the company to expand the amount of traffic on the network, with users making 24% more voice calls and using 25% more data on the Econet network.

However, inflation and exchange losses ate into earnings, leaving Econet with a loss before monetary adjustment of ZW$24 billion against a prior period comparative loss of ZW$40 billion.

“Exchange losses from US dollar-denominated liabilities driven by the weakening local currency continue to have a negative impact on the Group’s performance.

“During the period, the Group incurred exchange losses amounting to ZW$375 billion representing 34% of revenue against a prior period comparative of 39%,” says Econet.

The company points out that while its customers may see Econet tariffs as too high due to inflation eroding incomes, telecom operators say the charges are below cost.

“Viable pricing of telecommunication services remains a key factor for the continued growth and sustainability of the industry,” Econet says.

“The volatile operating environment continues to significantly erode the benefits of any tariff adjustments.

“Regular and effective tariff reviews that track inflation and exchange rate movements are critical to ensure the viability and sustainability of the sector.

“According to the Postal, Regulatory Telecommunications Authority of Zimbabwe (POTRAZ) voice and data tariffs remain at discounts of 58% and 88% respectively to the region.”

Source Zwnews

Tags: Econet Wireless

Related Posts

Masvingo Council Official Takes His Own Life

Masvingo Council Official Takes His Own Life

by Nyathi
June 6, 2025
0

A shocking incident has rocked the Masvingo community after Pius Nyatsanza, the Planning and Economic Affairs Executive Officer for Masvingo...

Nephew Butchers  Uncle Over  Goat

Nephew Butchers Uncle Over Goat

by Nyathi
June 6, 2025
0

A chilling incident has shaken the village of Chinyama in Muzarabani, leaving a trail of death and destruction in its...

Truck Driver Loses Life in Brutal Robbery Attack

Truck Driver Loses Life in Brutal Robbery Attack

by Nyathi
June 5, 2025
0

A tragic incident has shaken the transport industry after a truck driver succumbed to severe injuries sustained in a violent...

Hyena Attack Leaves Man Fighting for Life

Hyena Attack Leaves Man Fighting for Life

by Nyathi
June 5, 2025
0

A terrifying encounter between a man and a hyena has left the community in shock. Wiseman Ngozo, a resident of...

Open Letter Slams Judicial Service Commission Interviews

Open Letter Slams Judicial Service Commission Interviews

by Nyathi
June 4, 2025
0

Prominent Zimbabwean human rights lawyer Beatrice Mtetwa has penned an open letter to the Judicial Service Commission (JSC), criticizing the...

Zimbabweans Fleeing Xenophobic Attacks Face New Hardship- Arrest and Deportation

Zimbabweans Fleeing Xenophobic Attacks Face New Hardship- Arrest and Deportation

by Nyathi
June 4, 2025
0

  In a heart-wrenching turn of events, over 100 Zimbabweans seeking shelter after xenophobic attacks in Addo, South Africa, were...

Please login to join discussion

Trending News Today

  • Sangoma Turns to  Lion Snack

    Sangoma Turns to Lion Snack

    106 shares
    Share 42 Tweet 27
  • Widow Caught in Bed With Lover a Week After Burying Husband

    101 shares
    Share 40 Tweet 25
  • Chiredzi: CIO Officer Goes Rogue

    61 shares
    Share 24 Tweet 15
  • Bulawayo Prison Horror-20 Years for Gang Assault

    48 shares
    Share 19 Tweet 12
  • Self Proclaimed King “Munhumutapa” to Stand Trial Tomorrow.

    46 shares
    Share 18 Tweet 12
  • Former Zambian President Lungu dies

    74 shares
    Share 30 Tweet 19
  • Pastor’s Pulpit Shame- Church Leader Caught in Love Triangle

    132 shares
    Share 53 Tweet 33
  • Masvingo Council Official Takes His Own Life

    41 shares
    Share 16 Tweet 10
  • Son Disciplines Father’s Girlfriend

    35 shares
    Share 14 Tweet 9
  • ” NACAZ , ZRP Join Forces : Dagga Dealer Busted in Harare CBD “

    30 shares
    Share 12 Tweet 8

Popular This Week

  • Fatal Dog Attack Exposes Mike Mupinga’s Troubling Past

    Fatal Dog Attack Exposes Mike Mupinga’s Troubling Past

    268 shares
    Share 107 Tweet 67
  • The Turbulent Life of President Mnangagwa: A Story of Helicopters, Close Calls, and Air Force Angst

    139 shares
    Share 56 Tweet 35
  • Pastor’s Pulpit Shame- Church Leader Caught in Love Triangle

    132 shares
    Share 53 Tweet 33
  • Serial South African Killer Escapes To Zimbabwe

    110 shares
    Share 44 Tweet 28
  • Sangoma Turns to Lion Snack

    106 shares
    Share 42 Tweet 27
  • COVID-19 Variant Alert: WHO Urges Global Vigilance

    105 shares
    Share 42 Tweet 26
  • Widow Caught in Bed With Lover a Week After Burying Husband

    101 shares
    Share 40 Tweet 25
  • The Fake Doc- “Take Lacto And Fruits Three Times a Day”

    100 shares
    Share 40 Tweet 25
  • Daughter and Son-in-Law Swindle Father Out of $100k

    158 shares
    Share 63 Tweet 40
  • Blessed Bowa’s 12-Year Gift for Being a ‘Good Samaritan’ Thief

    94 shares
    Share 38 Tweet 24

Popular This Month

  • How to Legally Avoid Paying the US$92 ZBC Radio Licence Fee in Zimbabwe

    How to Legally Avoid Paying the US$92 ZBC Radio Licence Fee in Zimbabwe

    598 shares
    Share 239 Tweet 150
  • Bulawayo Police Bust Vuzu Party, Arrest 13 Youths

    323 shares
    Share 129 Tweet 81
  • Unhealed Wounds-Remembering the 21 Mothers of Emkhonyeni Who Were Burnt Alive

    314 shares
    Share 126 Tweet 79
  • Apostle Eunor Guti Declines Wicknell Chivayo’s Lavish Gift

    274 shares
    Share 110 Tweet 69
  • Fatal Dog Attack Exposes Mike Mupinga’s Troubling Past

    268 shares
    Share 107 Tweet 67
  • Loophole or Legal Gymnastics? Zimbabwean Schools Find Ways Around Fee Payment Rule

    247 shares
    Share 99 Tweet 62
  • New ‘ lobola’ Fees for Foreigners Seeking Medical Care in Gauteng

    240 shares
    Share 96 Tweet 60
  • The Despicable Scam at Zimbabwe’s Hospitals; Its Business Nothing Personal.

    238 shares
    Share 95 Tweet 60
  • Philanthropy or Publicity Stunt? Wicknell Chivayo’s Lavish Gift to Jah Prayzah’s Team

    211 shares
    Share 84 Tweet 53
  • Hospital Investigates Disappearance of Infant’s Body

    205 shares
    Share 82 Tweet 51

Most Read Stories

  • “Zimbabwe Is Discrediting SADC”

    ZANU PF Accused Of Bribing SADC Elders To Retain From Losing Power

    5239 shares
    Share 2096 Tweet 1310
  • Madzibaba gets Toyota Aqua after explaining new currency ZiG to church

    4533 shares
    Share 1813 Tweet 1133
  • Breaking News: Zimbabwe launches New Currency (Zig)

    4278 shares
    Share 1711 Tweet 1070
  • Guide : How to access 2023 Zimsec Ordinary O Level results online

    3973 shares
    Share 1589 Tweet 993
  • Uganda Police Officer Shoots Wife Dead After Mocking Him Over Man-U Loss

    3893 shares
    Share 1557 Tweet 973
  • Floods hit Gweru

    3593 shares
    Share 1437 Tweet 898
  • Mashura pa Gokwe musi wa 12.02.24

    3544 shares
    Share 1418 Tweet 886
  • Secret message for ED after his inauguration

    3481 shares
    Share 1392 Tweet 870
  • Heatwave Warning:Expect Extremely hot temp ranging from 36° to 41° until 12 March

    3394 shares
    Share 1358 Tweet 849
  • Here is the reckless Kombi Driver!!!!!!!!!!! See pics here

    3218 shares
    Share 1287 Tweet 805

  • About Us
  • Contact Us
  • FAQ
  • Privacy Policy
  • Terms of Service
  • Home

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • News that Matters
    • News
    • Health and Diseases
    • Technology
    • Religion
    • Horror and Disaster
    • Elections 2023
  • Crime and Courts
  • Celebrity
  • Sports
  • Mjolo
  • Breaking News