Vodacom Group shares climbed 5.4% in early Tuesday trading to R149.25 as investors responded to a positive trading statement released after Monday’s market close. The JSE-listed operator expects earnings per share (EPS) for the financial year ended 31 March 2026 to increase by 20% to 25%.
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The group anticipates earnings and headline earnings to show significant year-on-year growth:
- Earnings Per Share: Expected to land between R10.31 and R10.74, compared to R8.59 in the previous period.
- Headline Earnings Per Share: Projected to rise to between R10.28 and R10.71 from R8.57 previously.
Vodacom noted that these results align with CEO Shameel Joosub’s Vision 2030 strategy, which targets consistent double-digit Ebitda growth.
The robust guidance follows a year of expansion and consolidation across key territories:
- Egypt as a Growth Engine: Vodafone Egypt, in which Vodacom holds a 55% stake, secured additional mobile spectrum in February as part of a government program. Since the 2022 acquisition, Egypt has become a vital contributor to the group’s performance.
- South African Infrastructure: Competition authorities recently cleared Vodacom’s acquisition of a 30% stake in Maziv. This deal integrates Vodacom into the operations of Vumatel and Dark Fibre Africa, spanning national backhaul, metro rings, and last-mile fibre.
- Domestic Challenges: Despite the positive group outlook, the South African mobile business faced headwinds. At the mid-year mark, service revenue grew only 2.2% as competitive pricing from MTN and the rise of mobile virtual network operators (MVNOs) pressured the prepaid segment.
When the full-year results are published on 11 May 2026, the market will be looking for specific updates on South African service revenue, the momentum of financial services, and any announcements regarding dividends.
