By Walker
Airtel Uganda Limited has reported a robust set of financial results for the year ended 31 December 2025, with revenues climbing 13.3% to UGX 2.23 trillion compared to UGX 1.98 trillion in the prior year, driven by strong growth in both data and voice segments alongside a rapidly expanding customer base.
Headline Numbers
The telecom giant’s total income — including other income of UGX 15.8 billion — reached UGX 2.25 trillion, up from UGX 1.99 trillion in 2024. Profit for the year surged 41.7% to UGX 448.9 billion from UGX 316.7 billion, underscoring the company’s improved operational efficiency and sustained demand for its services. Basic and diluted earnings per share climbed to UGX 11.2, compared to UGX 7.9 the previous year.
Operating Performance: A Record-Breaking Year
Operating profit rose 35% to UGX 849.2 billion, delivering an operating profit margin of 37.7% — a notable achievement in a competitive telecommunications landscape. Profit before tax reached UGX 639.9 billion, up from UGX 431.7 billion in 2024.
In its commentary, management credited volume-based increases in network operating costs, higher sales and marketing expenditure, and depreciation and amortisation from the addition of 258 new sites during the year as the primary cost drivers.
Data Revenue Powers Growth
Data revenue emerged as a key growth engine, reaching UGX 1,101.7 billion — up significantly from UGX 899.7 billion in 2024 — as more Ugandan customers embraced mobile internet services. The surge was attributed to rising data usage across the subscriber base, reflecting a broader shift toward digital connectivity in the country.
Voice revenue also held firm, growing modestly to UGX 1,026.8 billion from UGX 995.5 billion in the prior year, demonstrating the resilience of the company’s core telephony business even as data becomes the dominant growth driver.
Customer Base Expands by 19.2%
The total customer base grew by an impressive 19.2% year-on-year, reflecting strong network investment and competitive service offerings that continue to attract and retain subscribers across Uganda.
Balance Sheet: Stronger and Leaner
Total assets grew to UGX 2.74 trillion from UGX 2.61 trillion in 2024, with the balance sheet continuing to demonstrate stability. On the liabilities front, total market debt — bank overdraft and term loans — was reduced from UGX 653.5 billion in 2024 to UGX 645.0 billion in 2025, easing the company’s leverage position.
Finance charges, however, increased to UGX 209.3 billion, primarily due to higher interest on lease liabilities. Management described the company’s leverage as remaining “at a sustainable and manageable level,” with a favourable EBITDA multiple.
Cash Flow: Strong Positive Position
Net cash generated from operating activities increased to UGX 1,013.4 billion for the year ended 31 December 2025, compared to UGX 880.0 billion in 2024 — a clear indicator of the company’s ability to convert earnings into cash. Investing activities absorbed UGX 238.0 billion, largely from capital expenditure on property, plant and equipment.
Cash and cash equivalents at year-end stood at UGX 189.2 million (net position), compared to a negative position of UGX 34.8 million in 2024.
Subject to shareholder approval, the Directors have recommended a final dividend of UGX 3.95 per share for the financial year ended 31 December 2025, payable on or before 29 April 2026. This adds to the interim dividend of UGX 3.50 per share paid during FY2025, bringing total dividends declared across the period to UGX 7.45 per share — a demonstration of management’s confidence in the company’s financial health and cash generation ability.
Commenting on the results, Managing Director Soumendrie Sahu and Chairman Hannington Karuhanga said the performance reflects “our unwavering commitment to innovation, customer satisfaction, and operational excellence.”
With a growing subscriber base, continued investment in network infrastructure, and the momentum from the data revolution underway across Uganda, Airtel Uganda appears well-positioned to sustain its growth trajectory into 2026 and beyond. The 19.2% customer growth combined with healthy margins and a strong cash position provides a solid foundation for further expansion.
