Business
Telkom’s Earnings Surge by 300% After Swiftnet Sale
South African telecoms giant Telkom has announced a massive 300% increase in basic earnings per share (BEPS) following the sale of its tower and mast business, Swiftnet.
In a trading update for the year ending 31 March 2025, Telkom revealed that its BEPS will rise from 385.5 cents in FY24 to a minimum of 1,542 cents per share in FY25.
Why the Surge?
The increase in earnings is primarily due to the R6.575 billion cash sale of Swiftnet, which closed on 27 March 2025. Swiftnet, which owned approximately 3,900 commercially available towers and masts, was sold to a consortium comprising Actis (70%) and Royal Bafokeng Holdings (30%).
While this is a one-time profit boost, Telkom’s headline earnings per share (HEPS), which excludes once-off items, is also set to rise by at least 10%, from 376 cents to a minimum of 413 cents per share.
Telkom’s Financial Outlook
| Financials | FY24 | FY25 Minimum | % Change Minimum |
|---|---|---|---|
| Basic earnings per share (BEPS) | 385.5c | 1,542.0c | +300% |
| Headline earnings per share (HEPS) | 376.0c | 413.6c | +10% |
Telkom has indicated that another trading statement will be issued once there is a clearer range for BEPS and HEPS.
When Will Telkom Release Full Results?
Telkom’s annual results for FY2025 are scheduled for release on 10 June 2025 via the Stock Exchange News Service (SENS).
What’s Next for Telkom?
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Increased liquidity from the Swiftnet sale gives Telkom financial flexibility.
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Shareholders may expect improved dividends or reinvestment in core telecom services.
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Further updates on Telkom’s post-Swiftnet strategy will be key to long-term performance.
{Source BusinessTech}
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