TechCentralTechCentral
    Facebook Twitter YouTube LinkedIn
    Facebook Twitter LinkedIn YouTube
    TechCentralTechCentral
    NEWSLETTER
    • News

      Google’s giant Equiano Internet cable has landed in South Africa

      8 August 2022

      The African tech start-ups eyeing global markets

      8 August 2022

      Karpowership loses bid to overturn environmental ruling

      8 August 2022

      New app launched to tackle potholes in South Africa

      8 August 2022

      Rogue database felled Capitec in its worst-ever IT outage

      7 August 2022
    • World

      Nvidia issues profit warning on slump in demand for graphics cards

      8 August 2022

      Buterin: Mining on Ethereum Classic won’t affect Merge

      8 August 2022

      Musk challenges Twitter CEO to a public debate

      7 August 2022

      Amazon splashes $1.7-billion on Roomba maker iRobot

      5 August 2022

      Nigeria asks Google to block banned groups from YouTube

      5 August 2022
    • In-depth

      The length of Earth’s days has been increasing – and no one knows why

      7 August 2022

      As Facebook fades, the Mad Men of advertising stage a comeback

      2 August 2022

      Crypto breaks the rules. That’s the point

      27 July 2022

      E-mail scams are getting chillingly personal

      17 July 2022

      Webb telescope’s stunning images of the cosmos

      12 July 2022
    • Podcasts

      How South Africa can woo more women into tech

      4 August 2022

      Book and check-in via WhatsApp? FlySafair is on it

      28 July 2022

      Interview: Why Dell’s next-gen PowerEdge servers change the game

      28 July 2022

      Demystifying the complexity of AI – fact vs fiction

      6 July 2022

      How your organisation can triage its information security risk

      22 June 2022
    • Opinion

      SIU seeks to set aside R215-million IT tender

      19 July 2022

      No reason South Africa should have a shortage of electricity: Ramaphosa

      11 July 2022

      Ntshavheni’s bias against the private sector

      8 July 2022

      South Africa can no longer rely on Eskom alone

      4 July 2022

      Has South Africa’s advertising industry lost its way?

      21 June 2022
    • Company Hubs
      • 1-grid
      • Altron Document Solutions
      • Amplitude
      • Atvance Intellect
      • Axiz
      • BOATech
      • CallMiner
      • Digital Generation
      • E4
      • ESET
      • Euphoria Telecom
      • IBM
      • Kyocera Document Solutions
      • Microsoft
      • Nutanix
      • One Trust
      • Pinnacle
      • Skybox Security
      • SkyWire
      • Tarsus on Demand
      • Videri Digital
      • Zendesk
    • Sections
      • Banking
      • Broadcasting and Media
      • Cloud computing
      • Consumer electronics
      • Cryptocurrencies
      • Education and skills
      • Energy
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Motoring and transport
      • Public sector
      • Science
      • Social media
      • Talent and leadership
      • Telecoms
    • Advertise
    TechCentralTechCentral
    Home»News»Telkom shares leap 18% on jump in earnings

    Telkom shares leap 18% on jump in earnings

    News By Duncan McLeod3 November 2020
    Facebook Twitter LinkedIn WhatsApp Telegram Email

    JSE-listed telecommunications operator Telkom said on Tuesday that it expects headline earnings per share (Heps) to rise by as much as a quarter in the six months to 30 September 2020, sending its shares leaping higher.

    The earnings update, which comes a week before Telkom reports its interim results, saw the company’s shares trading up almost 18% by the close in Johannesburg at R30.72.

    Interim Heps, Telkom said, will rise by between 15% and 25% compared to the same period a year ago, while basic earnings per share are expected to increase by between 19% to 27%.

    The group performance was sound despite a difficult trading environment due to the adverse impact of Covid-19 on the economy

    The improved earnings performance has been mainly driven by a 16% growth in operating profit on the back of “solid growth” in earnings before interest, tax, depreciation and amortisation, or Ebitda. The earnings growth would have been even better if it wasn’t for an increase in Telkom’s effective tax rate, from 28.8% to 34.8%.

    “The group performance was sound despite a difficult trading environment due to the adverse impact of Covid-19 on the economy,” Telkom said. “Group revenue showed resilience in the face of the pandemic, remaining broadly flat compared to the prior period.”

    Mobile grows

    The mobile business continued its growth trajectory, placing Telkom Mobile “solidly as the third largest mobile operator in South Africa”, ahead of Cell C, it said.

    “Management relentlessly focused on its sustainable cost management programme to protect group Ebitda and margin. Group Ebitda increased more than 5% from the R5.6-billion reported in the prior period and Ebitda margin expanded compared to the prior period. Management optimised both direct costs and opex with a significant improvement in total cost-to-revenue ratio compared to the prior period.”

    The group Ebitda performance was also supported by the reversal of R66-million relating to a Covid-19 impairment on receivables provision that was recognised at the 31 March 2020 year-end. – © 2020 NewsCentral Media

    Telkom top
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email
    Previous ArticleTeraco to build R4-billion data centre north of OR Tambo
    Next Article Forescout: Zero Trust security for the Enterprise of Things

    Related Posts

    Google’s giant Equiano Internet cable has landed in South Africa

    8 August 2022

    The African tech start-ups eyeing global markets

    8 August 2022

    Nvidia issues profit warning on slump in demand for graphics cards

    8 August 2022
    Add A Comment

    Comments are closed.

    Promoted

    You don’t need a call centre to take advantage of call centre technology

    5 August 2022

    Black man, you are still on your own

    5 August 2022

    UC&C interoperability offers businesses operational cost relief in tough times

    4 August 2022
    Opinion

    SIU seeks to set aside R215-million IT tender

    19 July 2022

    No reason South Africa should have a shortage of electricity: Ramaphosa

    11 July 2022

    Ntshavheni’s bias against the private sector

    8 July 2022

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2022 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.