A major inflection point has emerged in Safaricom’s regional strategy, as its Ethiopian subsidiary has crossed the 10 million active customer mark, driven by accelerated subscriber acquisition, expanding network coverage, and rising mobile data usage across the country’s urban and peri-urban markets.
The milestone, reached less than four years after receiving its operating license, reflects the pace at which the telco has scaled operations in a highly competitive and previously state-controlled telecom landscape.
By March 2025, Safaricom Ethiopia had already reached 8.8 million 90-day active users, doubling its base year-on-year, with an average daily onboarding rate now exceeding 31,000 new subscribers.
Operational indicators point to broad uptake across multiple service lines. Mobile data users stood at 7.1 million, more than doubling from the previous year, while voice usage expanded to 7.8 million users.
Messaging and M-PESA adoption have also grown, with 4.8 million and 2.4 million active users respectively.
The numbers indicate a diversified service footprint, with mobile money now entering its early scaling phase after a cautious rollout in 2023.
The company’s 4G network currently spans 3,141 live sites, covering over half of Ethiopia’s population across more than 150 towns and cities, an infrastructure expansion that has enabled usage growth across consumer segments and laid the groundwork for more sophisticated data-driven offerings.
Financial performance has tracked closely with these operational gains.
In the fiscal year ending March 2025, Safaricom Ethiopia posted Ksh 8.9 billion in service revenue, a 65.4% rise year-on-year.
Mobile data accounted for three-quarters of that figure, bringing in Ksh 6.71 billion, followed by voice (Ksh 1.34 billion), M-PESA and other services (Ksh 0.41 billion), and incoming mobile traffic (Ksh 0.43 billion).
M-PESA’s revenue contribution, though currently modest, more than doubled during the period, signaling growing traction in a market still warming up to digital finance alternatives.
Adjusted EBITDA, excluding the impact of currency depreciation, has shown steady recovery, as operating losses narrow and cost structures stabilize.
Based on current performance, the business is now projected to reach financial break-even within the next 6 to 12 months, a timeline that would mark one of the fastest turnarounds by a greenfield telco in Africa’s liberalised telecom history.
Leadership changes have also followed this momentum.
In May 2025, Peter Ndegwa, Safaricom Group CEO, was appointed Chair of both the Global Partnership for Ethiopia (GPE) and the Safaricom Ethiopia Advisory Board—a governance shift aimed at anchoring strategic alignment between Nairobi and Addis Ababa as the business enters a more commercially mature phase.
The Ethiopian operation employs 900 staff directly, with 97% drawn from the local workforce.
Through its distribution network, it has facilitated the creation of more than 20,000 indirect jobs, reflecting the broader economic ripple effects of network expansion, retail partnerships, and agent onboarding.
Beyond commercial targets, the company has also allocated ETB 100 million toward community-focused programs in education and humanitarian support, forming part of its local embeddedness strategy as it seeks to maintain regulatory goodwill and grassroots legitimacy in a dynamic policy environment.
Wim Vanhelleputte, CEO of Safaricom Ethiopia, framed the company’s mission as a long-term investment in connectivity infrastructure and digital inclusion, anchored by high-quality service delivery and wide network access.
The recent uptick in Safaricom Plc’s share price, closing at Ksh 26.20, its highest level since October 2022, suggests growing investor confidence in the regional growth story, particularly as the Ethiopian market begins to translate early momentum into sustained commercial performance.
