Safaricom's net profit has dropped by Kes15 billion to Kes52.5 billion from Kes67.5 billion in the full year ending March 31, 2023.

The drop is attributed to the high inflationary pressure and a drop in voice earnings.

It came on the back of increasing inflationary pressure that has impacted most households and the 2022 general elections.

However, voice revenue underperformed with a drop of 2.6 per cent from Kes81.1 billion.

Safaricom CEO Peter Ndegwa noted that the company has delivered solid results despite the tough operating environment occasioned by a slowdown in business activity in an election year in Kenya, a tough macro environment and a change in mobile termination rates, which impacted our voice revenues significantly.

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Whereas M-Pesa revenue grew 8.8 per cent to Kes117.2 billion, mobile data increased to Kes54 billion, representing an 11.4 per cent rise.

“The business is stable and regained a strong positive momentum in the second half of the year,” Ndegwa added.

“Looking into the future, we passionately believe that our business is well-positioned to support our customers and provide technology solutions as we transition into a purpose-led technology organization in line with our 5 YR strategy.”