What began in 2000 as a mobile network operator with fewer than 300,000 subscribers has today transformed into Kenya’s largest and most influential technology company.
Safaricom’s evolution is a testament to strategic innovation, market insight and a firm commitment to solving local challenges through digital solutions.
From pioneering mobile money to expanding into Ethiopia, Safaricom has consistently redefined the boundaries of connectivity and financial inclusion across East Africa.
One of Safaricom’s most defining milestones came in 2006 with the launch of M-Pesa, the world’s first mobile money transfer service.
What started as a simple money transfer tool has now grown into a multifaceted financial platform offering credit, savings, insurance and investment solutions.
By 2025, M-PESA had generated Sh161 billion in revenue in Kenya alone, accounting for 44.2 per cent of the company’s service income.
In 2013, Safaricom deepened its role in digital commerce with the introduction of Lipa Na M-Pesa, a service that has powered cashless payments for millions of merchants and consumers across the country.
In the financial year ending March 31, 2025, Safaricom reported a net income of Sh69.8 billion, driven by double-digit growth in both mobile money and broadband services.
Kenya remained the engine of this growth, contributing Sh381.2 billion in total revenues—a 11.4 per cent year-over-year increase.
Group-wide revenues reached Sh390.1 billion, reflecting a 12.9 per cent growth despite continued operational hurdles in Ethiopia.
Earnings before interest and taxes in Kenya rose 13 per cent to Sh151 billion.
Shareholders were handsomely rewarded, with Sh48.08 billion paid out in dividends, combining a final dividend of 65 cents per share with an interim dividend of 55 cents.
Safaricom’s entry into Ethiopia, Africa’s second most populous country, represents a strategic bet on long-term growth.
As of early 2025, Safaricom Ethiopia had 8.8 million subscribers and more than 3,141 sites in operation.
Though still loss-making, the Ethiopian arm contributed nearly 10 per cent of group revenue and is projected to turn profitable by 2027.
“We are extremely pleased with what we have been able to achieve as a group despite macroeconomic headwinds in Kenya and a challenging environment in Ethiopia,” CEO Peter Ndegwa said during the company’s recent investor briefing.
“Ethiopia, however, provides an immense opportunity for our continued growth,”Ndegwa added.
Mobile data revenue climbed 15.2 per cent to Sh72.9 billion, driven largely by increased 4G adoption.
Voice and messaging revenues defied global declines, both growing by 1.6 per cent to Sh80.8 billion and Sh12.48 billion, respectively.
Safaricom’s legacy is built on innovation. The company was the first in Kenya to introduce per-second billing in 2001, and by 2008, it had reached 10 million subscribers and launched its IPO.
Today, it connects nearly 36 million customers with mobile and digital services that span sectors including fintech, healthcare, education, and agritech.
As it looks ahead, Safaricom’s focus remains on leveraging technology to foster inclusive growth, empower communities, and contribute to Kenya’s digital transformation.
With an eye on sustainability, cross-border expansion and continued innovation, Safaricom’s journey is far from over—but its foundation is firmly set as a trailblazer in Africa’s tech ecosystem.
by Allan Kisia
