Kampala, Uganda | Airtel Uganda has reported a 28.7% rise in after-tax profit for the first half of 2025, driven by surging demand for data services that more than compensated for declining voice revenues. The telecom giant posted a profit after tax of Ushs 197.2 billion, up from Ushs 153.2 billion in the same period last year, while total revenue rose 12.3% to Ushs 1.08 trillion.
Voice revenues dipped 2% year-on-year following a regulatory cut in interconnect rates from Ushs 45 to Ushs 26 introduced in September 2024. This pushed voice’s contribution to total revenue down to 47.9%, from 54.8% a year earlier. The trend reflects a global shift, with voice services steadily losing ground to digital communication platforms. According to the Global System for Mobile Communications Association (GSMA), voice now makes up a shrinking share of telecom revenues as customers increasingly adopt cost-effective and flexible digital alternatives.
By contrast, Airtel Uganda’s data revenues surged by more than 30%, cementing data as the company’s main growth engine. This performance helped lift EBITDA by 19.3% to Ushs 567.3 billion, with margins expanding to 52.3% from 49.2% a year earlier, supported by disciplined cost management that saw operating expenses rise only 5.5%.
Shareholders are set to benefit directly. The Board announced an interim dividend of Ushs 174 billion, translating into Ushs 4.35 per share, a 31.8% increase compared to last year.
On the balance sheet, leverage increased to 1.7 times EBITDA due to tower lease extensions, but lease-adjusted leverage improved to 0.77, reflecting a strong financial position. Capital expenditure reached Ushs 87.8 billion, funding network upgrades and the rollout of new sites in Kabale, Lira, and Tororo. Airtel has already achieved 100% 4G coverage nationwide and continues to expand its 5G and fibre infrastructure in urban hubs such as Kampala.
For investors, the results highlight Airtel Uganda’s resilience and ability to deliver growth despite regulatory headwinds. For the wider market, they underline the industry’s decisive shift toward data as the backbone of telecom revenues. Notably, the National Social Security Fund (NSSF) realized gains of over Ushs 50.3 billion from its investment in Airtel shares, underscoring strong investor confidence in both the company and the Uganda Securities Exchange, and reinforcing the role of local ownership in deepening the country’s capital markets.