StanChart’s credit card users to experience flexibility

Airtel Africa, has reported all-round earnings growth of 30.7 percent year on year in evenue to $1.11 billion in the rst quarter of its 2022 operatng year; from $851 million a ear ago. The revenue growth was driven by constant curency growth of 33.1 per cent ear on year, partially offset y currency devaluations. evenue growth for the quarer partly benefitted from a weakened performance in he first quarter of the prior ear during the peak period of Covid-19 related restrictions cross the region.

The company, in its unudited first-quarter results or the quarter ended 30 June 021, filed to the Nigerian xchange Group, highlighted hat it recorded a 42.4 percent rowth in underlying EBITDA n reported currency (+46.2% n constant currency terms) o $534 million driven by evenue growth of 33.1 perent and improved operating fficiency partially offset by dverse foreign exchange movements.

The underlying EBITDA margin was 48.0 percent, ising with 396 basis points xpansion year on year in eported currency and 428 asis points in constant curency. The telecoms giant everage also improved year n year, to 1.8x on June 30, 021, from 2.2x on June 30, 020, despite investing $247 million of intangible CapEx enewing licenses in two of its argest markets, Nigeria and Uganda for the acquisition of dditional spectrum. The inrease in underlying EBITDA more than offset the increase n net debt.

Further breakdown of the esult from the largest wireless arrier with operations across 4 countries including Nigeria,

With significant improvement recorded across major ncome lines, Transnational orporation of Nigeria Plc, opularly known as Transorp, has continued the show f powerful growth with 53 ercent year on year surge in evenue to N53.3 billion in six months of 2021 from N35 bilon in June last year while the ross profit for the half year rew 60 per cent to N23.5 bilon from N14.7 billion same eriod in 2020. In a release made availble to Business AM, the onglomerate with strategic nvestments in the power, ospitality, and energy secors, recorded a profit after tax f N6.5 billion, rising by 713 ercent up from N0.8 billion

Airtel Africa’s operating profit surged 67.6 percent year on year (73.9% in constant currency terms) to $352 million in the first three months of 2022 operating year, as a result of solid revenue growth and controlled operating expenditures in proportion to revenue.

Net finance costs were broadly stable in the period. The effective interest rate increased to 5 percent from 4.7 percent in the prior year largely as a result of a reduction in foreign currency debt and an increase in local currency OpCo debt. However, interest charges were broadly stable due to lower market debt and slightly higher interest income.

The unaudited result also revealed that Airtel’s total tax charges increased by $62 million to $117 million due to higher operating profit, a one-time tax case settlement ous year; while the company’s reported its profit before tax which rose 689 percent to N7.1 billion in the review period from N0.9 billion in the half year 2020.

Owen Omogiafo, Transcorp’s president/group chief executive while commenting on the half-year performance by the conglomerate attributed the powerful growth around all income lines to the commitment towards producing long-term value and sustainable impact.

“We are pleased to see the sustained growth in our group performance, which was achieved as a result of the improved performance across all the sectors we operate in. The revenue achieved in our power business grew by 48 percent, as a result of improved gas supply and inshe charge of $9 million in one of our operating markets and higher withholding tax of $4 million on dividends by subsidiaries. The prior period also benefited from the recognition of a deferred tax credit of $7 million in Tanzania.

Consequently, profit after tax shot up 148.7 percent year on year to $142 million. This increase was largely due to higher operating profits along with stable net finance costs, which more than offset the increase in tax charges due to increased profits. In the meantime, the company’s earnings per share jumped to 3.3 cents in 1Q22, up from 1.1 cents in the prior-year period due to higher operating profits which more than offset the increased tax charges from higher profits. Net finance cost and minority interest were broadly stable.

Speaking on the company trading update and performance stated.

He further disclosed that the company’s strategic actions have resulted in a growth in revenue of up to 84 percent, despite the ongoing impact of the COVID-19 epidemic on the Nigerian and global hospitality industries, while expressing a high confidence level in the company’s recovery strategies as well as the recent launch of its digital hospitality platform which she says, is “a testament to the confidence.”

The group CEO, in her statement, said, “We do not plan to rest on our oars. We will continue to sweat our existing assets and explore new frontiers, as we continue to deliver on our purpose of Improving Lives and Transforming Nigeria,” while commenting on thegroup’scapacitytobrookits for the quarter, Raghunath Mandava, chief executive officer, Airtel Africa, said “Our Q1’22 results have been very strong, with reported growth of 30.7 percent in revenue and 42.4 percent in underlying EBITDA, with constant currency growth of 33.1 percent and 46.2 percent respectively.

Q1 of last year was impacted by the start of Covid, but even after adjusting for these effects, our Q1’22 revenue growth rates for the Group, service segments and reporting regions were all ahead of Q4’21 trends. We have posted strong double-digit growth across voice (26%), data (37.4%) and mobile money (53.7%), and across all our regions. Sub-Saharan Africa is now experiencing a third wave of the pandemic. Governments are implementing balanced measures of lockdowns and restrictions. But

In line with the vision to enable credit card users make purchases from their favourite stores with convenience and flexibility, Standard Chartered Bank Nigeria Limited, a leading international banking group domiciled in Nigeria, has announced the launch of its Easy Payment Plan (EPP) for credit card users in the country. The company, in a statement, said the plan is a one of a kind solution for clients to allow holders to choose an instalment plan for purchases made with the bank’s Credit Card.

An EPP is a repayment scheme that allows you to use your credit card for transactions and then repay the amount in instalments over the course of some months or years as agreed with your financial institution. However, a zero percent payment arrangement is one, which allows one to do the above at absolutely no interest charges vaccinations levels remain very low.

“In these challenging times, our business model has so far proven resilient, but we continue to monitor the situation closely for the potential impact on local economies and consumers. Our total customer base has returned to growth with acceleration in our East Africa and Francophone regions and despite continuing negative net additions in Nigeria. With the easing of these restrictions in late April we have since been able to gradually increase locations for activations in line with regulatory compliance across Nigeria and we have begun adding new customers,” he disclosed.

“Our continued focus on modernisation and rollout of our network, along with simplifying our products and improving our distribution, has all helped us to make handsome riod.

Speaking on the solution, Bonaventure Odukwe, Head Personal Banking and Alliance said, ‘Convenience and flexibility are at the heart of the solutions we continuously bring to our clients. With this EPP solution, clients can spread repayment in equal instalments for a convenient period ranging from 3, 6, 9 to 12 months; enjoy a reduced interest rate of 1.5 percent per month and earn reward points when you make purchases and discounts at select merchant locations.

“EPP attracts no processing or liquidation fees and gives our esteemed clients the opportunity to enjoy the lifestyle that they want now, while ameliorating the stress of paying at once. For us this is one of the many ways that we continue to offer value to our clients, support their financial goals and reiterate that we are here for good,” he concluded gains on our ARPU across voice, data and mobil money. Our robust operatin model and solid execution should enable us to continu our profitable growth.

We continue to see hug potential across voice, dat and mobile money due to the low penetration levels in Africa, as we continue to part ner the nations in bridging th digital divide and enhancin financial inclusion. We re main committed to continu efficiently and effectively de liver services that help to im prove the lives, communitie and economies we serve,” th CEO concluded.

Further afield into Airte Africa’s segmental revenu growth, mobile services rev enue grew by 29.8 percent in constant currency and 27. percent in reported currency with voice revenue up 2 percent, and data revenu up 37.4 percent, and mobil money services revenue grew by 53.7 percent (52.8% in re ported currency). Nigeria led the revenue growth by region with 38.2 percent year on year, followed by East Afric (+ 32.8%) and Francophon Africa (+24.9%).

Looking at the key operat ing metrics, the Custome base grew by 8.4 percent yea on year to 120.8 million, with increased penetration acros mobile data (customer bas up 14.8%) and mobile mone services (customer base up 24.6%).

The slowdown in custome base growth was due to new SIM registration regulation in Nigeria; excluding Nigeria the customer base grew b 15.9 percent. Airtel Africa also recorded the overall ARPU growth of 22.9 percent year on year, driven by all service seg ments, with voice contributin 8.7 percent, data 8.3 percent mobile money 4 percent, and the balance coming from other revenue. noted that with the new Eas Payment Plan, clients ca make purchases from their fa vorite stores and then sprea the repayment in a flexibl and stress-freeway and a their own convenience. I also noted that the EPP is convenient way to use ones Credit Card to make bul purchases at a reduced inter est rate. Meanwhile, Standar Chartered also ringed tha this payment plan is ope to all clients of the Bank tha have operating credit card and new clients that sign u