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Oliver Kazunga, Senior Business Reporter
ZIMBABWE’s mobile telecommunications revenue for the second quarter increased by 19,7 percent to $293 million compared to $244,7 million in the previous quarter, official data shows.

In an abridged sector performance for the second quarter of 2018, the Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz) said:

“Total revenue by mobile operators was $292,9 million. This represents a 19,7 percent growth from $244,7 million recorded in the previous quarter.

“Operating costs also fell by 28,2 percent to record $133,5 million in the second quarter of 2018 from $185,9 million recorded in the first quarter of 2018.”

The regulatory authority attributed this to deliberate operator efforts to contain expenditure. Potraz said the contribution of voice and SMS declined by 3,5 percent and 0,4 percent respectively.

“On the other hand, the revenue contribution of data, mobile money and other VAS increased by 0,7 percent, 1,9 percent and 0,2 percent respectively.

“The revenue contribution of sim card sales remained constant at 0,3 percent. There was an overall improvement in the financial performance of the mobile services subsector in terms of the Average Revenue per User (ARPU).

“The aggregate Average Revenue per User per month increased by 15,6 percent to record $5,86 from $5,07 recorded in the first quarter of 2018,” it said.

On the other hand, Potraz said total capital expenditure by the mobile operators declined by 55,2 percent to record $6,2 million in the second quarter from $14 million recorded in the first quarter.

During the period under review, mobile telephone infrastructure across the country totalled 8 570 base stations representing a 1,1 percent growth from 8 473 recorded in March 2018 following the deployment of 97 additional base stations. Potraz noted that more still needs to be done to improve rural connectivity.

“There was no significant change in the market share of base station infrastructure. The total number of active mobile money subscriptions increased by 12,6 percent to reach 5 634 511 from 5 005 625 recorded in the previous quarter.

“All the mobile operators experienced growth in the number of mobile money subscriptions.”

During the period under review, mobile Internet and data traffic mobile internet and data usage increased by 16,9 percent to record 6 104TB from 5 220TB recorded in the previous quarter. Potraz said the growing popularity of social media was expected to drive data usage in the coming years.

“The market share of mobile internet and data is comparable to the market share of mobile voice traffic with Econet dominating the market with over 70 percent market share and the rest being shared by the other two operators,” said Potraz.

The total number of active mobile money subscriptions increased by 12,6 percent to reach 5 634 511 from 5 005 625 recorded in the previous quarter.

On fixed telephone, the telecommunications regulator said there was an overall improvement in the fixed network’s revenue in the quarter under review.

TelOne’s telecommunications revenue increased by 20.1 percent to record $34,5 million from $28,3 million recorded in the first quarter of 2018.

“On the other hand, the fixed network also recorded a 20.1 percent to record $38,8 million from $32,3 million recorded in the first quarter of 2018,” said Potraz. – @okazunga