Safaricom investors will receive a lower dividend of Sh0.55 per share on March 15, 2024, compared to Sh0.58 per share last year. The telco’s interim dividend payout will total Sh23.03 billion, down from Sh23.4 billion, according to a disclosure notice to the Capital Markets Authority (CMA).
Despite expanding to Ethiopia, Safaricom has faced challenges, posting a 22.2% decline in net profit for the year ended March 2023 and experiencing a drop in share price by over 45% in the past 12 months.
Safaricom’s profitability decline and share price drop highlight ongoing challenges, with the telco’s market worth now accounting for 48% of total trading at the Nairobi bourse, down from a peak of 63%.
The announcement underscores the evolving landscape for shareholders amid Safaricom’s strategic investments and market shifts.
