Safaricom PLC's mobile financial service, M-PESA, has demonstrated robust performance, showcasing a remarkable 16.5 per cent year-on-year revenue growth, reaching an impressive Sh66.23 billion.

The surge in revenue is attributed to a substantial 12.0 per cent year-on-year increase in Average Revenue Per User (ARPU), now standing at Sh344.05.

This was revealed during the company's announcement of the Half Year 2023/2024 Financial results.

The usage of M-PESA witnessed a noteworthy uptick, with chargeable transactions per one-month active customer soaring by 28.9 per cent year-on-year to 28.94.

The total transaction value experienced a marginal 1.1 per cent year-on-year growth, reaching Sh18.28 trillion. T

Read More

  1. Safaricom's Ethiopia venture receives boost as telecom regulator slashes rates
  2. Safaricom injects Sh20 million to power up the Connected Africa Summit 2024
  3. Kenya cracks down on greenwashing with new draft green finance rules

his growth, however, was tempered by a slowdown in Consumer-to-Business (C2B) and Business-to-Consumer (B2C) banking transactions.

Conversely, transaction volumes marked a substantial increase of 34.7 per cent year-on-year, reaching Sh12.93 billion.

In response to evolving consumer needs and in accordance with Central Bank's approval, Safaricom raised the daily transaction limits for M-PESA to Sh500,000, effective from 15 August 2023.

Additionally, the limit per transaction was increased to Sh250,000, effective 21 September 2023.

Over the reported period, the number of one-month active M-PESA customers grew by an impressive 3.1 per cent year-on-year, reaching 32.13 million.

The Lipa Na M-PESA active merchants also demonstrated a robust growth of 22.3 per cent year-on-year, totalling 658.35 thousand, while pochi tills stood at an impressive 405.21 thousand.

Safaricom PLC's Chief Financial Officer, Dilip Pal, emphasized M-PESA's pivotal role, stating, "M-PESA now accounts for 42.1 per cent of service revenue, further complementing traditional voice and messaging services."

The success of M-PESA underscores its continued dominance in the mobile financial services sector, providing a seamless and efficient platform for millions of users in Kenya.

The upward trajectory in revenue and usage metrics solidifies M-PESA's position as a cornerstone of Safaricom's comprehensive service offerings.