By Lehlohonolo Lehana.
JSE-listed Telkom expects a significant increase in earnings for the year ended 31 March 2025, the group announced in a trading update on Monday.
After the update, Telkom’s share price jumped to R41.35, up more than 6% in early morning trade.
Telkom recently completed the sale of its telecom tower business, Swiftnet, for R6.75 billion to a consortium led by global infrastructure investor Actis.
The company explained that its earnings will jump by as much as 300% in its upcoming results, largely due to the sale of Swiftnet, its masts and towers business, in the period.
The group reported a total net adjustment of approximately R483 million, comprising net profit on the disposal of property, plant & equipment and intangible assets of approximately R740 million.
This offset net write-offs of property, plant & equipment and intangible assets amounting to R257 million.
Taking into account the disposal of Telkom’s 100% equity shareholding in Swiftnet, effective 31 January 2025, Telkom is updating the initial trading statement released on 28 March 2025 and is pleased to confirm its robust operational performance and profit growth compared to the prior year,” the group said.
Telkom is expected to release its results for the year through March 2025 on or about 10 June 2025.