On The Money - In Brief

Mergers, Acquisitions and Financial Results

- Telkom South Africa has reported an 8.4% rise in operating revenue to ZAR51.62 billion (USD7.32 billion), though operating profit fell back 1.4% to ZAR14.47 billion. The fall in earnings was attributed to a 12.3% increase in operating expenses. Unlike many western telcos, Telkom is still seeing growth in its fixed line operations, with sales up 1.7% to ZAR33.3 billion. The firm’s CEO Reuben September says the growth has come in spite of tariff decreases and growing competition from cellcos.