Ethio Telecom's Digital Transformation
Ethio Telecom Posts Record Financial Growth Amid Digital Transformation and Privatization Push
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Key Points
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Telebirr subscriber base grows to 60.6 million, with Telebirr handling 9.13 trillion Birr in cumulative transactions and about 4.19 trillion Birr in the just-completed year, averaging roughly 11 billion Birr per day.
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Data and internet services became Ethio Telecom's largest revenue stream for the first time, accounting for 31.1% of total revenue, while voice contributed 23.5% and Telebirr 3.6%.
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Network expansion milestones include 603 new mobile base stations (bringing total to 10,613), 264 new 4G sites (total 1,200; 4G coverage at 82.2%), and seven more towns connected to 5G (total 33), with 117 districts gaining connectivity and about 1.5 million citizens benefiting.
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Privatization push continues, with Ethio Telecom's IPO last year selling only 10.7% of shares offered and ongoing interest from foreign partners such as Safaricom.
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Next Horizon: Digital & Beyond 2028 strategy targets include reaching 100 million subscribers, 75 million Telebirr users, and 842.3 billion Birr in cumulative revenue, supported by sizable capex (about 75.66 billion Birr) to fund infrastructure and services.
Ethio Telecom posted record revenue of 215.82 billion birr in the 2025/26 fiscal year, a 33.2% jump from the year before, according to Tech Africa News. Earnings before interest and taxes — a key profit measure — surged 47.5% to 92.9 billion birr, driven by a boom in mobile data and digital payments.
For the first time, data and internet services became the company's biggest revenue stream, overtaking traditional voice calls. CEO Frehiwot Tamiru called the results a sign of Ethiopia's fast-moving digital shift, as New Business Ethiopia reported.
Data Overtakes Voice as Digital Revenue Milestone Hit
Data and internet services made up 31.1% of total revenue — the largest slice of Ethio Telecom's income pie, according to Tech Review Africa. Voice calls fell to 23.5% of revenue. This is a historic shift for a company that long depended on call traffic to fill its coffers.
Telebirr, the company's mobile money platform, also kept growing. It processed 4.19 trillion birr in the past year alone — roughly 11 billion birr per day — bringing its cumulative total to 9.13 trillion birr. Telebirr now has 60.6 million subscribers and accounts for 3.6% of total revenue, per Tech Africa News.
Network Reaches 90 Million Subscribers Across Ethiopia
Total subscribers climbed to 90.1 million during the year, Market Screener reported. Ethio Telecom added 603 new mobile base stations, bringing its national total to 10,613. It also added 264 new 4G sites, reaching a total of 1,200, with 4G now covering 82.2% of the country.
Seven more cities gained 5G access, bringing the total to 33 towns with next-generation coverage. Some 117 districts got connectivity for the first time, meaning about 1.5 million more citizens can now get online, according to Ethio Negari.
IPO Falls Short as Privatization Drive Presses On
Ethio Telecom's push to go partly private has hit a speed bump. An IPO last year sold only 10.7% of the shares on offer, well below expectations. Still, foreign interest remains, with Safaricom among the companies watching closely, per Tech Review Africa.
The government continues to position Ethio Telecom for broader private participation. The company remains state-owned for now, but its rapid growth makes it a more attractive asset for outside investors looking at Africa's second-most-populous country.
2028 Strategy Targets 100 Million Subscribers and 842 Billion Birr
Ethio Telecom's Next Horizon: Digital & Beyond 2028 plan sets bold goals. The company aims to hit 100 million total subscribers and 75 million Telebirr users. It also targets 842.3 billion birr in cumulative revenue by 2028, according to Tech Africa News.
To get there, the company plans to spend roughly 75.66 billion birr in capital investment. That money will go toward expanding infrastructure, rolling out more 5G, and building out digital services like e-commerce and enterprise solutions. The company is betting its future on being a full digital services provider — not just a phone network.
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