Safaricom Posts Record FY26 Dividend as Profit and Market Value Surge

Safaricom PLC shareholders have approved the company’s highest-ever dividend payout of KSh80.13 billion after endorsing a final dividend of KSh1.15 per share for the financial year ended March 31, 2026, during the company’s Annual General Meeting (AGM).

The approved final dividend brings the total dividend for the year to KSh2.00 per share, following the interim dividend of KSh0.85 per share paid in March 2026. The record payout marks the largest shareholder return in Safaricom’s history and comes on the back of the company’s strongest financial performance to date.

Speaking during the AGM, Safaricom PLC Group Chief Executive Officer Dr. Peter Ndegwa said the company had achieved a landmark year by celebrating 25 years of transforming lives while delivering record financial results.

“This has been a defining year for us. We marked 25 years of connecting and driving transformation through our services and community involvement. We did this while delivering our strongest financial performance yet,” said Dr. Ndegwa.

Safaricom’s impressive performance was also reflected in its share price, which rose 50.3 per cent during the financial year, pushing the company’s market capitalisation to KSh1.10 trillion by the end of March 2026. The company’s value has continued to grow, reaching approximately KSh1.44 trillion in the weeks leading up to the AGM.

The company noted that the dividend increase follows three years of maintaining a steady payout while investing heavily in its Ethiopia operations and navigating the impact of currency depreciation following Ethiopia’s foreign exchange reforms introduced in 2024. Safaricom said its Ethiopian business is now on course to break even during the current financial year.

The final dividend will be paid on or about September 4, 2026, to shareholders whose names appear in the Register of Members at the close of business on August 4, 2026.

Including this year’s payout, Safaricom shareholders will have received approximately KSh280 billion in cumulative dividends over the past five years, underlining the company’s commitment to delivering long-term shareholder value.

Looking ahead, Safaricom said it is implementing its Vision 2030 strategy, which seeks to transform the company from a telecommunications operator into a leading technology company. The strategy focuses on enhancing customer experience through artificial intelligence, expanding broadband connectivity and 4G and 5G coverage, increasing smartphone access, and accelerating the growth of M-PESA and digital financial services.

Safaricom PLC Board Chairman Adil Khawaja welcomed the completion of the transaction that increased Vodacom Group’s shareholding in the company, describing it as a milestone that strengthens a long-standing partnership.

“We were equally pleased to note the completion of the transaction increasing Vodacom Group’s shareholding in Safaricom this year. It deepens a partnership that goes back to our earliest years, and gives us access to the scale, expertise and regional reach of one of Africa’s leading technology groups as we build towards 2030,” said Khawaja.

Following the transaction, Vodacom Group now holds a 55 per cent stake in Safaricom after acquiring an additional 15 per cent through Vodafone Kenya Limited. The Government of Kenya retains a 20 per cent shareholding, while the remaining 25 per cent is held by public investors.

During the AGM, shareholders also re-elected Edward Okaro as a director, re-appointed Ernst & Young as the company’s external auditors, and approved several special resolutions to align the company’s legal structure with the new shareholding arrangement.