Telkom is becoming increasingly reliant on data services to drive growth, with data revenue now accounting for more than 60% of the group’s total revenue.
Group data revenue has increased 8.8% to R6.92-billion in the first quarter, compared with an overall revenue growth of 2.6% to R11-billion. Data accounted for 62.4% of total revenue, up from 58.8% in the previous year.
Mobile data main revenue driver
Mobile data revenue was the main driver, rising 11.4%. The growth helped offset a R124-million decline in traditional fixed-line revenue, showing Telkom’s continued move away from older fixed-line services.
Serame Taukobong, Telkom group chief executive, said the company had begun the financial year with strong data-led growth supported by Mobile and Openserve businesses.
“We continued with our OneTelkom approach. Furthermore, our cost discipline initiatives contributed to a solid Group EBITDA growth and the EBITDA margin expanded. BCX continued to experience revenue pressure, mainly as a result of revenue decrease in Converged Communications as well as IT hardware and software sale.
“As expected, subdued performance in BCX remains, while the new management continues the reshaping of the business. In July 2026, Openserve launched its own Internet Service Provider (ISP) to monetise its existing infrastructure and improve the connectivity rate,” said Taukobong.
The Mobile business remained the group’s strongest growth engine, with service revenue increasing 6.4% to R5.73 billion.
Pre-paid service revenue
Pre-paid service revenue was particularly strong, rising 9.1% to R3.97 billion. The mobile subscriber base increased 6.1% to 25.3 million, while pre-paid subscribers grew 7.1% to 22.3 million.
Data usage also continued to accelerate, with mobile data traffic increasing 19.6% to 574 petabytes. Data subscribers rose 15.5% to 19.8 million, representing 78.4% of Telkom’s total mobile customer base.
“As we pursue our priorities of growth and improving efficiencies, our data-led strategy will continue to drive expansion, while cost optimisation initiatives remain a key focus. Our OneTelkom approach is delivering on its promise, reinforcing our leadership in digital infrastructure and strengthening our role as the backbone of South Africa’s digital future. We expect capex intensity to be within the 12%-15% of our guidance.
“We remain focused on delivering on our medium-term guidance objectives. The drive for pre-paid growth will continue in the Mobile business coupled with advancing the execution of our country-wide regional strategy in gaining share in under-indexed and underserved regions. Accordingly, service revenue is expected to grow in the mid-single digits, potentially trending above the upper end of the range,” said Taukobong.
- Telkom's data revenue grew 8.8% to R6.92 billion in Q1, now representing 62.4% of total revenue, up from 58.8% last year.
- Mobile data revenue increased 11.4%, offsetting a R124 million decline in traditional fixed-line revenue.
- Mobile service revenue rose 6.4% to R5.73 billion, with pre-paid revenue up 9.1% and mobile subscribers growing 6.1% to 25.3 million.
- Data usage surged 19.6% to 574 petabytes, with data subscribers increasing 15.5% to 19.8 million, making up 78.4% of mobile customers.
- CEO Serame Taukobong highlighted a strong data-led growth strategy, cost optimization, and plans for continued expansion and regional market gains.
Telkom is becoming increasingly reliant on data services to drive growth, with data revenue now accounting for more than 60% of the group’s total revenue.
Group data revenue has increased 8.8% to R6.92-billion in the first quarter, compared with an overall revenue growth of 2.6% to R11-billion. Data accounted for 62.4% of total revenue, up from 58.8% in the previous year.
Mobile data revenue was the main driver, rising 11.4%.
Serame
“We continued with our OneTelkom approach.
“As expected, subdued performance in BCX remains, while the new management continues the reshaping of the business. In July 2026, Openserve launched its own Internet Service Provider (ISP) to monetise its existing infrastructure and improve the connectivity rate,” said
Pre-paid service revenue was particularly strong, rising 9.1% to R3.97 billion.
Data usage also continued to accelerate, with mobile data traffic increasing 19.6% to 574 petabytes. Data subscribers rose 15.5% to 19.8 million, representing 78.4% of Telkom's total mobile customer base.
“As we pursue our priorities of growth and improving efficiencies, our data-led strategy will continue to drive expansion, while cost optimisation initiatives remain a key focus. Our OneTelkom approach is delivering on its promise, reinforcing our leadership in digital infrastructure and strengthening our role as the backbone of
“We remain focused on delivering on our medium-term guidance objectives.
