Our integrated report demonstrates how we deliver on our purpose – to connect for a better future – and provides the supporting qualitative and quantitative information to confirm our position for success across our markets in an evolving digital and connected landscape.
A leading African TechCo with a clear system of advantage
As the world emerges from the turmoil caused by the COVID-19 pandemic and navigates economic recovery, we continue to explore the transformative effect the past two years had on our lives – both personally and professionally. Given the developments unfolding in our external environment and the strategic milestones we delivered during the year, there has never been a more pertinent time for Vodacom to centre ourselves on our purpose of connecting for a better future.
I am incredibly proud of how Vodacom held steadfast to its purpose of connecting people for a better future throughout the year. This purpose continues to drive a powerful strategy that, we believe, can support economic recovery in the markets where we operate, navigate macroeconomic uncertainties and create sustainable value for our stakeholders.
We are pleased to have delivered good results for the year, consistent with our medium-term targets, while dealing with the ongoing impacts of the COVID-19 pandemic. From a shareholder perspective, we declared a full-year dividend of 850cps, representing growth of 3.0%. This is a testament to our ongoing operational execution and financial position, both of which are good beacons to navigate us through the ongoing uncertainties of the macroeconomic environment.
In a year with several strategic milestones, we continue to accelerate our powerful, multi-product strategy – the system of advantage – to differentiate our Group in our selected markets, set us apart from competitors and deliver superior returns to our stakeholders.
The success of our business depends on how we respond and adapt to external factors impacting our global operating environment. Driven by our system of advantage and purpose, we capture opportunities and mitigate risks to create sustainable value for our stakeholders.
The COVID-19 pandemic continues to impact the global economy and social landscape, and trading conditions are still marred by lower business confidence, distressed and out-of-business customers, migration to cheaper solutions and global supply shortages. Economic recovery across our markets is likely to be slow, and significant investment is needed to stimulate growth. Furthermore, as African countries struggle to recover from the impact of the pandemic, the aftermath of the Ukraine-Russia war could exacerbate supply constraints, increase foreign exchange volatility and drive inflationary pressures – particularly in areas relating to energy and food.
The strength of our financial position continued to lead our business through a volatile macroeconomic environment. We regularly assess the short to medium-term impact of the pandemic and the Ukraine-Russia war on our business. As a part of this we evaluate the external factors in each country where we operate, including the impact on customer spend, liquidity of our customers and our own cash requirements, as well as ways to contain costs.