Safaricom’s M-PESA hits record $770m revenue as financial services surge 55%

Safaricom’s mobile money service, M-PESA, reached a milestone, generating KES 100.1 billion (about $770 million) in revenue in the first half of its 2027 financial year. This is the first time M-PESA has crossed the KES 100 billion mark in six months.

For the six months ending September 30, 2026, this revenue rose 13.6% from the same period last year. M-PESA now accounts for 46.3% of Safaricom Kenya’s overall service revenue, solidifying its position as one of the company’s primary income sources.

The impressive growth highlights M-PESA’s transition from just money transfers to a broader range of services, including merchant payments, business transactions, international payments, and various financial services.

Consumer payments continue to be the largest source of revenue for M-PESA, contributing KES 40.8 billion, a 14% rise year-on-year. Business payments also showed strong growth, reaching KES 31 billion, up 14.7%.

The financial services segment outpaced all others with a remarkable 55.3% increase, generating KES 7.1 billion. Global payments also experienced growth of 26.6%, reaching KES 2.8 billion. However, withdrawals saw a slight decline, decreasing by 0.5% to KES 18.4 billion.

More transactions are generating revenue for M-PESA

The mobile money service has seen impressive growth, processing 27.4 billion transactions in the latest reporting period, marking a 25.2% increase. The total value of these transactions also rose by 16.6%, reaching KES 23.6 trillion, which is about $181.6 billion.

A notable change is underway in how Safaricom earns from M-PESA. Chargeable transactions surged by 48.2% to 12.9 billion, now making up 47% of all transactions compared to 39.7% the previous year. This means more users are opting for services that generate revenue for Safaricom. Additionally, the average number of chargeable transactions per monthly active user increased by 31.5% to 50.9.

However, it’s important to note that more than half of M-PESA transactions are still free or have no charges, indicating that the platform continues to facilitate a large number of transactions without directly billing users.

Payments have been a significant driver of M-PESA’s growth, contributing around 75% of the added revenue. Business payments, global payments, and financial services together accounted for nearly all (98.9%) of the increase in transaction volumes.

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These results bode well for Safaricom’s fintech division, with revenue on the rise, more customers engaging in chargeable transactions, and financial offerings expanding more rapidly than traditional payment options. The challenge ahead will be to maintain this growth while ensuring that services remain affordable for its vast user base.

Overall, these figures highlight M-PESA’s evolving role within Safaricom, transitioning from a simple mobile money service to a key player in the financial services industry.

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