“Behold I make all things new” Revelations 21 v 5 (KJV)
Experience a whole new world A world of endless possibilities. This is a world where data, voice and video coverage serve our n
Contents experience a whole new world 3 4 Financial Highlights Organisational Vision Board of Directors Econet Corporate Profil
Financial Highlights TRADING RESULTS SUMMARY (US$) 2010 Total Revenue - Cellular network operations - Other services Earnings b
Organisational Vision Our Vision To provide telecommunications to all the people of Zimbabwe. Our Mission To serve Zimbabwe by
With the introduction of 3G, we have entered a new world of communication, where the mobile phone has now become more than just
Board of Directors As at 28 February 2010 T. Nyambirai Chairman S. T. Masiyiwa Executive C. Fitzgerald Non-Executive T.P. Mpofu
J. G. B. Pattison Executive P.J. Campbell Non-Executive J. Myers Non-Executive K.V. Chirairo Finance Director A. N. H. Eastwood
Econet Corporate Profile ECONET WIRELESS ZIMBABWE LIMITED internet access and transaction processing services. EWZL, which is l
We have delivered solid performance as a result of our strong brands. The launch of econetworld has enriched the user experienc
Chairman’s Statement to the Shareholders INTRODUCTION The Econet brand is synonymous with innovation, perseverance and a relent
Highlights Subscribers Investment *4.0 Million CAPEX/EBITDA FINANCIAL REPORTING The Group changed its functional currency from
Chief Executive Officer’s Operations Review INTRODUCTION Mobile telephones have created many The increase in switching capacity
INNOVATIONS of fibre technology to improve quality and reliability of the network. INTERNAL TRANSFORMATION broadband to Zimbabw
Corporate Social Investment THE JOSHUA NKOMO SCHOLARSHIP FUND continues to fund the nation’s most gifted students. 14 Econet Wi
We remain firm in our belief that a company's success cannot be measured on financial performance alone. Our success also lies
Directors’ Report The directors have pleasure in presenting their twelfth Annual Report and the Audited Financial Statements of
Directors’ Responsibility For Financial Reporting Econet Wireless Zimbabwe Limited ('the Group') and the company’s abridged ann
Corporate Governance and financial reporting. Transparency, responsibility and accountability as set out in the Principles for
The Group Company Secretary All directors have access to the advice and services of the Group Company Secretary. Directors' rem
Corporate Governance (continued) Loans Committee The Committee reviews the Group's major loans obligations, both local and fore
have been identified. attends the meetings of the Audit and Remuneration Committee at which he submits a report on the systems
TRANSACTION PAYMENT SOLUTIONS has made it possible for electronic payments to be more widely accepted. The business will contin
2010 Financial Statements Econet Wireless Zimbabwe Limited 24 25 27 28 29 30 31 32 62 Certificate by Company Secretary Report o
Certificate by Company Secretary In my capacity as Group Company Secretary, I confirm that, in terms of returns are true and co
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF ECONET WIRELESS ZIMBABWE LIMITED which comprise the Company and consolidat
(continued) REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF ECONET WIRELESS ZIMBABWE LIMITED statement of changes in equit
Consolidated Statement of Comprehensive Income for the year ended 28 February 2010 All figures in US$ Revenue Cost of sales and
Consolidated Statements of Financial Position as at 28 February 2010 All figures in US$ ASSETS Non-current assets Property, pla
as at 28 February 2010 Company Statements of Financial Position All figures in US$ ASSETS Non-current assets Property, plant an
for the year ended 28 February 2010 Consolidated Statement of Changes in Equity Share capital and Share premium Other reserves
Consolidated Statement of Cash Flows for the year ended 28 February 2010 All figures in US$ Operating Activities Cash generated
Notes to the Consolidated Financial Statements for the year ended 28 February 2010 A A.1 GENERAL INFORMATION The Company was in
C C.1 ADOPTION OF NEW AND REVISED STANDARDS Standards and Interpretations effective in the current period- Adopted In the curre
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 C.2 C Standards and interpretati
D.3 E F F.1 F.2 F.3 Internet licence Licence fees represent the cost of acquisition of a Class 'B' Internet Access Provider lic
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 F.4 F Impairment of other intang
H I J K In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a lia
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 L INVENTORIES - IAS 2 Inventorie
N N.1 N.2 Deferred tax Deferred tax is recognised on differences between the carrying amounts of assets and liabilities in the
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 Q Q.1 FINANCIAL INSTRUMENTS - IA
Q.1.4 Impairment of financial assets The group assesses at each reporting date whether there is any objective evidence that a f
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 Q Q.2.1 Financial liabilities at
S.2 S S.2.1 Licences The estimated useful life is, generally, the term of the licence, unless there is a presumption of renewal
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 Cellullar Network Operations Int
4. All figures in US$ Before tax amount Tax benefit Net-of-tax amount DISCLOSURE OF TAX EFFECTS RELATING TO EACH COMPONENT OF O
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 All figures in US$ 9 2010 EARNIN
All figures in US$ 10 Land and buildings Network equipment Office equipment Motor vehicles Capital work-in progress Total PROPE
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 All figures in US$ 12 INTANGIBLE
All figures in US$ 14 INVESTMENT AND LOANS IN SUBSIDIARIES COMPANY Percentage 2010 2009 14.1 Cost of investments Econet Wireles
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 COMPANY 16 All figures in US$ IN
All figures in US$ 18 Set out below is a comparison by class of the carrying amounts and fair value of the Group’s financial in
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 All figures in US$ 19 Opening ba
All figures in US$ 24 SHARE CAPITAL 2010 2009 The share capital of the Group is reflected as nil because authority has not yet
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 Ordinary Shares 24.5 Directors'
27 All figures in US$ 2010 2009 DEFERRED REVENUE 7 525 212 3 319 606 Prepaid deferred revenue The deferred revenue arises from
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 All figures in US$ 2010 148 122
All figures in US$ 30 RELATED PARTY TRANSACTIONS Transactions between the Company and its subsidiaries, which are related party
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 31 EWG EQUIPMENT SUPPLY AGREEMEN
33 All figures in US$ FINANCIAL RISK MANAGEMENT (Continued) 2010 2009 33.1 Capital risk management (continued) Total debt Less:
Notes to the Consolidated Financial Statements (continued) for the year ended 28 February 2010 33 FINANCIAL RISK MANAGEMENT (co
33 33.7 Liquidity risk management Ultimate responsibility for liquidity risk management rests with the board of directors, whic
Supplementary Information Econet Wireless Zimbabwe Limited 63 64 65 67 68 Shareholders and Other Information Shareholder Analys
Shareholders Analysis for the year ended 28 February 2010 SHAREHOLDERS ANALYSIS AS AT 28 FEBRUARY 2010 Size of shareholding Num
Financial Diary 30 July 2010 September 2010 October 2010 28 February 2011 April 2011 May 2011 June 2011 June 2011 Twelfth Annua
Notice to Members staff canteen, at the registered office of the Company at Econet Park, 2 Old Mutare Road, Msasa, Harare, Zimb
Notice to Members (continued) That the issued share capital be and is hereby redenominated to US$1 637 863 divided into 90 716
Corporate and Advisory Information Incorporated in the Republic of Zimbabwe Company registration number 7548/98 Registered Offi
Our Strategic Business Partnerships The opportunities in the market have made it imperative to broaden our relationship with ke
Proxy Form for the Annual General Meeting Friday, 30 July 2010, at 10.00 a.m. by hand to: The Group Company Secretary For the T
Explanatory notes to resolutions for Annual General Meeting 1. Shareholders may insert the name of a proxy or the name of two a
Notes Econet Wireless Zimbabwe Limited Annual Report 2010
Notes Econet Wireless Zimbabwe Limited Annual Report 2010