ECONET WIRELESS ZIMBABWE LIMITED

UNAUDITED ABRIDGED FINANCIAL RESULTS

for the half year ended 31 August 2012
Inspiring Innovations
for a wealth of investor information please visit us at www.econet.co.zw
Subscribers Network Investment Revenue EBIDTA
31AUGUST 2012 7 015 700 $63.1 million $339.5 million $152.8 million
UNAUDITED
31 AUGUST 2011 5 640 700 $38.7 million $290.9 million $131.2 million
+24%
Broadband
Subscribers
2 537 710
1 448 000
+75%
EcoCash
Subscribers
1 680 523
-
- +63% +17% +16%
PERCENTAGE (%)
CHANGE
Highlights
UNAUDITED
ECONET WIRELESS ZIMBABWE LIMITED
UNAUDITED ABRIDGED FINANCIAL RESULTS
for the half year ended 31 August 2012
Consolidated Statements of Comprehensive Income
For the half year ended 31 August 2012

UNAUDITED UNAUDITED
6 MONTHS 6 MONTHS
All figures in US$ 31 AUGUST 2012 31 AUGUST 2011
Revenue 339,469,173 290,858,470
Earnings before interest, taxation,
depreciation and amortisation 152,810,018 131,245,267
Depreciation and amortisation (32,540,761) (21,175,591)
Profit from operations 120,269,257 110,069,676
Net financing costs (9,685,176) (11,657,204)
(Loss)/profit on disposal of property,
plant and equipment (8,205) 30,592
Loss on disposal of investment - (724,018)
Fair value gain on financial instruments (5,139) 1,493,033
Fair value gain recognised on disposal
of interest in subsidiary -` 1,440,839
Share of profits of associate 1,707,843 1,982,529
Profit before taxation 112,278,580 102,635,447
Taxation (34,261,317) (28,636,824)
Profit after taxation 78,017,263 73,998,623

Fair value loss on available for
sale investments (1,114,514) (2,997,329)
Tax effects of other comprehensive income 11,145 5,747
Comprehensive income net of tax (1,103,369) (2,991,582)
Total comprehensive income 76,913,894 71,007,041

Profit attributable to:-
EWZL shareholders 77,941,331 74,308,182
Non controlling interest 75,932 (309,559)
78,017,263 73,998,623
Comprehensive income attributable to:-
EWZL shareholders 76,837,962 71,316,600
Non controlling interest 75,932 (309,559)
Profit attributable to shareholders 76,913,894 71,007,041

Basic and diluted earnings per share 0.46 0.44
Basic and diluted headline earnings
per share 0.46 0.44
Number of shares in issue 168,169,820 169,437,285
Weighted average number of shares
in issue 169,104,089 169,526,904
Consolidated Statements of Changes in Equity
For the half year ended 31 August 2012
Attributable to Non-
Share Share Equity holders controlling
All figures in US$ capital premium Reserves of the parent Interest Total

Balance at 1 March 2012 1,715,542 31,409,388 346,820,977 379,945,907 2,847,008 382,792,915
Profit for the period - - 77,941,331 77,941,331 75,932 78,017,263
Other comprehensive income - - (1,114,513) (1,114,513) - (1,114,513)
Taxation effect of OCI - - 11,145 11,145 - 11,145
Shares cancelled (40,898) (321,154) 362,052 - - -
Share buybacks - - (19,426,468) (19,426,468) - (19,426,468)
Shares issued 7,054 1,677,439 - 1,684,493 - 1,684,493
Other - - 328,043 328,043 667,723 995,766
Balance at 31 August
2012 (Unaudited) 1,681,698 32,765,673 404,922,567 439,369,938 3,590,663 442,960,601
Balance at 1 March 2011 1,673,211 21,307,115 264,657,170 287,637,496 2,840,049 290,477,545
Profit for the period - - 74,308,182 74,308,182 (309,559) 73,998,623
Other comprehensive income - - (2,997,329) (2,997,329) - (2,997,329)
Taxation effect of OCI - - 5,747 5,747 - 5,747
Shares Issued 21,162 5,068,194 - 5,089,356 - 5,089,356
Dividends paid - - (26,947,783) (26,947,783) - (26,947,783)
Share buybacks - - (7,876,855) (7,876,855) - (7,876,855)
Balance at 31 August
2011 (Unaudited) 1,694,373 26,375,309 301,149,132 329,218,814 2,530,490 331,749,304
Consolidated Statements of Cashfows
For the half year ended 31 August 2012
UNAUDITED UNAUDITED
All figures in US$ 31 AUGUST 2012 31 AUGUST 2011

Cash flows from operating activities
Cash generated from operations 152,243,441 139,509,360
Taxation paid (28,584,059) (11,903,069)
Net cash generated from operations 123,659,382 127,606,291

Cash flows from investing activities
Net finance costs (9,685,176) (11,657,204)
Expenditure on property, plant
and equipment (63,123,114) (38,652,139)
Proceeds on disposal of property, plant
and equipment 48,664 2,142,343
Acquisition of available-for-sale investments (584,234) (2,994,046)
Acquisition of held-to-maturity investments (788,545) (2,638,525)
Net cash outflow on disposal of
interest in associate - (3,345,801)
Acquisition of associate (15,000,000) -
Net cash used in investing activities (89,132,405) (57,145,372)
Cash flows from financing activities
Net movement in interest-bearing debt (5,158,155) (5,755,749)
Dividend paid (2,610,085) (17,433,454)
Share buyback (19,426,555) (7,876,855)
Issue of shares - -
Net cash from financing activities (27,194,795) (31,066,058)

Net increase in cash and cash equivalents 7,332,182 39,394,861
Cash and cash equivalent at the beginning
of the period 100,792,971 34,690,685
Cash and cash equivalents at the
end of period 108,125,153 74,085,546

Comprising
Short term investments 9,178,119 6,020,181
Bank balances and cash 98,947,034 68,065,365
108,125,153 74,085,546
Notes to the Abridged Consolidated Financial statements
For the half year ended 31 August 2012
1. General information
The main business of Econet Wireless Zimbabwe Limited (the Group) is
mobile telecommunications and related value added services. The summarised
consolidated financial statements incorporate the results of the subsidiaries and
associates.
These financial statements are presented in United States dollars being the
currency of the primary economic environment in which the Group operates.
2. Accounting policies
The Group reports in terms of International Financial Reporting Standards
(IFRS). The principal accounting policies of the Group have been applied
consistently in all material respects with those of the previous year.
3. Statement of compliance
The interim abridged group financial statements for the six months ended 31
August 2012 have been prepared in accordance with IAS 34; - Interim Financial
Reporting.
The interim financial statements do not include all the information and
disclosures required to fully comply with IFRS and should be read in conjuction
with the Groups annual financial statements as at 29 February 2012.
Unaudited Unaudited
31 August 2012 31 August 2011
4. Depreciation and amortisation of property,
plant and equipment $32.5 million $21.2 million
5. Commitments for capital expenditure
Authorised by the directors but not contracted $79.4 million $78.0 million
The capital expenditure will be funded through internal resources and supplier
credit.

6. Borrowings
The details of all borrowings were disclosed in the integrated annual report for
the year ended 29 February 2012.

7. Investments
Financial investments are split into listed and unlisted investments. The carrying
amounts of the investments are equal to the market value and directors
valuation.
8. Investment in associates
Econet Wireless Zimbabwe Limited acquired the right to a 45% interest in TN
Bank Limited during the half year period.
This investment has been accounted for as an investment in associate.
9. Summarised Unaudited Segment Information
31 August 2012 31 August 2011
Cellular Cellular
Network Network
All figures in US$ Operations Other Total Operations Other Total

Revenue 330,242,034 9,227,139 339,469,173 283,303,520 7,554,950 290,858,470
Depreciation and
Amortisation (32,136,527) (404,234) (32,540,761) (20,704,999) (470,592) (21,175,591)
Segment profit/(loss) 76,575,023 1,442,240 78,017,263 76,734,399 (2,735,775) 73,998,624
Segment assets 868,061,353 7,164,922 875,226,275 715,166,045 (48,023,481) 667,142,564
Segment Liabilities (421,835,137) (10,430,537) (432,265,674) (323,574,515) (11,818,745) (335,393,260)
This is a summarised segment report showing the Group's major segment,
Cellular Network Operations and Other segments. Included in "Other" segments
are the following segments: Transaction Processing Systems, Beverages,
Investments and Adminstration
10. Earnings per share
Reconciliation of basic earnings to headline earnings
Unaudited Unaudited
31 August 2012 31 August 2011
Profit for the year attributable to
ordinary shareholders 77,941,331 74,308,182
Headline earnings attributable to
ordinary shareholders 77,954,675 74,308,182

Number of shares
Weighted number of ordinary shares for
the purposes of basic and diluted earnings
per share 169,104,089 169,526,904

Basic and diluted earnings per share (dollars) 0.46 0.44
Basic and diluted headline earnings per
share (dollars) 0.46 0.44

11. Contingent Liabilities
There were no new developments on contingent liabilities in the period under
review. Details of contingent liabilities are as disclosed in the Integrated Annual
Report for year ended 29 February 2012.
12. Events after reporting date
There have been no significant events after reporting date at the time of issuing
this press release.
13. Going concern
Having reviewed the Groups forecasts, projections and other relevant evidence,
the Directors have a reasonable expectation that the Group will continue in
operational existence for the foreseeable future. Accordingly, the results for the
half year ended 31 August 2012 have been prepared on a going concern basis.
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Econet Wireless Zimbabwe Limited: Incorporated in the Republic of Zimbabwe. Company registration number 7548/98 | Directors: Mr. T. Nyambirai (Chairman)*, Dr. S.T. Masiyiwa, Mr. K.V. Chirairo, Mr. C. Fitzgerald*, Mr. D. Mboweni, Mrs. T.P. Mpofu*, Mrs. B. Mtetwa*,
Dr. J. Myers* and Mr. J.G.B. Pattison. *Non Executive | Group Company Secretary: C.A. Banda | Registered Office: Econet Park, 2 Old Mutare Road, Msasa, Harare, Zimbabwe. E-mail:info@econet.co.zw. Website: www.econet.co.zw. | Registrars and Transfer Secretaries:
First Transfer Secretaries (Private) Limited, 1 Armagh Avenue, Eastlea, Harare, Zimbabwe | Auditors: Ernst & Young, Chartered Accountants (Zimbabwe), Registered Public Auditors, Angwa City, Cnr Julius Nyerere Way/ Kwame Nkrumah Avenue, Harare, Zimbabwe.
Chairmans Statement to Shareholders
Introduction
In the period under review, the business sustained its market leadership through a
focus on network capacity and coverage enhancements, accelerated penetration of
fibre broadband infrastructure and a continued rollout of new features for the
business innovative products and services. The drive to build superior network
infrastructure is motivated by the objective to give our subscribers an unparalleled
customer experience and create sustainable long term growth prospects for the
business.
Investment Review
The Company invested US$677 million in the last three and a half years. This
investment has positively impacted economic development and resulted in
employment creation. The additional investment made in the last six months has
resulted in network capacity being upgraded from 6.4 million to 7.1 million subscribers.
Over 50% of the new sites commissioned in the last three years were in new
coverage areas, further enhancing the accessibility of mobile telecommunications to
all people in Zimbabwe. Expansion of the 3G network resulted in 116 new 3G base
stations being commissioned and this greatly supported the massive uptake in data,
resulting in an increase of over 50% in data revenues. Due to the incessant power
outages being experienced, the Company stepped up deployment of generators and
hybrid power systems in order to support network availability.
Operations Highlight
EcoCash, our Mobile Money Transfer (MMT) service, which was launched in 2011,
achieved unprecedented success. In the past six months the number of subscribers
registered on EcoCash increased to over 1.7 million an increase of 70% from a base of
1.0 million in February 2012. EcoCash moves millions of dollars every day from urban
to rural areas helping to revitalise rural businesses and increase the economic activity
throughout the country. EcoCash is a life line particularly for rural people who not only
use it to get money from relatives in urban areas, but also use it as an alternative to
cash in an economy where the currency of exchange is imported at a significant cost.
Going forward, the current upgrade on the EcoCash platform will see EcoCash
customers enjoying more ancillary services such as bill payments, salary
disbursements and grocery payments.
Innovations Update
The second generation of solar lanterns with inbuilt chargers was well received by the
market. During the period under review, solar lights and solar chargers were
introduced as part of the solar products catalogue. Econet launched the Green Kiosk
Initiative, a mini version of the Econet shops. This is part of our low cost high impact
distribution strategy. In an economy where the informal sector drives a lot of
economic activity, this is a relevant and easily accessible distribution channel that we
believe will increase our brand visibilty and enhance the ease of access to our
products. Available in the these kiosks and other retail outlets are solar powered
charging stations for the benefit of subscribers who are now able to charge their
phones for free.
Our achievements continued to be recognized. Econet was named in the Top 10 of
Africas Most Innovative Companies by Forbes Magazine.
Financial Performance
For the six months ended 31 August 2012 Econets operating revenue achieved
favourable growth, reaching $339.5 million, an increase of 17% over the same period
last year. Earnings Before Interest, Taxation, Depreciation and Amortisation (EBITDA)
was maintained at 45%. Depreciation and amortisation increased by 53.7% to
US$32.5 million in the period under review. The increase in depreciation is a reflection
of the significant investment made in network expansion. Total assets were US$875.2
million showing a growth of 7.7% in the last six months. Econet concluded facilities of
US$307 million. US$255 million was utilised to refinance existing facilities and US$52
million was utilised in further network expansion. This successful capital raising was
the most significant capital raising project ever undertaken by a Zimbabwean
company. The debt to equity ratio improved to 55%, from 65% as at 29 February 2012
as a result of the earnings retained in the business.
The Group acquired the right to a 45% interest in TN Bank Limited. This investment
has been treated as an associate. The investment in TN Bank Limited is part of the
Groups broader strategy to drive the EcoCash business.
Corporate Social Investment
More than 50,000 disadvantaged children have benefited through educational
sponsorships from Capernaum Trust. In recognition of those students who excel
academically, the Joshua Nkomo Scholarship Fund has supported over 500 students
with exceptional talent. The National Healthcare Trust Zimbabwe continues to provide
health related services to under-serviced communities and to respond to various
crises.
Outlook
Having been the first to pioneer a comprehensive Mobile Money Transfer system in
the country, the Group will continue to consolidate its foothold in the payments
industry. The investment in infrastructure will continue until all market demand has
been satisfied.
Appreciation
I would like to express my heartfelt appreciation to my fellow Board members,
management and staff for their commitment towards our shared values and vision of
our business. I would also like to thank our shareholders, strategic partners,
customers and other stakeholders for their continued support.
T. NYAMBIRAI
CHAIRMAN OF THE BOARD 22 OCTOBER 2012
Treasury Shares and Dividend Notice
During the period under review, the Company purchased 4 563 021 shares at a cost of
US$19.4 million. This brings the balance of shares held in treasury stock to 10 826 752
shares. The shares held in treasury stock represents 6% of issued share capital of the
Company as at 31 August 2012.
In view of the fact that the Company has already invested US$19.4 million in its
treasury share repurchase programme for the half year ended 31 August 2012, the
Board of Directors has not recommended an interim dividend to shareholders.
By order of the Board
C. A. BANDA
GROUP COMPANY SECRETARY
Consolidated Statements of Financial Position
as at 31 August 2012

UNAUDITED AUDITED
All figures in US$ 31 AUGUST 2012 29 FEBRUARY 2012

ASSETS
Property, plant and equipment 593,075,747 561,656,046
Investment property 411,000 411,000
Intangible assets 7,096,788 7,991,004
Deferred taxation 3,016,471 2,686,315
Investment in associate 25,682,232 8,974,389
Financial instruments 19,111,970 18,853,704
Current assets 226,832,067 211,854,359
Total assets 875,226,275 812,426,817

EQUITY AND LIABILITIES
EQUITY
Share capital 1,681,698 1,715,542
Share premium 32,765,673 31,409,388
Reserves 404,922,567 346,820,977
Attributable to equity holders
of the parent 439,369,938 379,945,907
Non-controlling interest 3,590,663 2,847,008
Total shareholders' equity 442,960,601 382,792,915

LIABILITIES
Deferred taxation 74,394,077 70,667,055
Interest-bearing debt 197,180,805 103,338,155
Current liabilities 160,690,792 255,628,692
Total liabilities 432,265,674 429,633,902
Total equity and liabilities 875,226,275 812,426,817