Notes to the consolidated annual financial statements | Note 1

1. Segment analysis

The Group’s reportable segments are business units that offer comparable business products and services, which are separately managed since the mobile telecommunication and data communication businesses are located in South Africa and other countries. The segments offer a variety of telecommunication and data communication services and products.

Corporate comprises the holding companies of the Group which do not relate to specific operating segments.

South Africa comprises the segment information relating to the South African-based cellular network, service provider and other business segments.

International comprises the segment information relating to the non-South African-based cellular networks in Tanzania, Mozambique, Lesotho and the Democratic Republic of Congo as well as the operations of Vodacom International Limited and Vodacom Business Africa.
 
Rm 2017    2016   
Reconciliation of segment results        
EBITDA   31 238     30 345    
Depreciation and amortisation excluding acquired brands and customer bases   (9 054)    (8 599)   
Net loss on disposal of property, plant and equipment and intangible assets   (58)    (50)   
EBIT   22 126     21 696    
Acquired brand and customer base amortisation   (197)    (136)   
Impairment losses   (84)    (14)   
Broad-based black economic empowerment charge   (75)    (55)   
Net profit/(loss) from associate and joint venture   1     (233)   
Other   (21)    (199)   
Operating profit 1   21 750     21 059   

Rm Corporate  South Africa  International  Eliminations  Total   
2017            
Segment revenue (including inter-segment) 157  64 729  17 350  (958) 81 278    
   Total segment revenue  –  66 366  17 874  –  84 240    
   Intra-segment revenue  157  (1 637) (524) (958) (2 962)   
Inter-segment revenue  (157) (314) (487) 958  –    
External customer segment revenue  –  64 415  16 863  –  81 278    
EBIT  (125) 20 593  1 648  10  22 126    
EBITDA  (122) 26 815  4 545  –  31 238    
Net finance income/(charges) 12 322  (1 758) (966) (12 120) (2 522)   
Taxation  (37) (5 190) (771) (104) (6 102)   
Other material non-cash items included in segment profit or loss:                   
   Depreciation and amortisation  (4) (6 377) (2 870) –  (9 251)   
Total assets                   
Reportable segment assets  21 177  51 930  23 104  (15 073) 81 138    
which includes:                   
  Additions to property, plant and equipment and intangible assets 
64  8 470  2 781  –  11 315    
  Non-current assets other than financial instruments and deferred taxation 
31  36 134  13 477  1 409  51 051    
Total liabilities                   
Reportable segment liabilities  (6 986) (43 134) (16 413) 8 391  (58 142)  


Rm Corporate  South Africa  International  Eliminations  Total   
2016            
Segment revenue (including inter-segment) 190  62 278  18 357  (748) 80 077    
   Total segment revenue  –  63 758  18 870  –  82 628    
   Intra-segment revenue  190  (1 480) (513) (748) (2 551)   
Inter-segment revenue  (190) (319) (239) 748  –    
External customer segment revenue  –  61 959  18 118  –  80 077    
EBIT  (40) 19 430  2 296  10  21 696    
EBITDA  (48) 25 016  5 385  (8) 30 345    
Net finance income/(charges) 12 093  (1 835) (681) (11 792) (2 215)   
Taxation  (313) (5 071) (767) 217  (5 934)   
Other material non-cash items included in segment profit or loss:                   
   Depreciation and amortisation  (3) (5 691) (3 041) –  (8 735)   
Total assets                   
Reportable segment assets  which includes:  21 388  48 430  25 014  (16 129) 78 703    
  Additions to property, plant and equipment and intangible assets 
38  8 747  4 473  –  13 258    
  Non-current assets other than financial instruments and deferred taxation 
45  33 408  15 482  1 400  50 335    
Total liabilities                   
Reportable segment liabilities  (7 304) (40 664) (16 852) 9 141  (55 679)