Orange today sets out its 2023 ambitions for three of the strategic high-growth areas set-out in the Engage 2025 plan.
Orange has revealed its growth drivers: Orange Africa & the Middle East, Orange Business Services and Orange Cyberdefense.
Africa & the Middle East
Orange has 132.2 million mobile phone customers, 1.9 million fixed broadband customers and 22.6 million Orange Money customers in the Africa & Middle East region. Orange’s revenue from the Africa & Middle East region was 1.555 billion euros in Q2 2021.
Orange said it believes that the Africa & Middle East region has a strong value-creating potential thanks to its three sources of growth that cover both individual and business customers: data, which will continue to grow thanks to 4G penetration, fixed broadband and mobile financial services. Orange said its mobile money revenues will reach almost one billion euros by 2025.
Orange also invests locally to make digital services accessible and is contributing to the continent’s development by supporting startups and creating Orange Digital Centers, such as the one opened in Mali this week.
By 2023, the Group aims to achieve an average annual growth rate (CAGR) in revenues of around 6 percent, double-digit EBITDAaL growth and an even faster increase in its organic cash flow.
By 2025, more than 55 percent of Orange Business Services’ revenue will be generated by digital, integration services and new connectivity services.
Orange said IT and integration services (including cyber activities) and connectivity services represented 41 percent of its revenues in 2020.
The Group’s strategy on the B2B market remains focused on three main areas of growth: digital (cloud, digital & data, IoT, cyber), integration services, and new connectivity services. By 2025, Orange Business Services will generate more than 55 percent of its revenues from these segments by strengthening its main differentiating factors.
For Orange Business Services, the Group expects to achieve an average annual growth rate (CAGR) in revenue of around 2 percent per year in 2022 and 2023, and a return to EBITDAaL growth in 2022, which should then accelerate in 2023.
Orange Cyberdefense has been working to secure the infrastructure and digital assets of its B2B customers since 2014. Orange Cyberdefense will take steps to seize new opportunities for external growth through the possible creation of a standalone subsidiary.
The Group aims to achieve double-digital revenue growth for Orange Cyberdefense, higher than that of the market, and an EBITDAaL margin in the medium term about double that of today.