Digital infrastructure and managed services provider Seacom has delivered a sharp improvement in earnings after the subsea cable disruptions that weighed on results in the prior period fell away.
In interim results for the six months to 31 December 2025, released on Wednesday, Remgro – which holds an effective 30% economic interest in Seacom – said the company’s contribution to its headline earnings jumped to R16-million from R2-million a year earlier.
The increase was mainly driven by higher indefeasible right-of-use billings and higher lease revenue in the digital infrastructure business. The comparative period was hit by once-off cable repair costs following subsea cable breaks in the Red Sea.
Seacom owns and operates subsea and terrestrial fibre networks through its digital infrastructure business unit, while its digital services arm delivers secure managed enterprise connectivity, cloud and cybersecurity solutions. The company operates across Southern and East Africa.
Remgro said Seacom continues to invest in its digital infrastructure while expanding its portfolio of higher-value managed services, positioning the business to meet growing demand for secure, high-capacity data connectivity in the regional ICT market.
Seacom 2.0
The improved earnings come as Seacom pushes ahead with plans for its massive next-generation subsea cable system, dubbed Seacom 2.0. As TechCentral reported in November, the company is targeting the fourth quarter of 2026 to reach financial close on the project, which could cost between US$1.5-billion and $2-billion to build.
The new system, which would offer a two petabit per second design capacity from 48 fibre pairs, is expected to carry its first traffic in late 2029 or early 2030. All existing Seacom shareholders – including Remgro and Andile Ngcaba’s Convergence Partners – have agreed to participate in the fundraising.
TCS | Seacom 2.0: Alpheus Mangale unpacks all the details about the giant new subsea system
The planned routing of Seacom 2.0 will avoid Yemeni waters, where attacks on shipping by rebels resulted in damage to subsea infrastructure, including Seacom’s existing cable. When the cable was severed in the Red Sea in May 2024, it took five months to repair due to political instability in the region. – (c) 2026 NewsCentral Media
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