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Report of the audit committee
Report of the independent auditors
Certificate of the company secretary
Director’s report
Principal accounting policies
Group income statement
Group balance sheet
Group statement of changes in equity
Group cash flow statement
Notes to the Group financial statements
Company income statement
Company balance sheet
Company statement of changes in equity
Company cash flow statement
Notes to the company financial statements
Annexure 1: Interest in subsidiary companies and joint ventures
Annexure 2: Group’s attributable interest in associated companies

Group income statement

for the year ended 31 December 2008

          December 2008   December 2007  
    Notes     Rm   Rm  
  Revenue 2     102 526   73 145  
  Direct network operating costs       (14 140)   (8 525)  
  Costs of handsets, SIMs and vouchers       (5 985)   (5 524)  
  Interconnect and roaming       (13 217)   (9 997)  
  Employee benefits 3     (4 776)   (3 379)  
  Selling, distribution and marketing expenses       (13 274)   (9 071)  
  Other operating expenses       (7 743)   (4 592)  
  Impairment of property, plant and equipment 8     (225)   (212)  
  Depreciation 8     (9 939)   (6 774)  
  Amortisation of intangible assets 9     (2 820)   (2 199)  
  Operating profit 3     30 407   22 872  
  Finance income 4     6 727   1 780  
  Finance costs 5     (8 644)   (4 953)  
  Share of results of associates after tax 10       8  
  Profit before tax       28 490   19 707  
  Income tax expense 6     (11 355)   (7 791)  
  Profit after tax       17 135   11 916  
  Attributable to:              
  Equity holders of the Company       15 315   10 608  
  Minority interests       1 820   1 308  
          17 135   11 916  
  Basic earnings per share (cents) 7     821,0   569,9  
  Diluted earnings per share (cents) 7     806,1   559,2  
  Dividend per share (cents) 7     136,0   90,0  

The notes are an integral part of these consolidated financial statements.