Engaging with our stakeholders

Telkom is committed to open and constructive communication with stakeholders. We strive to respond to stakeholder concerns in a timely and appropriate way and to address these concerns transparently.

Our stakeholder engagements are guided by a formal framework and policy. Our Stakeholder Management programme focuses on identifying and engaging with key stakeholders, understanding their challenges and expectations, and aligning them with Telkom's strategic and operational objectives and targets.

We engage regularly through relevant and effective channels.

In March 2025, the Board approved the revised stakeholder engagement policy, which outlines Telkom's principles and long-term approach to stakeholder communication and engagement. We also began updating our stakeholder engagement framework. This will provide a dynamic and practical tool for executing tailored engagement strategies that evolve alongside the business and its stakeholders.

Monitoring and reporting

We assess the effectiveness of stakeholder engagements and relations by linking KPIs to value creation and relationship quality. Proper assessment of stakeholder relationships allows management to channel time and effort into relationships that are relatively weak.

Our stakeholder groups

We unpack our top six stakeholder groups based on the material impact they can have on Telkom's value creation process.

Relationship quality

Customers	Relationship quality Basis of assessment: Customer satisfaction surveys (NPS (72.3), iNPS, Voice of the Customer (VOC), Quality of Service (QoS), Brand health tracker and Tarifica benchmarking)
Customers underpin our existence and drive our reputation and brand. They consume the products and services from which we generate revenue. Their evolving needs and preferences guide product and service development in relation to new trends and market shifts. Building strong relationships and delivering superior service are critical to ensure customer loyalty, brand advocacy and sustained revenue growth. Refer to the business unit performance sections in the productive capital chapter
Their interests, needs and expectations	A relationship of trust and transparency Reliable, affordable and value-rich products and services Solutions that support cost management Timeous resolution of complaints and issues Effortless transactions Secure information Education on how to derive the most value from our offerings Reliable network performance
How we responded in FY2025	Continually reviewed product portfolios to ensure affordability and market responsiveness Integrated content and influencer marketing to educate consumers Improved query response times on social media channels Improved customer experience through Openserve Connect app and proactive notifications Maintained deep, trusted client relationships through innovative, purpose-fit solutions
Overarching value created for customers	Offered compelling product and service value propositions that address their budget constraints Delivered competitive advantage for partners through South Africa's leading open-access network Enabled customers to improve their lives and grow their businesses through connectivity Delivered client digital transformation journeys through comprehensive XaaS solutions Enabled SMMEs and corporates to stay connected through affordable voice and data offerings
In FY2026 we will prioritise	Improving the overall customer experience Enhancing billing, pre-sales and pricing touchpoints to ensure market competitiveness Expanding fibre-based services and driving market reach

Government and regulators	Relationship quality Basis of assessment: Self-assessment
Government through policies, Parliament through legislation, and regulators through regulations and licences, significantly impact on our cost of doing business, our return on investment, and the value we create for stakeholders. Regulators issue critical licences, including those required to provide electronic communications services and networks and to use radio frequency spectrum. They monitor retail tariffs, set call termination rates, impose social obligations, allocate numbering resources, and prescribe fees payable by licensees. Their findings and decisions influence market dynamics. Non-compliance with legislation and regulations can result in penalties and fines, further affecting our operations.
Their interests, needs and expectations	A relationship of trust and transparency Compliance with policies, laws and regulations Quality and affordable products and services across South Africa Effective competition in the market Licensing of spectrum Economic transformation, social impact, job creation and productivity
How we responded in FY2025	Engaged proactively with policymakers, regulators and market participants Submitted comprehensive inputs during public consultations on policies, legislation and regulations
Overarching value created for government and regulators	Contributed to the fiscus through tax payments, licence fees and contributions to the Universal Service and Access Agency of South Africa Enabled the government’s socio-economic development mandate through investment in networks and infrastructure Shaped government policies through robust engagement with regulatory agencies such as ICASA and the competition authorities and participation in industry forums Promoted local procurement and employment and value-adding CSI initiatives
In FY2026 we will prioritise	Collaborating with the government and other regulatory bodies as necessary to maintain robust engagement and ongoing communication and co-operation Implementing the 2024 Call Termination Amendment Regulations from 1 July 2025 Participating in the next high-demand spectrum licensing process Engaging on the review of the Electronic Communications Act

Investor community	Relationship quality Basis of assessment: Self-assessment
Investors enable access to equity and debt markets. They drive demand for Telkom shares and debt securities, impacting our market capitalisation and debt issuance capacity. Also refer to the leadership reflections chapter
Their interests, needs and expectations	Long-term sustainable return on investment Optimal debt levels and a sustainable positive FCF A relationship of trust and transparency, and access to management A clearly articulated investment case Improved ESG and financial disclosures and tracking of performance against goals
How we responded in FY2025	Management engaged with investors and analysts at financial results roadshows, conferences, and on an ad hoc basis, while the Board Chairperson and Remuneration Committee Chairperson engaged with shareholders at the annual governance roadshow Management engaged with investors on the Swiftnet disposal through a roadshow and market announcements to drive shareholder support for the transaction Continued to provide progress on our ESG targets Conducted a perception study to identify areas for improvement Reinstated the dividend policy (refer to Leadership reflections on FY2025)
Overarching value created for investors	Improved understanding of Telkom's investment case to enable informed investment decisions Telkom aims to provide a sustainable return on investments through responsible capital allocation, share price appreciation, distribution to shareholders in line with our dividend policy, capital and interest payments on bonds, and interest repayments on loans
In FY2026 we will prioritise	Enhancing communication of our strategy and business objectives to deepen investors' understanding of our business model Exploring innovative ways to maximise investor engagement, leveraging technology for broader reach and participation Improving our reporting practices to provide comprehensive information on ESG matters

Employees	Relationship quality Basis of assessment: Employee engagement survey and employee engagement score
Employees are strategic partners essential for ensuring Telkom’s sustainability through their performance, culture and skills. They possess the intellectual capital required for all core and supporting business processes, making them integral contributors to the Group's success. Also refer to the human capital chapter
Their interests, needs and expectations	A relationship of trust and transparency Frequent communication and engagement Job security Fair remuneration and recognition and reward for performance Learning and development A non-discriminatory and safe work environment
How we responded in FY2025	Held regular meetings and virtual gatherings to keep employees informed about news and initiatives. Utilised email, newsletters and intranet to share information effectively Offered learning opportunities through part-time bursaries, tailored development programmes, online learning resources, internships and leadership initiatives Launched the OneTelkom Challenge Series to increase engagement among employees through physical and online engagement session as a vehicle to drive shared values Introduced reward and recognition programmes specific to business units and relaunched the Spotlight Awards to recognise exceptional effort by teams and individuals within business units
Overarching value created for employees	Offered competitive market-related packages with various benefits. These include company cellphones, rebates on Telkom services, and flexible death and disability benefits through a bespoke retirement fund 86% of employees are engaged and prepared to go the extra mile The Telkom Retirement Fund assists employees with retirement planning and preparation The Telkom Wellness Programme provides employees and their families with comprehensive wellness assistance, including psychological counselling and legal advice
In FY2026 we will prioritise	Engaging with employees on the strategy to ensure alignment and accountability through the performance management process Evolving the engagement framework through an employee listening platform Implementing the outcomes of the employee engagement survey

Organised labour	Relationship quality Basis of assessment: Self-assessment
Telkom has a recognition agreement with the Alliance of the Communication Workers Union (CWU) and the South African Communications Union (SACU) for employees at job levels M/S6 and below. The Alliance serves as a strategic partner. It fosters shared value between Telkom and its employees, advances the Group's strategic plans, and ensures operational efficiencies and objectives are met.
Their interests, needs and expectations	A relationship of trust and transparency Proactive consultation on business changes that impact employees A stable workforce and business stability Continuous commitment to skills development, especially considering new technologies and employment equity regulations Avoiding retrenchments and, where unavoidable, minimising the number of impacted employees Considering the impact of retrenchments and outsourcing agreements on employment and the terms and conditions of employment
How we responded in FY2025	Continued engagements between Telkom and unions
Overarching value created for organised labour	Allowed employees to exercise their right to freedom of association Gave unions access to the workforce and provided support for shop stewards Facilitated fee deductions
In FY2026 we will prioritise	Continue facilitating quarterly employee relations workshops between HR business partners, promoters and employees Continue training pools of internal disciplinary inquiry chairpersons and initiators Continue proactively engaging with the unions, including wage negotiations

Suppliers and business partners	Relationship quality Basis of assessment: Self-assessments and supplier surveys
Our strategic partnerships with suppliers and business partners enable us to timeously deliver high-quality products and services. As contributors to our value chain, suppliers influence the cost and availability of materials and other inputs. Suppliers and business partners are often seen as an extension of Telkom, directly shaping our customer experience. They impact our ability to meet evolving customer demands and expectations. Also refer to the social and relationship chapter
Their interests, needs and expectations	Enhanced, effective and open two-way communication Collaborative contract management Performance visibility and feedback Adherence to payment terms Simplification of business transactions Timely resolution of queries and disputes
How we responded in FY2025	Conducted regular reviews with suppliers to ensure alignment and strengthen partnerships Evaluated partnership performance to identify opportunities for improvement Tracked adherence to payment terms on a monthly basis to ensure consistency and compliance with agreements Implemented an assessment of ESG aspects for suppliers Hosted supplier days focusing on aspects such as climate reporting, process enhancements, and digitalisation and automation
Overarching value created for suppliers and business partners	Enabled them to generate revenue from their products and services under fair terms Provided them with a platform to market their products and strengthen their brands through association with and/or accreditation by Telkom Provided training and support to subcontractors where necessary Our enterprise and supplier development (ESD) and transformation programmes (FutureMakers) support local procurement as much as possible. We also promote local employment by supporting and developing local contractors
In FY2026 we will prioritise	Supporting local procurement, manufacturing, employment and the upliftment of SMMEs Enhancing compliance with contractual payment terms, providing suppliers with options to improve their cash flow Driving cost reduction through improved forecasting and planning Implementing a procurement sustainability programme

Our communities are at the centre of our social licence to operate and host some of our infrastructure. It is imperative that we understand our communities’ needs and perspectives and work collaboratively with them on sustainable solutions to their challenges. Refer to the social and relationship capital section for more information.

The media, opinion makers and influencers drive reputation and brand perception. We provide information and context on technical matters, financial performance and operational developments, and thought leadership on matters affecting our industry. Refer to information on our brands in the intellectual capital section.