BCX CEO Jonas Bogoshi to retire after seven years at the helm

Jonas Bogoshi is set to retire from his position as CEO of BCX, Telkom’s enterprise IT subsidiary, effective March 1, 2026. Hasnain Motlekar, a Telkom Group veteran, will assume the role of acting CEO.

Leadership Transition Amidst Revenue Challenges

Bogoshi’s departure was disclosed during Telkom’s third-quarter trading update on Monday. This transition occurs as BCX navigates a period of declining revenue, with a 5.9% year-to-date decrease and a 9.3% drop in the most recent quarter, attributed to reduced spending from enterprise clients.

Did You Know? Jonas Bogoshi joined BCX as chief revenue officer in April 2018 and was promoted to CEO the following year.

Telkom acknowledged Bogoshi’s significant contribution, stating he was “instrumental in laying the foundation for the next phase of our strategic review” at BCX. Bogoshi’s extensive background in the ICT sector includes prior leadership roles at Gijima, EMC South Africa, T-Systems, the State IT Agency, and Cisco Systems.

Shifting Market Dynamics and Future Outlook

BCX has experienced ongoing challenges, particularly in its converged communications business, as customers move away from traditional voice and copper services towards fibre optic technology. Its IT services unit has also been impacted by cautious spending from businesses.

Recent quarterly results reveal a 17.8% decline in converged communications revenue and a 10.5% decrease in IT services revenue. This resulted in a narrowed EBITDA margin, falling to 10.4% from 15% the previous year.

Expert Insight: The timing of this leadership change, coinciding with revenue declines, suggests a strategic repositioning may be underway at BCX. The company’s focus on cybersecurity and IT hardware, which saw growth, could indicate areas for future investment and development.

Despite these challenges, certain areas of BCX’s business are performing well. Cybersecurity services experienced an 18.4% increase in revenue during the latest quarter, and IT hardware and software revenue rose by 19.6%.

Hasnain Motlekar brings over 28 years of experience within Telkom, having held both commercial and financial positions, most recently serving as chief financial officer of Telkom’s consumer business unit.

Potential Strategic Partnerships

Telkom has previously indicated its willingness to explore strategic partnerships for BCX, including the possibility of reducing its ownership stake if a suitable partner emerges. This openness to external investment could signal a broader shift in strategy for the subsidiary.

Frequently Asked Questions

What is the timeline for the CEO transition?

Jonas Bogoshi will retire, and Hasnain Motlekar will begin serving as acting CEO on March 1, 2026.

What factors are contributing to BCX’s revenue decline?

BCX has experienced revenue declines due to reduced enterprise spending and shifts in technology, specifically the move away from legacy voice and copper services.

Has Telkom considered external investment in BCX?

Yes, Telkom has indicated it would consider options including reducing its stake to a minority position if the right partnership emerged.

As BCX navigates this leadership transition and evolving market conditions, what role will strategic partnerships play in shaping its future direction?