by MTN Group of South Africa has reported a significant 33% increase in core profit for the first quarter of the year. This surge is attributable to strong service revenue growth, lower device sales costs in its home market, and a more stable economic environment.
Financial Highlights for MTN Group
For the quarter that concluded on March 31, MTN Group experienced substantial financial growth. Earnings before interest, taxes, depreciation, and amortization (EBITDA) jumped by 33% when adjusted for constant currency.
The group’s margin improved by 5.3 percentage points, reaching 44.1%. Overall, service revenue for MTN Group increased by 10.4% during the quarter. When considering constant currency, the increase is a notable 19.8%.
Related news: Ugandan Leader Meets Starlink to Discuss East Africa Launch
Performance in Key Markets
MTN Nigeria played a crucial role in this growth, with a service revenue surge of 40.4%. MTN Ghana also contributed significantly, showing a 39.5% increase. Despite competitive pressures, particularly in the prepaid market, MTN South Africa reported a service revenue increase of 2.6%.
MTN Nigeria Communications Plc has demonstrated strong performance in the first quarter of 2025. The company’s service revenue grew by 40.5% to reach N1.0 trillion. Profit after tax stood at N133.7 billion, a significant recovery from a loss of N392.7 billion in Q1 2024.
Also read: Trump’s tariffs will barely affect Africa – WTO DG Okonjo-Iweala
Key Metrics for MTN Nigeria
- Total subscribers increased by 8.2% to 84.1 million.
- MTN Nigeria added 3.2 million subscribers in Q1 2025.
- Active data users rose by 13.0% to 50.3 million.
- MTN Nigeria added 2.6 million active data users in Q1 2025.
- EBITDA increased by 65.9% to N492.7 billion.
- EBITDA margin expanded by 7.2 percentage points to 46.6%.
- Earnings per share amounted to N6.38 kobo.
- Capital expenditure increased by 159.0% to N202.4 billion.
- MTN Nigeria reported positive free cash flow of N209.9 billion.
Strategic Investments and Future Outlook
MTN Nigeria invested N202.4 billion in Q1 2025 to upgrade and expand network infrastructure, aiming to enhance service quality and capacity.
Karl Toriola, CEO of MTN Nigeria Communications, expressed satisfaction with the company’s performance. He noted that the Q1 results have placed MTN Nigeria on track to restore profitability and achieve a favourable net asset position within the current financial year. MTN Nigeria is focused on executing its Ambition 2025 strategy, which includes network investment and digital inclusion.
If you enjoy our content, you’ll love the amazing stories we share on Facebook, Telegram, and Twitter!
Subscribe and follow us for more premium SeeAfrika content.
