MTN Nigeria is steadily on the rise as its half year results show it is growing in the critical key performance indicators.
In the recent unaudited report for the six months period ended June 2019, all financial indicators grew on a year-on-year basis.
Highlights of the figures are shown below:
- Service revenue increased by 12%
- Voice revenue increased by 11.4%
- Data revenue increased by 31.7%
- Fintech revenue increased by 21.2%
- Digital revenue decreased by 64.5%
- EBITDA grew by 40% to N304.9 billion (IAS 17: 16.2% to N253.0 billion)
- EBITDA margin increased by 10.7 pp to 53.8% (IAS 17: 44.6%, up 1.5pp)
- CAPEX increased by 63.8% to N105.8 billion (IAS 17: 48.9% to N96.1 billion)
- Mobile subscribers increased by 3.3 million to 61.5 million
Increase in the indicators was essentially due to the increase in subscriber count including a rise in data subscribers by 2.1 million to 20.7 million.
Voice revenue grew due to an increased in subscribers, relatively stable tariffs and the company’s focus on pro-consumer activities, boosted by targeted customer value management initiatives.
The growth in data revenue was due to the increased number of smartphones on the network (2.5 million), greater data usage (data traffic grew by 67% YOY) and growth in active data users (11.0% to 20.7 million). Smartphone penetration also increased by 2.1pp to 39.2%.
MTN announced that it had obtained a super-agent licence from the Central Bank of Nigeria which will enable them build an agent network and accelerate the growth of its fintech business. This will allow MTN leverage its established distribution channels to offer a wide range of mobile financial services.
It also says it will continue to works towards obtaining a Payment Service Banking licence which it applied for in late 2018.
