Yellow machine rebounds as Nigeria and Ghana lead MTN’s record recovery

MTN Group has made a strong financial recovery, shifting from a multibillion-rand loss in 2024 to a R27.4bn ($1.62bn) profit for the year ending 31 December 2025.

Announcing the results during a webinar on Monday, Group CEO Ralph Mupita described the performance as a milestone in the company’s recovery. The surge was driven by explosive growth in Nigeria and Ghana, allowing the board to declare a final dividend of R5 per share, which is a 45% increase that significantly outperformed market expectations.

The primary catalysts for the turnaround were the group’s West African operations, which effectively neutralised the currency-driven volatility of previous years.

MTN Nigeria saw a dramatic reversal in fortune. After reporting wiped-out equity in 2024 due to the naira’s devaluation, the subsidiary delivered a 54.9% jump in service revenue in constant currency. Stabilising macroeconomic conditions and long-awaited tariff adjustments allowed the unit to contribute R13.1bn to group profit.

In Ghana, service revenue grew 35.9%, underpinned by the continued expansion of the group’s fintech ecosystem. Analysts noted that Ghana remains the group’s most consistent high-performer, maintaining EBITDA margins above 60%.

The shift to ambition 2030

The results served as the launchpad for Ambition 2030, a strategic pivot focused on digital infrastructure and platform dominance. MTN revealed that its fintech transaction value reached a record $500.3bn in 2025, with Mobile Money (MoMo) active users climbing to 69.5 million.

Mupita told investors that the group had undergone a strategy evolution, emphasising that it is moving beyond traditional voice services to control the digital rails of the African economy. To support this shift, the group announced a R6bn share buyback programme, signalling a strong balance sheet.

The frozen stake in Iran

Despite the African success, Mupita provided a sobering update on MTN Irancell, which has effectively become a ‘ghost operation’ for the group.

Mupita confirmed that MTN has zero secondees left in Iran, having withdrawn the final staff in early January 2026. The move followed a unilateral change of CEO by the majority Iranian shareholders, which MTN formally protested without success, he said.

“Whether the network is up or not, we don’t know, because we don’t operate there and we don’t have a way of knowing,” Mupita said. He characterised the 49% stake, which represents roughly 4% of group net assets, as a trapped investment. Approximately R2bn in dividends and loans remain stuck in the country due to international sanctions.

While Mupita expressed a desire to exit, he warned that “abandoning legally is not very helpful” because it could lead to greater harm than anticipated.

Legal and regulatory headwinds

The webinar also addressed MTN’s ongoing legal risks that continue to shadow the group’s global footprint. Mupita confirmed that a US Department of Justice investigation remains active.

“Our voluntary cooperation is ongoing. Our lawyers meet them in the United States,” he said, noting there are currently no material developments to report.

The group is also navigating what he called signal spillage tensions between Rwanda and Democratic Republic of Congo. While MTN does not operate in DRC, Rwandan authorities have reached out to counterparts across the border to resolve technical interference amid an ongoing dispute regarding how far mobile signals travel across the border.

MTN anticipates its deal regarding IHS Towers will clear regulatory hurdles within six to seven months. Through the $6.2bn transaction, announced last month, MTN expects to acquire the remaining 75.3% stake it does not already own, effectively taking full control of the tower company and delisting it from the New York Stock Exchange.

The market appears convinced by the recovery narrative. Shares on the Johannesburg Stock Exchange (JSE) rose 6.6% following the earnings announcement, reflecting investor confidence in the group’s ability to navigate African volatility while ring-fencing its Middle Eastern liabilities. (The Africa Report)