MTN Nigeria Communications Plc has declared a profit after tax of N133.7 billion for the first quarter of 2025, its first since 2023. This signals a return to profitability for Nigeria’s largest telecom operator, with 84.1 million subscribers, after quarters of successive losses masking strong revenue performance.
Since declaring its first loss after tax of N137 billion, MTN has recorded successive quarters of loss due to macroeconomic challenges. Despite reporting a record revenue of N3.36 trillion for 2024, its loss after tax stood at N400.44 billion at 2024’s end. However, MTN Group recently predicted a recovery for its Nigerian arm, citing stability and the implementation of a 50 per cent hike in tariffs.
Aside from its recovery, the telecom operator recorded a strong service revenue growth of 40.5 per cent to N1.05 trillion in the quarter. Data revenue of N529.44 billion continued to outpace voice revenue of N407.41 billion. It also increased capital expenditure, excluding leases, by 159 per cent to N202.4 billion in the period.
Karl Toriola, MTN Nigeria’s chief executive officer, said, “We are pleased with our performance in the first quarter of 2025, which reflects the continued execution of our strategic priorities and the resilience of demand for our services.”
He stated that MTN’s Q1 results have placed it on the path to restoring profitability and achieving a positive net asset position within the current financial year, while increasing its investments to improve network and service quality.
The CEO noted that recent price adjustments have helped the telecom accelerate network investments with a focus on boosting capacity and improving user experience. He also noted that while the company has adjusted its prices, it doesn’t expect “the full impact on usage and revenue is expected from Q2, early indicators suggest continued resilience in customer demand, aided by our targeted CVM initiatives.”(BusinessDay)
