MTN Group reported a sharp turnaround in annual performance, posting a profit before tax of 47.4 billion rand ($2.81 billion) for the year ended December 31, a significant recovery from the restated loss of 4.1 billion rand in the previous year. The South Africa-headquartered mobile operator attributed the result to robust growth in its largest markets, Nigeria and Ghana.
The group’s total service revenue rose 22.7% to 218.5 billion rand, driven primarily by double-digit expansion across its key subsidiaries. MTN Nigeria led with a 54.9% surge in service revenue, while MTN Ghana followed with 35.9% growth. These performances offset more modest conditions in other regions, including MTN South Africa, where service revenue increased by just 2% amid intense competitive pressures in the prepaid segment.
The strong financial outcome enabled the board to declare a final dividend of 500 cents per share, representing a 45% increase from the prior year. This payout reflects confidence in the group’s operational momentum and cash generation following a period of restructuring and market challenges.
The full-year report underscores the divergent growth trajectories within MTN’s Pan-African portfolio. While the West African hubs delivered exceptional growth, the home market in South Africa remained constrained. The substantial profit recovery, following a prior-year loss, highlights the impact of strategic focus and network investments in higher-growth markets.
The declared dividend signals a return to shareholder value after a difficult period, aligning with the group’s stated goal of sustainable growth. The performance data provides a clear snapshot of MTN’s current trajectory, anchored by strong subscriber and data trends in Nigeria and Ghana. Analysts will likely scrutinize whether this regional strength can be sustained amid macro-economic volatilities and currency fluctuations across the continent.
The full implications for MTN’s medium-term strategy and capital allocation will become clearer in the coming months as the group outlines its outlook for the new financial year.
