MTN Group has reported a substantial increase in its
operating profit margin for the first quarter of 2025, signaling a strong start
to the year.
Financial Performance Highlights
- EBITDA
Margin Growth: The company's earnings before
interest, tax, depreciation, and amortization (EBITDA) margin rose by 5.3
percentage points year-on-year, reaching 44.1%.
- Core
Profit Increase: MTN's core profit surged by 33% in
constant currency terms, driven by robust service revenue growth and
improved operational efficiencies.
- Service
Revenue Growth: Group service revenue increased by
10.4% overall, and by 19.8% in constant currency terms, with notable
contributions from MTN Nigeria and MTN Ghana, which posted service revenue
growths of 40.4% and 39.5% respectively.
Operational Developments
- Subscriber
Base Expansion: MTN's total subscriber base grew by
4.7%, reaching 296.8 million across its 16 markets.
- Data
and Fintech Growth: Data revenue climbed by 17.9%,
while fintech revenue increased by 17.2%. Active data subscribers rose by
9.1% to 161.7 million, and active Mobile Money (MoMo) users grew by 1.1%
to 62.2 million.
- Capital
Expenditure: The company invested R7.5 billion
in its networks and platforms to support commercial initiatives and
sustain growth.
Leadership Commentary
MTN Group President and CEO Ralph Mupita attributed
the positive results to disciplined execution of strategic priorities and
resilient demand for digital services. He noted that improved macroeconomic
conditions in key markets contributed to the company's strong performance.
These developments underscore MTN Group's robust
operational momentum and its strategic focus on expanding digital and financial
services across its markets.
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