Ghana: MTN Ghana Reports Strong Q3 Performance with 32% YoY Increase in Service Revenue

MTN Ghana (Scancom PLC) has reported robust performance for the nine months ending September 30, 2024, driven by significant growth in its digital and financial services. Despite macroeconomic pressures, including currency depreciation and high inflation, the company achieved a 32 percent year-on-year (YoY) increase in service revenue, totaling GH₵12.7 billion. MTN’s strategic focus on digital expansion and local market investment helped bolster revenue and support Ghana’s digital economy.

“We are proud of MTN Ghana’s resilience in this challenging economic environment,” said CEO Stephen Blewett. “Our commitment to connecting communities and advancing fintech solutions has driven substantial growth, allowing us to meet rising digital demands.”

 Key Financial Highlights

– Subscriber Growth: MTN Ghana’s mobile subscribers increased by 10.8 percent to 28.6 million, while active data users rose by 17.3 percent to 17 million, indicating strong demand for digital services. The Mobile Money (MoMo) service also saw an 18.1% increase in active users, reaching 17 million.

– Revenue Surge: Total revenue for the period reached GH₵12.77 billion, up 31.9 percent YoY. The data segment led this growth, with data revenue surging by 53.4 percent YoY to GH₵6.3 billion, reflecting higher demand for digital services. MoMo revenue grew by 50.8 percent to GH₵3.1 billion, driven by a 79 percent increase in advanced services.

– Profit and EBITDA: Earnings before interest, tax, depreciation, and amortization (EBITDA) rose by 32.2 percent to GH₵7.2 billion, and the EBITDA margin saw a slight increase to 56.2 percent. Profit after tax increased by 35.5 percent YoY, reaching GH₵3.76 billion.

– Taxes: Direct and indirect taxes paid by the company increased by 49.5 percent to GH₵6.1 billion.