MTN Nigeria swings into N750bn profit after tax in nine months

MTN Nigeria Communications Plc has staged a powerful financial turnaround, reporting a profit after tax of N750.2 billion ($519 million) for the first nine months of 2025, a dramatic recovery from the N514.9 billion ($356.2 million) loss recorded in the same period last year.

The telecom giant credited a more stable macroeconomic environment and strategic price adjustments for fueling its return to strength.

In a clear signal of renewed financial health, the company’s Board has approved an interim dividend of N5.00 per share, payable to shareholders on the register as of 20 November 2025. This move comes as MTN Nigeria successfully restored its retained earnings and shareholders’ equity to positive territory, at N142.7 billion and N293.1 billion, respectively.

A Year of Remarkable Recovery

The company’s results for the period ended 30 September 2025 reveal a story of broad-based growth. Service revenue surged 57.5% to N3.7 trillion, while Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) more than doubled, rising 123.0% to N1.9 trillion. The EBITDA margin also saw a significant expansion, increasing by 15.1 percentage points to 51.4%.

This performance was underpinned by a strengthening Naira, which appreciated against the US dollar, and easing inflation, which allowed the Central Bank of Nigeria to begin a cycle of monetary policy easing.

CEO Commentary: A Milestone Achievement

Karl Toriola, Chief Executive Officer of MTN Nigeria, described the period as a “significant milestone.” He stated, “We are pleased to report that MTN Nigeria has restored its positive retained earnings and shareholders’ equity positions. This demonstrates strong operational momentum and disciplined execution.”

ALSO READ: AIRTEL AFRICA HALF-YEAR REVENUE JUMPS 24.5% TO $2.98BN

Toriola highlighted that the robust performance enabled the company to accelerate its network investment, committing N757.4 billion in capital expenditure to improve service quality. “With this progress, the Board has approved an interim dividend payment, reinforcing our commitment to delivering sustainable value to our shareholders,” he added.

Operational Highlights and Strategic Moves

The company’s subscriber base grew to 85.4 million, with active data users increasing to 51.1 million. Data revenue was a standout performer, growing 73.2% as data traffic climbed 36.3%.

To manage this growing demand, MTN Nigeria entered into a strategic spectrum lease and national roaming agreement with T2 Mobile (formerly 9Mobile), effective 1 October 2025. The company also continues to expand its home broadband and fibre offerings, adding 281,000 subscribers in the third quarter alone.

The fintech segment also showed impressive growth, with revenue up 72.5% and active wallets growing to 2.9 million.

Confident Outlook

Looking ahead, MTN Nigeria expects to maintain its strong momentum through the final quarter of the year. The company reaffirmed its full-year 2025 guidance, including service revenue growth and an EBITDA margin of “at least low-50%.”

For the medium term, starting from 2026, the company is targeting average service revenue growth of “at least low-20%” and an EBITDA margin in the range of 53-55%, based on current economic assumptions.

“We are confident in the resilience of our business model, the strength of execution and our ability to manage and adapt to emerging risks,” said CEO Karl Toriola, positioning the company for sustained long-term growth.