MTN Group has announced a notable surge in revenue and subscriber numbers despite facing challenges throughout 2023.
According to the telecommunications company, its revenue soared by 13.5% to R210 billion ($11 billion). Data revenue accounted for R84 billion ($4.4 billion), voice revenue contributed R83 billion ($4.3 billion), and MTN MoMo, its fintech revenue arm, totaled R21 billion ($1.11 billion).
MTN attributed its financial success to its resilience amid a challenging external environment marked by high inflation (approximately 16.7%), forex volatility, scarcity, and political tensions in certain markets, notably Sudan.
The total number of active users across all markets increased to 295 million, with active data subscribers rising by over 9% to 150 million and active mobile money users increasing by 5% to 72.5 million. Fintech transactions surged by approximately one-third to 17.6 billion, with the value of transactions on the fintech platform reaching $272 billion.
Since October 2023 MTN Nigeria’s mobile money sector has been on a steady expansion of with active wallets reaching 3.5 million. However, operating expenses rose by 34.7%, and profit before tax declined by 42% due to naira devaluation.
Despite challenges like load shedding in South Africa, MTN invested R10 billion ($527 million) in capital projects to enhance network capacity expansion and power resilience. Investments in power and security resilience exceeded R2.6 billion ($137 million).
MTN South Africa witnessed substantial growth in consumer postpaid, enterprise, and wholesale businesses. By the end of the year, network availability across its infrastructure reached approximately 95%, with completed resilience investments reporting 98% network availability.
Mastercard agreed to invest up to $200 million for a minority stake in MTN’s fintech arm, valued at $5.2 billion, showcasing progress in developing its fintech and fibre businesses. Additionally, MTN separated its fibre business, Bayobab, and partnered with Africa50 to develop Project East2West, a terrestrial fibre optic cable network aimed at enhancing broadband access for Africa’s landlocked countries.
