MTN Nigeria has lost its position as the highest-earning subsidiary of the MTN Group, following a post-tax loss of ₦400.4 billion ($260.2 million) in 2024 for the first time since 2019.
The Nigerian unit fell behind the West and Central Africa region and South Africa in revenue rankings, marking a significant shift in the telecom giant’s financial landscape.
MTN Nigeria, which contributed nearly 40% of the Group’s total revenue over the past five years, struggled in 2024 due to a weakened naira and surging inflation, which severely impacted earnings. The subsidiary generated $2.26 billion in revenue for the year—nearly half of the $4 billion it earned in 2023.
Despite a 36% year-on-year increase in revenue to ₦3.36 trillion ($2.26 billion) in 2024, foreign exchange losses dragged the company into negative territory. In comparison, MTN South Africa reported revenue of $2.89 billion, overtaking Nigeria to become the Group’s second-largest revenue generator.
The WECA region, which includes Ghana, Cameroon, Côte d’Ivoire, Benin, Congo Brazzaville, and Liberia, led with total earnings of $3.1 billion. Ghana emerged as the top contributor in the region, according to MTN Group CEO Ralph Mupita.
MTN Nigeria’s financial struggles have raised concerns about the Group’s future investments in its largest African market. MTN prioritizes capital expenditure in its most profitable units, and while Nigeria remained a key focus in 2024—receiving approximately $986.2 million for network expansion and 5G rollouts—continued revenue declines could put future allocations at risk. A reduction in investment could impact service quality and slow MTN’s expansion efforts in the country.
Historically, South Africa has been MTN Group’s largest revenue contributor. However, Nigeria first overtook it in 2013, generating $2.6 billion compared to South Africa’s $2.1 billion.
MTN Nigeria held the top spot until 2017, when it began repaying a $5.2 billion fine imposed by the Nigerian government. The company regained its leading position in 2019 but has now fallen behind once again.
In light of MTN Nigeria’s financial downturn, the Group initially suspended its revenue guidance for the subsidiary—halting future earnings projections. However, following the Nigerian Communications Commission’s approval of tariff increases, the company reinstated its revenue outlook, citing signs of economic stabilization.
“We saw inflation ease towards the end of 2024, which gives us confidence,” CEO Ralph Mupita said during an investor call on Monday. “We have not yet completed the implementation of the tariff increases in Nigeria.”
As of December 31, 2024, MTN Group operates in 16 countries across Africa and the Middle East, serving 291 million customers. In recent years, the company has streamlined its operations, exiting non-core markets such as Afghanistan to concentrate on its African business.
The Group now categorizes its operations into five regional clusters: South Africa, Nigeria, South and East Africa, West and Central Africa, and the Middle East and North Africa.
MTN Nigeria’s financial recovery in the coming years will depend on exchange rate stability, inflation control, and a rebound in consumer spending. The company remains a dominant player in Nigeria’s telecom industry, holding 51% of the country’s subscriber base, but it faces mounting challenges in maintaining profitability amid macroeconomic headwinds.
