In the first quarter of 2025, MTN Nigeria Communications Plc allocated $1.4 billion toward capital expenditures (Capex), a remarkable 159 per cent increase compared to last year.
This investment, disclosed in the company’s unaudited financial results for the period ending March 31, focuses on bolstering network infrastructure and improving service delivery to customers nationwide.
The telecommunications leader reported a 40.5 per cent increase in service revenue, largely driven by robust demand and effective commercial strategies. Data revenue experienced a substantial rise of 51.5 per cent, supported by a growing active user base and increased data consumption.
In the fintech sector, MTN Nigeria recorded a 57.9 per cent revenue growth, thanks to the success of airtime lending services and improved float income. However, the company saw a 25.7 per cent decline in its active wallet base, which now stands at 2.1 million, signalling a shift towards prioritising quality over sheer quantity in customer acquisition.
Despite facing challenges in the broader economic landscape, MTN Nigeria achieved a profit after tax of $1.7 billion, a notable recovery from a loss of $3.7 billion in the previous year. Their EBITDA rose by 65.9 per cent, with the EBITDA margin improving to 46.6 per cent.
Karl Toriola, CEO of MTN Nigeria, expressed optimism about the company’s trajectory, stating, “We are pleased with our performance in the first quarter of 2025, which reflects the continued execution of our strategic priorities and the resilience of demand for our services.
“Building on the momentum from Q4 2024, our Q1 results position us firmly on the path to restoring profitability and achieving a positive net asset position within the current financial year while we continue to invest in enhancing our network and service quality.”
With a free cash flow of $9.9 billion, MTN Nigeria maintains a strong funding and liquidity position, further solidifying its leadership in the telecommunications industry.
