Grace Ashiru
MTN Nigeria posted a profit after tax of ₦133.7 billion in Q1 2025, marking its first quarterly profit since 2023, following a difficult period of substantial foreign exchange losses and economic instability.
MTN Nigeria’s service revenue surged by 40.5% year-on-year to ₦1.05 trillion, driven by a 51.5% increase in data revenue to ₦529.4 billion, while voice revenue rose by 27.7% to ₦407.4 billion. The company’s growth was further bolstered by the addition of 3.2 million new subscribers, expanding its total subscriber base to 84.1 million.
Capital expenditure, excluding leases, soared by 159% to ₦202.4 billion, highlighting MTN Nigeria’s focus on boosting network capacity and service quality. Despite the rise in capital spending, the company reported a positive free cash flow of ₦209.9 billion.
CEO Karl Toriola credited the strong performance to strategic investments and a focus on customer value management. He highlighted that recent price adjustments have allowed the company to ramp up network investments, with the goal of enhancing user experience and service quality.
Despite the positive results, challenges persist. Retained earnings remain negative at ₦474.1 billion, and shareholders’ equity is at –₦324.6 billion. Nevertheless, the company remains optimistic about returning to profitability and achieving a positive net asset position by the end of the current financial year.
Looking ahead, MTN Nigeria intends to maintain its focus on executing the Ambition 2025 strategy, which emphasizes network investment, digital and financial inclusion, and restoring shareholder value. The company expects sustained growth in service revenue, driven by strong data demand and proactive customer value management initiatives.
MTN Nigeria’s Q1 2025 results demonstrate a remarkable recovery and a promising outlook for the company, showcasing its resilience and strategic approach in overcoming a challenging economic landscape.
