MTN Nigeria is profitable after Tariffs hike
MTN Nigeria recorded a revenue of N1 trillion for the first quarter of 2025, representing an increase of 40.5 percent compared to the N752.9 billion revenue earned in Q1 2024.
Quick overview
- MTN Nigeria reported a revenue of N1 trillion in Q1 2025, a 40.5% increase from N752.9 billion in Q1 2024.
- The company's profit after tax reached N133.7 billion, marking a significant recovery from a N392.7 billion loss the previous year.
- MTN Nigeria has achieved three consecutive quarters of profit for the first time since June 2024, following a challenging period of foreign exchange losses.
- CEO Karl Toriola highlighted a new tariff structure and a collaboration with Airtel Africa aimed at enhancing network efficiency.
MTN Nigeria recorded a revenue of N1 trillion for the first quarter of 2025, representing an increase of 40.5 percent compared to the N752.9 billion revenue earned in Q1 2024.
The value was mostly propped up by the new 50% tariff imposed in February 2025, although the complete monetary effect will not be felt until later quarters.
As disclosed in its unaudited financial results for Q1 2025, the company made a N133.7 billion profit after tax, returning to profit for the first time in a year. This is an improvement of 68 percent relative to the N392.7 billion loss incurred over the last fiscal year.
The company’s recovery has been consistent since 2023, when the naira devaluation caused severe profitability drain alongside staggering foreign exchange losses.
The company has achieved three successive quarters of profit for the first time since June 2024, a fogged period experiencing an N740 billion FX loss last year.
MTN Nigeria reduced its ‘realized’ foreign exchange losses by two-thirds for the year. The company declared an unrealized foreign exchange profit of N55 billion compared to a loss of N476.8 billion in 2024.
Telecoms multinationals such as MTN continue to be vulnerable to shifts in exchange rates owing to their dollar sales, operational and capital spending, a challenge that has existed since the Nigerian currency was floated.
Karl Toriola, the CEO of MTN Nigeria, discussed the tariff increase, which is consistent across voice calls, SMS, and data plans: “We started implementing the new tariff structure in our data and voice bundles in mid-February 2025, with the majority of adjustments taking effect in March.
“Early indications suggest continued resilience in customer demand, aided by our targeted CVM initiatives,” he stated, adding that the full impact on usage and revenue is anticipated from Q2.
Additionally, Mr. Toriola mentioned a recent collaboration on a passive infrastructure-sharing project with Airtel Africa. This is expected to improve network coverage and operational efficiency.
- Check out our free forex signals
- Follow the top economic events on FX Leaders economic calendar
- Trade better, discover more Forex Trading Strategies
- Open a FREE Trading Account
Related Articles
Comments
Sidebar rates
Related Posts
Save
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals