According to MTN’s recently announced interim unaudited financial figures, the group’s revenue increased by 14.8% to $6 billion. This was mostly driven by data services in Nigeria, South Africa, and Cameroon.
Earnings before interest, tax, depreciation, and amortization (EBITDA) at MTN Group climbed by 15.1% to $2.7 billion, while the EBITDA margin improved by 0.3 percentage points to 45.3%.
Profit After Tax (PAT) for the quarter was $640.4 million, a considerable rise from $252.5 million in the same period in 2021.
In addition, the telecommunications company increased its customer base in Africa and internationally by 5.6% year on year to 281.6 million.
MTN has 79 million users in Nigeria and 38.3 percent market penetration. MTN Group also produced considerable income from its fintech sector, which increased by 14.0% during the review period.
According to the company, six billion mobile money transactions totaling more than $116.3 billion were carried out in its countries of operation in the first half of 2022.
The telecoms company reported 60.7 million Mobile Money (MoMo) subscribers in the first six months of its fiscal year 2022, a 24 percent increase year on year.
The Group President and Chief Executive Officer, Ralph Mupita, explained the new developments in the firm’s first half of the year report.
“We made progress in our work to separate our fintech and fiber businesses from our GSM business, and have started the process of engagement with select potential strategic investors into the group fintech structure, the outcome of which should be concluded by the end of the year.”
MTN had set the second quarter of its fiscal year 2022 as the timeframe for spinning off its profitable fintech company, with the fiber unit to follow a few months later.
Mupita commented on the financial results, saying, “Despite the adverse economic circumstances, MTN stayed committed to investing in our areas to improve broadband penetration and lower communication costs.” We increased network investment to R17.1 billion and paid an extra R7 billion to secure 4G and 5G spectrum in South Africa and Nigeria, which are crucial markets.”
He further added that, although economic challenges may linger in H2 2022, MTN Group is well-positioned to overcome the adverse market circumstances.
MTN said that in the year under review, it accelerated its portfolio transformation in accordance with its Pan-Africa approach, and the telecom has subsequently accepted a binding bid for 100% of MTN Afghanistan.