MTN Group, a South African mobile network operator, has reported a 10.4 per cent overall increase in service revenue for the first quarter of the year, or 19.8 per cent in constant currency terms.
This growth was driven by strong performances in MTN Nigeria and MTN Ghana, with revenue increases of 40.4 per cent and 39.5 per cent respectively.
The company’s group service revenue rose 10.4 per cent overall in the quarter, or by 19.8 per cent in constant currency terms.
MTN South Africa, however, continued to face challenges, particularly in the prepaid segment, with service revenue increasing by only 2.6 per cent.
The company attributed this to constrained economic growth and heightened competition in the sector.
MTN Group is exploring potential collaborations with rival Vodacom on backup energy solutions, which could lead to benefits in alternative energy supply and efficient network operations.
The company is also strengthening its partnerships with low-earth orbit (LEO) satellite providers, including:
Starlink (Elon Musk), OneWeb (Eutelsat), AST & Science,
Lynk.
These partnerships is aimed at expanding services to enterprises.
MTN Group’s core profit jumped 33 per cent in the first quarter, driven by strong service revenue growth, lower device costs, and a more stable economic environment.
The company’s earnings before interest, tax, depreciation, and amortization (EBITDA) margin increased by 5.3 percentage points to 44.1 per cent on a constant-currency basis.
