MTN Nigeria Returns to Profitability with N133.7bn Q1 2025 Earnings
Telecom Giant Bounces Back After Successive Losses
MTN Nigeria Communications Plc has reported a profit after tax of N133.7 billion for the first quarter of 2025, marking its first profitable quarter since 2023. This signals a strong recovery for Nigeria’s largest telecom operator, which serves 84.1 million subscribers, following several quarters of losses despite robust revenue performance.
From Losses to Recovery
After recording its first loss after tax of N137 billion in recent years, MTN Nigeria faced consecutive quarterly losses due to macroeconomic challenges. The company had reported record revenue of N3.36 trillion for 2024, yet ended the year with a N400.44 billion loss. The turnaround aligns with MTN Group’s prediction of recovery for its Nigerian operations, attributing the improvement to market stability and a 50% tariff increase implementation.
Strong Revenue Growth Across Key Segments
The telecom giant demonstrated impressive financial performance in Q1 2025:
- Service revenue grew 40.5% to N1.05 trillion
- Data revenue (N529.44 billion) surpassed voice revenue (N407.41 billion)
- Capital expenditure (excluding leases) increased 159% to N202.4 billion
Leadership Perspective on the Turnaround
Karl Toriola, MTN Nigeria’s CEO, expressed satisfaction with the Q1 results: “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.”
Toriola highlighted that the results position the company to:
- Restore profitability
- Achieve a positive net asset position in the current financial year
- Enhance network and service quality through increased investments
Price Adjustments and Future Outlook
The CEO noted that recent price adjustments have enabled accelerated network investments focused on capacity expansion and user experience improvement. While the full impact of pricing changes on usage and revenue will become clearer in Q2, early indicators show sustained customer demand supported by targeted customer value management initiatives.
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