Tariff Adjustments: MTN Nigeria’s service revenue increases by 35.6%

• MTN Nigeria’s revenue increased by 35.6 per cent following tariff adjustments
• The telco’s tariff adjustment sparked from 2k to 6k trend in Nigeria
• Inflationary shocks and foreign exchange volatility impacted MTN Nigeria’s revenue in 2024, while ongoing armed conflict hampered operational and financial performance in Sudan

The service revenue of MTN Nigeria increased by 35.6 per cent in March following telecommunications tariff adjustments implemented in February 2025.

According to a report by the MTN Group office in South Africa on Monday, March 17, further growth is expected in the revenue of MTN Nigeria for the rest of 2025 following the tariff adjustments.

MTN Group’s President and Chief Executive Officer (CEO), Ralph Mupita, expressed optimism about the growth of the company in 2025 and beyond, saying the recorded increase in revenue was achieved “despite challenges including currency depreciation in Nigeria, elevated inflation, and ongoing conflict in Sudan.”

Mupita said there are signs of easing inflation, reduced foreign exchange volatility, and the positive impact of tariff adjustments in Nigeria.

He noted the Group’s efforts to ensure MTN Nigeria can absorb inflationary and forex volatility shocks, which have helped the company maintain profitability.

“In Nigeria, we renegotiated tower lease contracts, which allow MTN Nigeria to better manage adverse macroeconomic impacts on the business.

“MTN Group is well positioned to capture the exciting opportunities in our markets and deliver on our medium-term objectives to sustain growth, create shared value in nation-states and communities, and unlock value for our stakeholders,” Mupita stated.

MTN Nigeria’s tariff adjustment sparked ‘from 2k to 6k’ trend

Recall that the telecommunications giant increased the price of internet data across different bundles following the approval by the Nigerian Communications Commission (NCC) for a 50 per cent increase in telecom tariffs.

The new pricing saw internet subscribers paying N6,000 for a 15GB weekly data plan, a 200 per cent increase from the previous N2,000.

The increase also had subscribers pay N7,500 for 20GB monthly from N5,500 previously; 75GB, which used to cost N16,000 monthly, has increased to N20,000.; N9,000 for 25GB, N11,000 for 32GB monthly; N22,000 for 120GB monthly, etc.

Subscribers found out about the new pricing on Tuesday, February 11, sparking outrage among Nigerians on social media.

Inflationary shocks, forex volatility impacted MTN’s revenue in 2024

Nigeria suffered persistent inflationary pressures in 2024 as the inflation rate surged from 29.90 per cent in January to 34.80 per cent in December 2024, surpassing a 28-year record four times within the year.

In addition to inflation, the Nigerian economy battled foreign exchange volatility, with the naira losing 43 per cent of its value in 2024.

These twin challenges impacted businesses, including MTN Nigeria, leading to higher costs of goods and services and increased operational costs.

For the full year ended December 31, 2024, MTN Nigeria lost N400.44 billion after tax due to the devaluation of the naira.

According to the company’s audited financial statements released on Thursday, February 27, the loss represents N263.42 billion or a 192 per cent increase from the N137.02 billion loss recorded in 2023.

The company added that the devaluation of the naira increased its foreign exchange losses to N925 billion from N740 billion recorded in 2023, and impacted its earnings.

MTN Group faced challenges in Sudan

MTN Group said in addition to the currency devaluation crisis in Nigeria, its Sudan subsidiary faced operational challenges, leading to a 69 per cent slump in full-year earnings of the Group.

The Group said headline earnings per share (HEPS), one of the main profit measures in Sudan, fell to 98 cents in 2024, down from 315 cents in 2023.

Mupita said the Group’s operational and financial performance was hampered in Sudan by ongoing armed conflict in the country.

With 291 million customers across 16 markets in Africa, MTN Group said its group service revenue decreased by 15 per cent to 177.8 billion rands ($9.78 billion) but rose by 14 per cent in constant currency.

In Ghana and Uganda, the company increased local ownership in its operations. In South Africa, it extended the MTN Zakhele Futhi broad-based black economic empowerment transaction.

The Group further reduced its Scope 1 and 2 emissions, as well as widening access to broadband internet access to cover 93 per cent of the population in its markets.

It also advanced broadband in rural and remote areas, which is critical to its work to extend digital and financial inclusion across Africa. 

Mupita noted, “This underscores our dedication to transformation and creating shared value and remains integral to our future success.”

MTN Nigeria recovers N32 billion from banks as part of N74 billion USSD debt

Meanwhile, TheRadar earlier reported that MTN Nigeria recovered N32 billion from banks as part of the N74 billion outstanding debt owed to the telecom operator for Unstructured Supplementary Service Data (USSD) service charges.

This was contained in MTN Nigeria’s financial statement for the fourth quarter (Q4) of 2024, which noted that banks still owe the telecom company N42 billion.