MTN Nigeria returns to the black with ₦133.7 billion Q1 profit, first since 2023

After a difficult 2023 in which losses mounted following currency devaluation in some of its key markets, MTN Nigeria returned to the black in the first quarter of 2025.

The telecoms firm, which now boasts 84 million subscribers, adding 3.2 million new users—posted a profit of ₦133.7 billion, compared to a loss of ₦14 billion in the corresponding period of 2023.

Even though macroeconomic headwinds persist, they were not enough to impact the top line. The company’s revenue grew 40.5% to ₦1.05 trillion, supported by reduced cost pressures mitigated by revised IHS tower lease agreements, stability in the exchange rate, increased tariffs, and improved network capacity.

Key takeaways

• MTN has 84 million mobile subscribers as of March 2025
• Active data users increased by 13% to 50 million in three months
• Active mobile money (MoMo PSB) wallets decreased by 25.7% to 2.1 million
• Positive free cash flow of ₦209.9 billion

Data revenue grew to ₦529 billion, overtaking voice revenue contributions to ₦407 billion. The telco experienced a 46.4% increase in data traffic. In addition, data usage per user grew by 29.5% to 12.8GB, benefiting from price adjustments and ongoing network investments, which contributed to revenue growth.

Fintech revenue grew to ₦36 billion, driven by the strong performance of the airtime lending product (Xtratime) and higher float income in that aspect of the business. However, a 25.7% drop in active mobile money wallets would motivate MTN to invest and intensify qualitative field acquisition efforts, particularly in rural and underserved areas.

MTN Nigeria’s share price is trading as high as 5%, ahead of the annual general meeting (AGM) this morning.

Still, a negative shareholder fund of ₦324.6 billion will impact dividend collection. The telco is optimistic about providing dividends, which will be top of mind in today’s AGM.

“Building on the momentum from Q4 2024, our Q1 results place us firmly on the path to restoring profitability and achieving a positive net asset position within the current financial year, while increasing our investments to improve network and service quality,” said Karl Toriola, MTN Nigeria’s CEO.

With profitability concerns cleared, MTN wants an increase in service revenue and EBITDA (earnings before interest, taxes, depreciation, and amortisation) of at least 40%, as tariff adjustments take effect. Additionally, it will prioritise a disciplined approach to capital to that effect.