The revenue generated from voice calls by MTN Nigeria grew by 7.2 per cent in 2017 at constant exchange rate, contributing significantly to the MTN Group’s service revenue.
Data subscription also contributed to the earnings of the company, expanding by 86.6 per cent year-on-year as shown by the 2017 financial report of the company.
The company reported relatively stable outgoing voice calls, generating R22,744m, apart from international roaming revenue and R4,012m from incoming voice calls including international roaming and excluding revenue from wholesale.
Earnings from MTN Nigeria’s data services amounted to R4,376m in 2017, and R3,873m was generated from digital services.
The company stated that the group’s service revenue in constant currency grew by 7.2 per cent, underpinned by 11.2 per cent growth in service revenue in Nigeria and a 3.9 per cent organic growth in service revenue in South Africa.
As part of its medium-term targets in 2018, the company said it set its sights on achieving double-digit growth in service revenue in Nigeria and mid-single digit growth in South Africa.
Having declared a dividend of 450 cents per share in 2017, MTN said it proposed to pay 500 cents per share as dividend in 2018.
MTN Nigeria had 52.3 million subscribers as of December 31, 2017, maintaining its leadership as the country’s largest telecommunication operator with a market share of 42.1 per cent.
The company added 2.5 million new subscribers between June and December 2017 in Nigeria and recorded a total of 217.2 million subscribers globally at the end of the financial year.
According to the financial report, the global number of subscribers dropped by 9.63 per cent due to the disconnection of 2.4 million lines in Cameroon and 750,000 lines in Uganda in adherence to regulatory requirements.
MTN mobile money initiative, which is active in 14 markets, gained the patronage of 22 million customers. In December alone, $5.3bn worth of transactions was carried out on the platform by 325,000 active agents. The mobile money customers grew by 38 per cent from 16.1 million in 2016 year-on-year.
As regards its listing on the Nigerian Stock Exchange which it said was subject to market conditions and requisite regulatory approval, the company said it had engaged with Nigeria’s Securities and Exchange Commission and the NSE extensively on the structure and parameters of the listing.
According to MTN, it has obtained its shareholders’ approval in principle to prepare for the listing, including amendments to its corporate structure.
It added that the company’s management had already initiated its corporate governance rating scoring with the NSE with a view to listing on the NSE’s Premium Board. “Any reduction in ownership by MTN Group in MTN Nigeria is expected to be limited,” the annual report added.