Nigeria’s leading telecommunications company, MTN set the pace as it became the first publicly listed company to hit the N2 trillion mark in revenues.
In 2019, MTN first cross N1 trillion naira in revenues meaning it has taken the company just three years to surpass N2 trillion in revenues.
This was made known through the 2022 audited financial statements released by the company posting revenue of N2 trillion a 21.6% rise from the N1.6 trillion reported in 2021 which at the time was also record-breaking.
Aside from this, MTN also records a blistering N358.8 billion in profit after tax.
MTN also said it will be paying a dividend of N10 per share taking its total dividend to N15.5 per share, which delivers an indicative dividend yield of 6.68%.
Its share price remained flat at N225 per share suggesting investors were yet to fully digest the impact of the results on the company’s current value.
Speaking on the growth, MTN CEO, Karl Toriola explained that the high inflation rate led to a dip in consumer spending during the year. However, the company was still able to record growth across its key business segments supported largely by strategic investments.
“Our strong commercial momentum, supported by an accelerated investment in our network, enabled growth across all revenue lines. As a result, we recorded a 21.5% increase in service revenue, above the average inflation rate and in line with our medium-term growth guidance. Our ability to maintain service revenue growth while unlocking efficiencies through disciplined execution of our expense efficiency programme led to a 22.0% growth in EBITDA and a 0.2pp expansion in EBITDA margin to 53.2%, in line with our medium-term target range.”
A review of the results of the company shows MTN recorded growth in all segments of its business with voice and data leading the revenue surge.
The year 2022 was a difficult year for Nigeria on the macro-economic front thus making MTN’s blistering performance poignant.