MTN records 35.1% increase in profit before tax to ¢4.1bn in quarter 3, 2022

Leading telecommunication firm, MTN Ghana, recorded 35.1% increase in profit before tax to ¢4.1 billion in the 3rd quarter of 2021.

According to its 3rd Quarter Financial Statement, MTN Ghana, maintained solid growth momentum in the 3rd quarter of 2022 in a challenging macroeconomic and operating environment. Mobile phone subscribers increased by 13.0% to ¢28.5 million.

Voice revenue increased by 23.4% year-on-year-year to ¢2.4 billion. This was helped by a 13.0% year-on-year expansion of its subscriber base and various customer value management (CVM) initiatives and portfolio rationalization initiatives. The contribution of voice to service revenue however decreased from 34.6% to 33.4% year-on-year in favor of an increased contribution from data.

Data revenue

Also, active data subscribers also increased by 18.2% to ¢14.1 million, whilst active Mobile Money (Momo) users increased by 16.3% to ¢12.4 million.

Data revenue increased by 43.7% year-on-year to ¢2.8 billion, supported by an 18.2% year-on-year increase in the number of our active data subscribers, 50.7% year-on-year growth in data traffic and a 27.5% year-on-year increase in the megabytes consumed per active subscriber. The contribution of data to service revenue increased from 35.1% to 39.5% year-on-year.

MTN spent ¢1.4 billion on capital projects and paid ¢2.1 billion in direct and indirect taxes during the period.

Mobile Money

Overall, there was a 16.3% year-on-year increase in the number of active Mobile Money (Momo) users, 15.9% year-on-year growth in cash-out services as well as a 17.7% increase in advanced service offerings such as micro-loans and other general payment services.

The contribution of Mobile Money to service revenue subsequently decreased from 22.8% to 19.1% year-on-year.

MTN said it will continue to execute on our Ambition 2025 strategy and intensify its efforts to drive growth, generate efficiencies and preserve liquidity as it navigates the macro-economic challenges and regulatory developments.

“We maintain our medium-term guidance for service revenue growth of high teens (in percentage terms)”.

 Source: Joy Business News