MTN records revenue of N1.65trn as data proceeds jumps

MTN Nig Plc released its 2021 FY Audited Financial Statement, revealing a 22.90% growth in revenue from N1.35 trillion to N1.65 trillion in the current period. The company reported a 45.5% growth in net profit of N298.65 billion from N205.21 billion in the corresponding period of 2020.

The company generates the bulk of its revenue from Voice calls and data subscriptions, however, during the period, customers spent more on data subscriptions, increasing the revenue line by 55.31% while revenue from voice calls appreciated by 6.96%.

The Company has three reportable business segments which are Customer business unit, Enterprise business unit and Wholesale business unit. The customer business unit generated N1.46 trillion, making up 88% of the total revenue. The enterprise business unit generated N148 billion, while wholesale business unit generated the least revenue of N47.67 billion.

Key highlights of the report

  • Voice call and Data Subscription raked in N819 bn and N516 bn, respectively, compared with N766 billion and N332 billion in the corresponding period of 2020.
  • Revenue from interconnect and roaming increased y-o-y by 26.74% to stand at N168 billion.
  • Expenses on adverts, sponsorships and, sales promotion grew by 44% which suggests that active marketing contributed to the growth in sales.
  • Other expense line items as revealed in the income statement are interconnect costs and discount & commissions which advanced by 13.43% and 14.11%, respectively.
  • Taxation for the period amounted to approximately N138 bn appreciating by over 47%, as contained in the financial statement.
  • In 2021 FY, net profit appreciated by 45.53% from N205.21 billion to N298.65 billion.
  • The company’s net assets increased by N86.60 billion from N178.39 bn recorded as at December 2020 to N264.98 bn in the period under review. However, Total assets stood at N2.26 trillion.
  • MTN Nig Plc is currently trading at N190.00 per share and its market capitalization stands at N3.87 trillion as at Friday, January 28, 2021. Year-to-date performance shows that the share price of the company has declined by 3.55%