MTN subscriber base hits 76.5 million
Nigeria’s no 1 telco, MTN has retained its leadership of the mobile telephony market in Nigeria. The leading telco has grown its subscriber base to 76.5 million.
This disclosure was made by the company through its financial year results , ending December 2020. The result shows an increase of 12.2 million mobile subscribers to total 76.5 million.
In spite of the disruptions by the Covid-19 global pandemic, MTN business grew in leaps and bounds as evidenced from an upsurge in its active subscriber base
The Covid-19 pandemic imposed several imperatives like lockdown, remote working and several work-from-home procedures on businesses and this increased the use of data. Several telcos including MTN Nigeria made huge revenue during the year(2020) through sales of data and digital services.
According to the telco, active data users increased by 7.4 million to 32.6 million in the period under review.
MTN has remained the market leader in the telco business in Nigeria since its launch in 2001. Since its entry into the Nigerian market, it has remained the telco of choice for many Nigerians. Despite infrastructural challenge, it has run one of the most profitable businesses in Nigeria.
The regulator’s hammer fell on MTN in 2015 when a $5.1 billion fine was imposed on it by the Nigerian Communications Commission(NCC) in 2015 for its inability for not meeting the deadline set up by the Mobile network operators (MNOs) for disconnecting the Subscribers Identification Modules (SIM) with improper registration and it seemed the business would not recover. Despite these challenges, it has continued to soar in leaps and bounds and has remained one of Nigeria’s most profitable legacy brands.
In a related development, the leading telco year-end’ financial result indicated a 14.7% increase in its service revenue amounting to N1.3 trillion. Its earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by 9.7% to N685.7 billion
MTN’s net income (or earnings) with interest, taxes, depreciation, and amortization added back margin declined by 2.5 percentage point (pp) to 50.9% in 2020. In a year headlined by huge losses by many businesses, the telco Profit before tax (PBT) grew by 2.6% to N298.9 billion. In the same vein, its Earnings per share (EPS) rose by 0.9% to N10.1.
MTN’s latest subscriber base is about 37.5% of the total subscribers of telcos in Nigeria.
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