MTN Nigeria Posts N576bn Loss, Customer Declines in Q1

MTN Nigeria Plc posted a huge loss before tax expenses of about N576 billion in the first quarter of 2024, according to the telecommunication company’s first quarter of 2024 financial scorecard. Its earnings per share (EPS) declined to negative N18.63 kobo.

The telecommunication company’s net loss settled at N392.65 billion at the end of first three months of operation in the year, sputter by another huge FX losses. This caused the telecom company to recorded N575.69 billion as loss before tax in Q1 2024 versus N162.91 billion reported at pretax profit in Q1 2023.

Its tax credit of N183.0 billion in Q1 2024 reduce pressure on its bottom line. In Q1, NTN Nigeria posted N392.69 billion as net loss after tax, a steep and sharp decline from N108.43 billion profit recorded in Q1 2022.

The company said its profit after tax adjusted for the net forex loss declined by 57.8% to N47.1 billion.  The company’s net loss for the quarter resulted in a further increase in its accumulated losses and negative shareholders’ funds to N599.2 billion and N434.7 billion, respectively.

MTN Nigeria service revenue increased by 32.0% to N747.3 billion as total subscribers increased by 1.3% to 77.7 million year on year. However, its subscribers declined by 2 million in the first three months in 2024 due to the implementation of the NIN-SIM directive, which the company said affected the development of its user base.

The company revealed that its active data users increased by 8.0% to 44.5 million at the end of first quarter of 2024 from the comparable period in 2023. But active data users declined by 78,000 versus Q4 -2023.

Also, MTN Nigeria Plc active mobile money (MoMo PSB) wallets increased by 48.7% to 4.8 million. Mobile money wallets fell by 566,000 versus Q4 2023 due to the NIN requirement for Know Your Customer (KYC) validation. #MTN Nigeria Posts N576bn Loss, Customer Declines in Q1