MTN Nigeria grows Profit After Tax by 42.5% in Q1 2021
MTN Nigeria Communications Plc (MTN Nigeria) has announced a 33.9 percent increase in Profit Before Tax (PBT) to N102.9 billion in the first quarter of 2021 from N76.90 billion in 2020.
According to the unaudited results for the quarter ended 31 March, 2021 released o the Nigerian Exchange website the telecoms company grew its service revenue by 17.2 percent to N385.2 billion.
The result had the following key highlights
- Mobile subscribers declined by 5 million to 71.5 million due to the effects of customer churn and the regulatory restrictions on new SIM sales and activations
- Active data users declined marginally by 71,000 to 32.5 million
- Earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by 19.1% to N204.5 billion
- EBITDA margin increased by 0.9 percentage points (pp) to 53.1%
- Capital expenditure was up by 19.3% to N89.9 billion (up 27.8% to N31.6 billion excluding the right of use [RoU] assets)
- Earnings per share rose by 42.5% to N3.60 kobo
- Digital revenue grew by 101.0% and fintech revenue by 28.5% as customers continued to adopt more digital products and services, a trend accelerated by the pandemic.
- Profit after tax (PAT) grew by 42.5% to N73.74 billion compared to N51.74 recorded in March 2020.