MTN Nigeria has lost its position as the MTN Group’s highest-earning subsidiary for the first time since 2019 after reporting a post-tax loss of ₦400.4 billion ($260.2 million) in 2024. The Nigerian unit fell behind the West and Central Africa (WECA) region and South Africa in revenue rankings, marking a significant shift in the Group’s revenue dynamics.
The telecom giant, which contributed around 40% of the Group’s total revenue for five years, struggled in 2024 as a weakened naira and rising inflation slashed earnings. MTN Nigeria, which holds 51% of Nigeria’s subscriber base, generated $2.26 billion in 2024—down from $4 billion in 2023.
Despite a 36% increase in revenue to ₦3.36 trillion in 2024 (up from ₦2.47 trillion in 2023), foreign exchange losses drove MTN Nigeria’s bottom line into the red. In contrast, MTN South Africa earned $2.89 billion, surpassing Nigeria to become the group’s second-largest subsidiary by revenue. The WECA region, which includes Ghana, Cameroon, Côte d’Ivoire, Benin, Congo Brazzaville, and Liberia, led with $3.1 billion. Ghana was the WECA region’s top contributor, according to MTN Group CEO Ralph Mupita.
The financial strain on MTN Nigeria has broader implications for the Group’s future investments in its largest African market. MTN Group prioritizes capital expenditure for its most profitable units, and while MTN Nigeria remained a key recipient of funds in 2024—receiving approximately $986.2 million for network expansion and 5G rollouts—further revenue declines could jeopardize future allocations, potentially affecting the company’s growth and service quality.
Historically, South Africa has been the group’s dominant revenue generator. However, Nigeria first surpassed South Africa in 2013 when it generated $2.6 billion compared to South Africa’s $2.1 billion. MTN Nigeria maintained the top position until 2017 when it began repaying a $5.2 billion fine imposed by the Nigerian government. The company regained its leading spot in 2019 before slipping again in 2024.
In response to the 2024 losses, MTN Group suspended Nigeria’s revenue guidance—a projection of future earnings by the company. However, with the Nigerian Communications Commission (NCC) approving tariff increases, the company has since reinstated its revenue outlook.
“We saw inflation ease towards the end of 2024, which gives us confidence,” said CEO Ralph Mupita during an investor call on Monday. “We have not yet completed the implementation of the tariff increases in Nigeria.”
As of December 31, 2024, MTN Group operates in 16 countries across Africa and the Middle East, serving 291 million customers. The company has been streamlining its operations in recent years, exiting certain markets—such as Afghanistan—to focus on its core African business. MTN now organizes its operations into five regional clusters: South Africa, Nigeria, South and East Africa (SEA), West and Central Africa (WECA), and the Middle East and North Africa (MENA).
MTN Nigeria’s performance in the coming years will depend on a stabilized naira, easing inflation, and a recovery in consumer spending power.
