MTN Nigeria Communications Plc recorded a 22.9% increase in total revenue year or-year for the year ended 31 December 2021, according to the financial statements released by the company.
The total revenue for the year 2021 rose to N1.65 trillion from N1.34 trillion recorded in 2020.
The telecommunication also giant grew its profit after tax by 45.5% to N298.65 billion compared to its 2020 profit of N205.21 billion.
Growth was recorded across all revenue lines. Voice and data remain the major components of the company revenue, contributing N971.4 billion or 58.7% and N516.1 billion or 31.2% of the total revenue respectively and a combined weight of 89.9%.
The revenue from Fintech grew by 57.3% to N70.55 billion yoy. In recognition of its progress in the fintech space, MTN Nigeria received a US$500,000 grant from the African Development Bank to fund research on financial inclusion for women.
Despite the growth in revenue and profit, mobile subscribers decreased by 8 million to 68.5 million but returned to positive net additions in Q4 2021.
On the other hand, active data users increased by 1.7 million to 34.3 million, while active fintech subscribers rose by 4.8 million to 9.4 million.
The board has proposed a final dividend of N8.57 kobo per share to be paid out of distributable net income. This brings the total dividend for the year to N13.12 kobo per share, representing an increase of 39.6%.
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The company said that as of 31 December 2021, approximately 44 million subscribers have submitted their NINs, representing around 64% of its subscriber base and 74% of service revenue.
Commenting on the result, MTN Nigeria CEO, Karl Toriola said, “2021 was a significant year for our Company. We commemorated our 20th anniversary with a celebration of our customers and all the stakeholder relationships that enabled our journey. In addition, we made good progress towards our Ambition 2025 objectives, demonstrating the strength and resilience of the business. This reflects the firm foundations on which our business is built, the tenacity and commitment of our people, and the support of our stakeholders.
“We continue to deepen our contributions to society in line with our priority to enhance shared value. During the year, our total contribution to the Government through direct and indirect taxes was N669.2 billion, up 83.4%, representing approximately 40% of our total revenue. We extended our interventions, in response to the challenges to our nation arising from the COVID-19 pandemic, providing a further N1.5 billion to the Coalition Against Covid-19 (CACOVID) in support of efforts aimed at curbing the spread of the virus.”
On its outlook Toriola said, “We are focused on building on the platform of success laid in 2021. Our return to positive subscriber net additions in Q4 2021 establishes a solid basis for growth in 2022 as we ramp up gross connections through our rural connectivity drive and CVM initiatives. As part of our rural connectivity programme, we plan to connect approximately 2,000 new communities in 2022.”
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.
