MTN reports R135.1bn in revenue

MTN Group revenue increased by 10.9% to R135.1 billion in the year ended December 31, the company has said.

In its financial results released yesterday, MTN Group said the number of subscribers worldwide had grown by 15.1% to R189.3 million.

Revenue generated through data went up by 58.5% to R14.6 billion.

Earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose by seven percent to R58.6 billion.

MTN paid a final dividend of 503 cents a share.

Sifiso Dabengwa, MTN Group president and chief executive, said the South African company had broadened its definition of data, which had resulted in other revenues from 2011 now being included in the data category.

Dabengwa said despite significant challenges, the results reflected a solid progress in growing subscribers, revenue and EBITDA.

He said the financial year was characterised by the continued global economic slowdown, increasingly competitive mobile markets and regulatory and political challenges.

“The new MTN Group structure, put in place in early 2012, which sees the business split into key pillars, namely South Africa, Nigeria and the Large and Small Opco cluster, has enabled more focused management and better execution of strategies across the various business units,” Dabengwa said.

Despite a challenging period for Nigeria, which had a revenue decline of 0.8%, the last quarter of 2012 delivered consistent month-on-month growth, he said.

“Nigeria negatively impacted the group’s overall margin performance, but has enjoyed an improvement in the fourth quarter which we expect to continue during 2013.”

The group was well positioned for growth in 2013, as it tried to reach a milestone of 200 million subscribers by mid-year, he said.

Dabengwa thanked outgoing chairperson Cyril Ramaphosa, who would retire at the annual general meeting in May.

Ramaphosa was elected deputy president of the ANC at the party’s elective conference in December.

- Sapa