MTN Nigeria Communications Plc has seen its after-tax loss deepen to N519.1 billion in its first half (H1) ended June 2024, from an after-tax loss of N85.6 billion in the same period of 2023.
The telecommunication firm recorded a surge in revenue to N1.54 trillion from N1.16 trillion during the period reviewed.
Further analysis reveals that MTN Nigeria’s revenue came from voice, data, SMS, interconnect and roaming, handset and accessories, digital, value-added services, rental income, and other revenues.
The firm’s finance income declined to N14.9 billion from N16.4 billion. However, finance cost for the period increased to N183.1 billion from N102.2 billion.
Here are seven key highlights from MTN Nigeria’s H1 2024 financials:
Net foreign exchange loss
Net foreign exchange loss deepened to N519.1 billion from a net foreign exchange loss of N85.6 billion.
On a quarterly basis, net foreign exchange loss was N231.3 billion in the second quarter ended June 2024 from N450.2 billion in the same period of 2023.
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Loss for the period
MTN Nigeria’s loss after tax stood at N519.1 billion from an after-tax loss of N85.6 billion
Loss per share was N24.7 per share from N4.09 per share.
Costs of SIM starter packs, handsets and accessories
The cost of SIM starter packs, handsets, and accessories for MTN Nigeria increased to N22.2 billion from N12.9 billion.
On a quarterly basis, the cost rose to N9.26 billion from N6.67 billion.
Advertisements, sponsorships and sales promotions
The firm spent N25.5 billion on advertisements, sponsorships, and sales promotions in H1 of 2024 from N19.4 billion.
On a quarterly basis, the firm spent N12.42 billion on advertisements, sponsorships, and sales promotions from N10.05 billion.
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Revenue Segment
MTN Nigeria’s revenue came from voice, data, SMS, interconnect and roaming, handset and accessories, digital, value-added services, rental income, among others.
Voice revenue contributed N541.3 billion to the total revenue. Data contributed N726.6 billion, SMS contributed N71.1 billion, interconnect and roaming brought N101.7 billion, handsets and accessories generated N4.69 billion. Digital contributed N30.9 billion, value-added services contributed N47.5 billion, rental income contributed N5.74 billion and other revenues contributed N9.56 billion.
Employee costs
The firm’s employee cost increased to N43.5 billion from N28.5 billion.
On a quarterly basis, employee costs grew to N22.3 billion from N16.4 billion.
Cash flows
Cash and cash equivalents declined to N201.9 billion as at the six months ended June 2024 from N499.4 billion.
Movement in the cash and cash equivalent revealed that net cash flows generated from operating activities rose to N533.3 billion from N514.4 billion.
Net cash flows from investing activities stood at a negative N2.59 billion from a negative N353.8 billion.
Net cash flows used in financing activities stood at a negative N684.9 billion from N33.9 billion.
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