MTN Nigeria’s profit after tax rose 55.3 percent to N1.17 trillion in the nine months ended September 2026, as strong data revenue growth, higher customer usage and improved operating efficiency lifted earnings at the telecommunications company.
The results highlight the growing contribution of data services to MTN’s business, with revenue from the segment increasing 35.8 percent to N2.68 trillion, accounting for about 58.5 percent of total service revenue.
MTN’s active data users increased 12 percent to 57.2 million, while average monthly data consumption per active user rose 16.2 percent to 15.3 gigabytes. This pushed network data traffic up 30.1 percent, according to the company’s third-quarter earnings release.
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The figures show that growth is being driven not only by subscriber additions but also by deeper usage of existing services.
Data revenue grew considerably faster than active data users, indicating that increased consumption is contributing to the company’s earnings. However, MTN’s disclosures do not isolate the effects of higher usage from pricing changes or shifts in customer spending.
Total service revenue increased 23.7 percent to N4.59 trillion. Voice revenue grew 11.1 percent to N1.50 trillion, while digital revenue rose 24 percent to N88.3 billion. Fintech revenue, however, declined 25.9 percent to N97.5 billion, reflecting the suspension of its airtime and data credit service between April and June before its resumption under a multi-partner model.
Profitability grew faster than revenue. Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 36.8 percent to N2.62 trillion, while the EBITDA margin expanded 5.5 percentage points to 56.9 percent. Operating profit rose 38.2 percent to N1.99 trillion, while profit before tax climbed 59.4 percent to N1.80 trillion.
Operating expenses increased 8.5 percent, below the 23.7 percent growth in service revenue. Lower net finance costs, down 25.3 percent to N277 billion, also supported earnings. However, tax expense rose 67.6 percent to N630.47 billion, limiting the growth in profit after tax.
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Rising data consumption has also increased the importance of network capacity. MTN’s capital expenditure, excluding leases, rose 14.2 percent to N864.8 billion. The company said investment supported network coverage, capacity, service quality and home broadband expansion.
Its fibre-to-the-home business carries approximately 13 percent of total data traffic, helping ease pressure on the mobile network, according to the earnings release.
Cash generation remained strong despite the investment programme. Net cash from operating activities increased 48.2 percent to N2.31 trillion, while free cash flow rose 57.5 percent to N1.17 trillion. Dividend payments amounted to about N860 billion during the period.
Total assets increased 10.6 percent to N5.97 trillion at September 30, from N5.40 trillion at December 2025. Property, plant and equipment rose to N2.33 trillion, while shareholders’ equity increased 53.8 percent to N843.91 billion. Borrowings declined to N333.32 billion from N527.67 billion.
Cash and cash equivalents fell to N380.99 billion from N632.50 billion, reflecting investment spending, dividend payments and other cash movements. MTN nevertheless ended September with a net cash position of N47.7 billion.
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Speaking on the nine-month result, Karl Toriola, MTN Nigeria’s Chief Executive Officer, said: “We continue to deliver on our efficiency programme, expanding margins and strengthening cash generation despite energy cost pressures, and these gains are increasingly structural. Our balance sheet is strong, with borrowings fully naira-denominated and at fixed rates, eliminating foreign currency and floating-rate exposure on our debt.
“We enter the final quarter with confidence and remain on track to deliver our guidance. Our priorities are clear: sustain growth, protect margins, scale home broadband and rebuild fintech momentum, while creating sustainable value for all our stakeholders.”
MTN Nigeria shares trade at N850 currently on the NGX, and they boast the third-largest market capitalisation on the stock exchange at N17.8 trillion and have returned 61.45 percent year-to-date for their shareholders.
