MTN Nigeria Release Report For 2023 Full Year

MTN Nigeria Communications Plc (MTN Nigeria) recently announced its audited results for the year ended December 31, 2023.

MTN Nigeria recently released its audited results for the year ended December 31, 2023. MTN Nigeria Plc lost after-tax (LAT) of N137 billion due to a net forex loss. The company profit after tax (PAT) adjusted for the net forex loss decreased by 14.3% to N344.5 billion.

MTN Nigeria's net loss for 2023 has resulted in a loss of its retained earnings and shareholders' funds to the negative of N208 billion and N40.8 billion, respectively.

MTNN devaluation of the naira in 2023 also resulted in a materially higher net forex loss of N740.4 billion (2022 restated: N81.8 billion), reflected within net finance costs, which resulted in a reported loss after tax of N137 billion compared to a restated PAT of N348.7 billion in 2022.

MTNN's total revenue of N2.468 trillion in 2023, as against N2.012 trillion in 2022, represents a year-on-year (YoY) increase of 22.7%.

MTNN total subscribers increased by 5.3% to 79.7 million; active data users increased by 12.7% to 44.6 million; active mobile money (MoMo PSB) wallets increased by 163.2% to 5.3 million; service revenue increased by 22.4% to N2.5 trillion; earnings before interest, tax, depreciation, and amortisation (EBITDA) grew by 12.3% to N1.2 trillion.

MTNN capital expenditure (capex) increased in 2023 by 13.2% to N571.0 billion. MTNN's Free cash flow increased by 11.6% in 2023 to N631.6 billion.

MTNN recorded a forex gain of N93.8 billion from the revaluation of its financial assets and a forex loss of N834.3 billion.

MTNN net foreign exchange loss of N740.4 billion in 2023, bringing MTNN's "net finance costs" to N951.5 billion, up 341.9%. 

In 2024, MTNN stated it would tackle the complexity and ongoing effects of high inflation and elevated forex volatility on its operations.

Following the negative retained earnings, the board did not recommend a final dividend for full year 2023.