MTN Nigeria Plc has announced a 51.5percent growth in revenue in the financial year of 2020, the highest ever recorded by a Nigerian listed entity.
MTN in a statement made available to the Nigerian stock market said, the strong revenue growth was basically due to its data-led segment as sales from the segment expanded by an impressive 51.5percent year to year.
Specifically, the telecom giant’s revenue expanded by 15.1percent year-to-year to N1.3 trillion in the review period.
The strong revenue growth was basically due to its data-led segment as sales from the segment expanded by an impressive 51.5percent Year to Year.
According to MTN, Voice sales rose relatively by 5.6percent year to year as the global switch to data-enabled communication subsisted.
The company also announced a N5.90/share final dividend growth in its free Cash Flow for the financial year of 2020.
Notably, MTNN’s 4G network now covers 60.1percent of the population compared to 43.8percent in 2019.
According to MTN Nigeria, the suspension of new SIM registration enforced in mid-December did not have a material effect on the voice segment, which managed a 10.6percent revenue growth in Q4’20 (vs 7.0percent in Q3’20).
In contrast, data revenue growth notably moderated to 37.5percent in Q4’20 compared to 55.5percent in Q3’20.
In a research report released by CardinalStone, the most valuable telecom company’s margin was adversely affected by currency devaluation;
“Margins were adversely affected by the effect of naira devaluation and expenses associated with new sites’ roll-out to boost 4G network coverage in financial year’20.