MTN Nigeria Posts N1.70 Trillion Pre-tax Profit In 2025, Declares N20 Dividend

 MTN Nigeria Posts N1.70 Trillion Pre-Tax Profit in 2025, Declares N20 Dividend

By Endurance Enemona Samuel

MTN Nigeria Communications Plc has released its audited financial results for the year ended December 31, 2025, reporting a major earnings rebound that underscores one of the strongest corporate recoveries in Nigeria News Today.

According to its filing on the Nigerian Exchange (NGX), the telecom operator posted a pre-tax profit of N1.70 trillion in 2025, reversing a pre-tax loss of N550.3 billion recorded in 2024.

The turnaround reflects improved foreign exchange conditions, strong service revenue growth, margin expansion, and operational efficiency gains.

Fourth Quarter Performance Strengthens Earnings Momentum

In the fourth quarter alone, pre-tax profit rose 248.8% year-on-year to N569.6 billion, compared to N163.3 billion in Q4 2024.

The company’s board proposed a final dividend of N15 per share, bringing total dividend for the 2025 financial year to N20 per share.

Dividends will be paid electronically to shareholders on the register as of April 8, 2026, subject to completed e-dividend mandates.

Full-Year Financial Highlights (FY 2025 vs FY 2024)

1. Total revenue: N5.20 trillion (+54.9% YoY)

2. Service revenue: N5.17 trillion (+55.1% YoY)

3. Profit after tax: N1.11 trillion (vs N400.4bn loss)

4. Earnings per share: N53.07 (vs -N19.05)

5. EBITDA: N2.74 trillion (+108.9%)

6. Mobile subscribers: 87.3 million (+7.9%)

7. Total assets: N5.40 trillion (+28.7%)

8. Shareholders’ funds: N548.7 billion (+219.8%)

Management Commentary

Chief Executive Officer Karl Toriola described 2025 as a significant turning point for the company.

He confirmed that retained earnings closed positive at N400.4 billion, compared to negative N607.5 billion in December 2024, while shareholders’ equity improved to N548.7 billion from negative N458.0 billion.

Management attributed the improvement to a more stable foreign exchange market, moderated inflation, and continued demand for data services.

The company maintained its medium-term service revenue growth guidance of at least the low 20% range and revised EBITDA margin guidance upward to the mid-to-high 50% range.

Data and Fintech Drive Revenue Growth

Service revenue rose 55.1% to N5.17 trillion, driven primarily by data and fintech expansion.

1. Data revenue increased 74.5% to N2.78 trillion.

2. Data traffic rose 34.0%.

3. Active data users grew 11.6% to 53.2 million.

4. Smartphone penetration reached 66.1%.

5. Voice revenue climbed 42.1% to N1.85 trillion.

6. Fintech revenue rose 79.7% to N191.3 billion.

Operating leverage strengthened significantly as cost of sales rose 30.3%, below revenue growth, while operating expenses increased 16.7%.

EBITDA surged 108.9% to N2.74 trillion.

FX Gains Reverse Prior Year Losses

A major swing factor was foreign exchange performance. MTN Nigeria recorded a net FX gain of N90.3 billion, compared to a N925.4 billion FX loss in 2024.

The improvement followed settlement of outstanding letters of credit and reduced dollar exposure.

Capital expenditure excluding leases rose 126.2% to N1.00 trillion, reflecting heavy network investment.

Despite increased investment, free cash flow rose 215.5% to N1.2 trillion.

Balance Sheet and Market Reaction

The company’s balance sheet strengthened materially, with shareholders’ equity turning positive and retained earnings restored.

As of the latest close, MTN Nigeria’s share price stood at N760, making it the most capitalised company on the Nigerian Exchange with a market capitalisation of approximately N16 trillion.

The stock has gained 33% in February, lifting year-to-date returns to 49%, following a 155.5% rally in 2025.

This earnings report is published by The Business Bureau as part of Nigeria News Today corporate and capital markets coverage.