MTN Nigeria grows half year profit by 35%, proposes N2.95 kobo interim dividend
Adesola Afolabi is Businessamlive Reporter.
You can contact her on adesola.afolabi@businessamlive.com with stories and commentary.
MTN Nigeria has reported significant growth across major financial metrics in its just published half year financial results for the six months period ended June 30, 2019.
The results released Friday to the Nigerian Stock Exchange (NSE) showed revenue for the review period improved 12 percent to N566.9 billion as at June 30, 2019 from N505.7 billion in June 2018.
Improved revenue according to the company is as a result of growth in its voice and data segments. Voice revenue was up 11.4 percent while revenue from data jumped 31.7 percent year on year. Digital revenue according to the results also increased by 65 percent as subscriber bases increased by 3.3 million to 61.5 million.
The telecommunication company’s profit for the period consequently improved 35 percent to N98.9 billion from N73.4 billion reported in the same period of last year.
Following the release of the results, MTN Nigeria proposed a dividend of N2.95 kobo per every 2 kobo ordinary share held by investors.
The dividend which is subject to shareholder approvals and appropriate withholding tax, will be paid to shareholders whose names appear in the register of members as at the close of business on August 8, 2019, MTN said.
A statement signed by Uto Ukpanah company secretary, notifying investors of the corporate action explained that the dividend will be paid electronically on August 16 to shareholders who have completed the e-dividend registration and have mandated the registrar to pay their dividends directly into their bank accounts.
On the outlook for the second half of the year, Ferdi Moolman, CEO MTN Nigeria said the company expects lower data pricing and an acceleration of its 4G network expansion.
According to him, these developments will bolster the acquisition of customers and data traffic volumes in the second half.
“We will continue to progress in the second half of the year making improvements to our network experience, subscriber growth and enhance operational efficiency,” added Moolman
