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Data, Fintech Services Boost MTN Nigeria Revenue in Half-year

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MTN Nigeria has recorded double-digit growth in data revenue and fintech services in the six months ending June.

MTN Nigeria says the pandemic weighed on profits for the period but it maintained double-digit service revenue growth.

The telco’s data revenue rose by 57.6%, which MTN says was supported by an increase in data users and traffic. Revenue from digital and fintech services also rose by 121.8% and 29.6% respectively, while voice revenue growth was 2.8%, amid a change in traffic pattern following the lockdowns.

MTN says demand for data and digital services grew significantly during the period, but it experienced a decline in demand for voice services, especially in the mass market segment.

It adds the acceleration in data and digital revenue “only partially offset the decline in voice revenue. As lockdown restrictions have eased, we have seen an encouraging recovery in voice revenue.”

MTN’s profit before tax declined by 2% to N139.6 billion and earnings per share declined by 4.7% to N4.66 kobo.

“Following a strong first quarter, we experienced a challenging operating environment in the second quarter characterised by COVID-19-induced lockdowns and the broader macro-economic impact it has had.

“Despite this, we have maintained double-digit service revenue growth of 12.6% to 637 billion naira for H1, driven by strong growth in our key revenue lines,” says MTN Nigeria CEO Ferdi Moolman.

In the period under review, MTN added 6.8 million subscribers, taking the total number of customers connected on its network to over 71.1 million.

Moolman says: “We also connected 3.8 million new users to the Internet, bringing our active data subscribers to 29 million.

“Our MoMo [Mobile Money] subscribers increased by 1.6 million to 2.2 million, the majority of which were in Q2. We prioritised the upgrade of our network capacity to accommodate growth in traffic, while continuing to expand 4G network coverage, albeit at a slower pace given the constraints presented by COVID-19.”

The MTN board has approved an interim dividend of N3.50 kobo per share to be paid out of distributable net income.

Additionally, MTN says as part of several initiatives under its Y’ello Hope package launched in the first quarter, it offered subscribers free SMSes targeted “at providing value to the vulnerable in society”.

“It is pleasing that 75% of our subscribers benefitted, sending over 4.3 billion messages through the SMS platform. We also offered free money transfers using the MoMo agent network, with over 100 000 customers utilising the service,” notes Moolman.

Looking ahead, he says “impacts of COVID-19 are very uncertain and will depend on the evolution of the virus throughout the remainder of the year, any reinstatement or intensification of lockdowns and any other economic impacts caused by the global situation”.


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Legit.ng, Shade of Life Foundation Partner to Advance Autism Awareness in Nigeria

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Legit.ng recently joined forces with the Shade of Life Foundation to become a voice of autism, and drive advocacy for improved media support during Autism Awareness Month.

Legit.ng, Shade of Life Foundation Partner to Advance Autism Awareness in Nigeria

Participants at the event

Conversations around media support exploration was led by Joseph Omotayo, head of Department for Human Interest Stories at Legit.ng, and Dr. Eziafakaku Nwokolo, founder and CEO of the Shade of Life Foundation,

This partnership is a response to the concerns raised by organizations like the Shade of Life Foundation about the level of support received from the media in discussing autism as a disability.

While other disabilities may receive attention, autism, with its critical developmental implications often lacks adequate representation in mainstream media.

Recognizing the importance of addressing these concerns, Legit.ng took proactive steps by integrating itself into the essence of autism awareness.

It facilitated a one-hour workshop with Dr. Nwokolo, the founder of the foundation, to deepen our understanding of autism, its various spectrums, and the language boundaries associated with it.

Other steps we took in advocating autism awareness in the media, can be seen in our attached press release.

Legit.ng believes that by amplifying the voices of autism and advocating for better media representation, we can contribute to creating a more inclusive and accepting society for all.

 

 

 

 

 

 

 

 

 


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As Nigeria Struggle, Tanzania Turns off Power Plants Due to Excess Supply

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While 85 per cent of Nigeria is in darkness, Tanzania, an African country has shut down five hydroelectric stations in a bid to reduce excess electricity in the national grid.

As Nigeria Struggle, Tanzania Turns off Power Plants Due to Excess Supply

Kassim Majaliwa, prime minister, Tanzania, has said the main plant, Mwalimu Nyerere Hydroelectric Station, alone generated enough electricity to power major cities, including Dar es Salaam, the country’s commercial hub.

It is the first time Tanzania, which suffers chronic power shortages, has closed hydroelectric stations due to excess production.

“We have turned off all these stations because the demand is low and the electricity production is too much, we have no allocation now,” an official from state-run power company, Tanesco, said.

The 2,115MW Julius Nyerere Hydropower Dam is said to be almost filled with water following heavy rains that started early this year.

Meanwhile, while the country has an installed capacity of 1,938MW and the grid installed capacity of 1,899MW, Nigeria which has an installed capacity of 13,000MW is struggling to electrify 85 per cent of its electricity consumers.


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President Tinubu Appoints Jim Ovia as Student Loan Fund Chairman

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President Bola Tinubu has approved the appointment of Jim Ovia, renowned banker and businessman, as the Chairman, Board of the Nigerian Education Loan Fund.

Jim Ovia

Jim Ovia

Ovia’s appointment is contained in a State House statement titled, ‘President Tinubu appoints Jim Ovia as Chairman of the Nigerian Education Loan Fund,’ and issued on Friday by Ajuri Ngelale, special adviser to the President, Media & Publicity.

The statement noted that “Ovia is the founder of one of Nigeria’s leading banks and a respected business leader, with a surfeit of efforts and benefaction towards nurturing and empowering young Nigerians.

“He is an alumnus of Harvard Business School and holds a Master’s in Business Administration from the University of Louisiana.”

The National Student Loan Programme is a pivotal intervention that seeks to guarantee sustainable higher education and functional skill development for all Nigerian students and youths.

The Nigerian Education Loan Fund, the implementing institution of this innovation, demands excellence and Nigerians of the finest professional ilk to guide and manage.

“The President believes Mr. Ovia will bring his immense wealth of experience and professional stature to this role to advance the all-important vision of ensuring that no Nigerian student suffers a capricious end to their pursuit of higher education over a lack of funds,” the statement partly read.

Ovia’s appointment will also ensure “that Nigerian youths, irrespective of who they are, have access to higher education and skills that will make them productive members of society and core contributors to the knowledge-based global economy of this century.”


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