HomeHeadlinenews#BREAKING: MTN Nigeria ‘Incurs N740b In Forex Losses, Shareholders Funds Wiped Out’

#BREAKING: MTN Nigeria ‘Incurs N740b In Forex Losses, Shareholders Funds Wiped Out’

MTN Nigeria Plc has reported a loss before tax of N177.8 billion compared to a pre-tax profit of N518.8 billion a year earlier. The losses resulted in a wipe-out of shareholders’ funds.


The company attributed the losses to a massive foreign currency loss of N740 billion up from N81 billion reported in 2022.

This is the company’s first-ever loss since it became a quoted company in Nigeria.

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

EBITDA margin decreased by 4.5 percentage points (pp) to 48.7%

Loss after tax was N137.0 billion due to net forex loss

Profit after tax (PAT) adjusted for the net forex loss decreased by 14.3% to N344.5 billion

Earnings per share (EPS) declined to  negative N6.38 kobo (N16.56 kobo adjusted for the net forex loss, down 14.1%)

Net loss for the year has resulted in a depletion of our retained earnings and shareholders’ fund to negative N208.0 billion and N40.8 billion, respectively

pany Commentary: “2023 witnessed a very challenging operating environment characterised by rising inflation, currency devaluation and foreign exchange shortages, complicated by geopolitical disruptions and cash shortages in Q1 arising from a redesign of the naira.


These factors created severe MTN Nigeria Communications Plc Audited results for the year ended 31 December 2023 2 | Page headwinds for our customers and our business during the year. The inflation rate increased throughout the year, reaching 28.9% in December 2023 – the highest reading in 18 years – with an average rate of 24.5%.


This was further exacerbated by higher fuel prices, arising from the removal of the fuel subsidy in May 2023, with the average prices of diesel and petrol up by 66.4% and 257.1% in 2023 to N1,416.8/litre and N600/litre, respectively. In June 2023, the Central Bank of Nigeria (CBN) adopted a more liberal foreign exchange management system and reintroduced the ‘willing buyer, willing seller’ model.

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