MTN Nigeria Communications Plc has reported a strong financial performance for the first half of 2026, delivering a 70.6% year-on-year surge in net profit to ₦707.5 billion. The company's results, released on Thursday, highlight a robust growth trajectory driven by exploding consumer demand for mobile data, stabilizing foreign exchange conditions, and disciplined operational efficiency.
The country’s largest telecommunications operator saw its total revenue swell by 29.5% year-on-year to ₦2.993 trillion for the six months ended June 30, 2026 bringing the company to the brink of the historic ₦3 trillion half-year milestone. Service revenue grew by 25.9% to reach ₦2.97 trillion.
In light of the earnings surge, MTN Nigeria’s Board of Directors approved an interim dividend of ₦26 per share, set for payout on September 7, 2026.
Data Becomes the Primary Growth Driver
The primary driver of the company’s topline expansion was its data business, which solidified its position as the telecommunications giant's single largest revenue generator. Data revenue jumped 38.4% year-on-year to reach ₦1.70 trillion, accounting for well over half of total service revenue.
Total network data traffic expanded by 25.8% during the period. Individual consumption habits also intensified: the average monthly data usage per subscriber rose by 15.2% to reach 14.8 gigabytes (GB). Smartphone penetration on the MTN network increased to 66.4%, reflecting an expanding base of digitally connected consumers across urban and semi-urban markets.
Commenting on the results, MTN Nigeria Chief Executive Officer Karl Toriola emphasized that internet connectivity has transitioned from an elective expense to an essential commodity for Nigerian households and enterprises.
"We delivered a strong first-half performance, with sustained commercial momentum, improved profitability, and robust cash generation," Toriola stated. "Data remains our largest structural growth opportunity. As demand for reliable, high-speed broadband continues to grow, our investments in fiber-to-the-home and 5G fixed wireless access position us well to capture long-term value."
Earnings and Operational Summary (H1 2026)
Profit After Tax (PAT); ₦707.5 billion
Total Revenue; ₦2.993 trillion
Service Revenue; ₦2.970 trillion
Data Revenue; ₦1.700 trillion
EBITDA; ₦1.670 trillion
Free Cash Flow; ₦712.7 billion
Active Subscribers; 92.2 million
Active Data Users; 55.7 million
Interim Dividend; ₦26.00 per share
FX Stability and Margin Expansion Drive Bottom Line
A significant factor behind MTN Nigeria’s bottom-line recovery was the relative stabilization of Nigeria’s macroeconomic environment, particularly within foreign exchange markets. Unlike previous financial cycles that were heavily battered by currency devaluation losses, the local currency stabilized near ₦1,380 per US dollar during the first half of 2026.
This currency stability allowed MTN Nigeria to record a net foreign exchange gain of ₦36.4 billion, reversing a foreign exchange loss of ₦5.2 billion recorded in the corresponding period of 2025. Furthermore, the company successfully paid down its remaining foreign currency-denominated obligations, significantly reducing future exposure to volatility in foreign exchange markets.
Earnings before interest, tax, depreciation, and amortization (EBITDA) rose 39.2% to ₦1.67 trillion, expanding EBITDA margins by 530 basis points to 55.9%. The operator kept operating expenditure (OPEX) growth capped at 11.3%, effectively shielding margins against elevated energy costs and localized inflationary pressures.
Subscribers Expansion and Infrastructure Reinvestment
MTN Nigeria expanded its total active customer base by 4.9 million users during the six-month period, bringing its total mobile subscriber network to 92.2 million. Active data subscribers scaled to 55.7 million.
While overall fintech segment revenue dropped by 7.2% due to a temporary operational pause on credit services, core mobile money operations saw growth. Active MoMo wallets reached 5 million up from 2.7 million in H1 2025 while core wallet revenue surged over 132%.
To support network traffic demand, MTN deployed ₦620.5 billion in capital expenditure (CAPEX) during the first half of the year. The capital allocation prioritised 4G capacity expansion, 5G rollouts, high-speed fiber deployments, and expanding fixed wireless home broadband connections. Concurrently, the telecom giant contributed ₦622.6 billion in direct taxes and statutory levies to government coffers.
Future Outlook
Looking ahead to the second half of 2026, MTN Nigeria reaffirmed its medium-term financial guidance, projecting low-20% service revenue growth and maintaining an EBITDA margin target in the mid-to-high 50% range. Management noted that macroeconomic tailwinds, ongoing smartphone migration, expanding digital payments, and higher enterprise connectivity requirements will continue to anchor market demand through the remainder of the fiscal year.
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