MTN Group said it expects to report a strong turnaround in its performance for its 2025 financial year.
Image: Timothy Bernard/Independent Newspapers
MTN Group is on the cusp of announcing a significant turnaround in its financial fortunes as it reveals preliminary expectations for the full financial year ended December 31, 2025.
Investors appear to have anticipated the turnaround, as its share price, also 1,13% lower at R205.23 on the JSE on Monday, has risen by a steady 73.2% over the past 12 months.
The telecommunications group anticipates a big increase in earnings per share (EPS) and headline earnings per share (HEPS), driven by operational progress and supportive macroeconomic conditions in key markets.
The forthcoming financial results are poised to show a recovery from the previous year, with MTN projecting an increase in EPS to a range of 1,062 cents - 1,168 cents, marking a staggering rise of more than 300% from the EPS loss of 531 cents reported for the 2024 financial year.
Similarly, its HEPS is expected to soar past 1,264 cents -1,284 cents, translating to an increase of over 1000%, sharply contrasting with the 98 cents recorded in the corresponding period last year. "The improved momentum across several of our markets underpinned strong growth in service revenue and profitability," MTN directors said.
The difference between the EPS and HEPS is largely due to impairment losses that relate to investments, goodwill, property, plant and equipment of approximately 157 cents (FY 24: 578 cents). Included in HEPS were non-operational items of about -85 cents (FY 24: -718 cents).
Much of the anticipated growth is underpinned by positive performance from MTN's larger operations. MTN Nigeria and MTN Ghana have both exhibited strong earnings, with Nigeria and Ghana expected to announced results today and tomorrow. Their preliminary figures reflect improved profitability driven by robust revenue growth, continuing the momentum that has characterised their operations in recent months.
Despite the positive narrative, MTN South Africa still faces challenges within its competitive prepaid market.
MTN is expected to release its comprehensive financial results on March 16, 2026.
BUSINESS REPORT