MTN Nigeria has posted a sharp rebound in profitability for the first quarter of 2026, extending the recovery momentum that began in 2025 after two consecutive years of heavy foreign exchange-driven losses.
The telecom operator reported a pre-tax profit of N546.42 billion for the quarter, up 169.6% from N202.65 billion recorded in the corresponding period of 2025. The performance marks MTN Nigeria’s second highest quarterly pre-tax profit since listing on the Nigerian Exchange, trailing only the N569.59 billion posted in the fourth quarter of 2025.
The results reinforce investor confidence in the company’s turnaround strategy following one of the most difficult periods in its recent history. MTN Nigeria had reported a profit after tax of N349 billion in 2022 before the sharp depreciation of the naira triggered severe foreign exchange losses across corporate Nigeria.
By 2023, the telecom giant slipped into a N137 billion loss after tax, while losses deepened to N400 billion in 2024. The deterioration pushed retained earnings to negative N607 billion and shareholders’ funds to negative N458 billion, sparking concerns across the market.
The company’s stock price also reflected the pressure. Shares fell from highs of around N293 in 2024 before rebounding strongly during the recovery phase. The stock later rallied to as high as N915 in April 2026 and closed at N801.10 on May 8, 2026.
Chief Executive Officer Karl Toriola attributed the latest earnings surge to tighter operational execution and cost discipline despite persistent inflationary pressures.
According to Toriola, strong operating discipline helped contain expenses, resulting in a 68.1% increase in earnings before interest, taxes, depreciation, and amortisation, commonly known as EBITDA. EBITDA margin also expanded by 8.7% points to 55.3%.
Yet the deeper story behind MTN Nigeria’s recovery lies in the resilience of consumer demand. Even during the loss-making years, Nigerians continued spending heavily on mobile data, streaming, digital payments, online banking, and connectivity services.
That demand supported steady revenue expansion despite the earnings crisis. Revenue rose from N2.01 trillion in 2022 to N2.47 trillion in 2023 before surging to N5.20 trillion in 2025. Momentum has continued into 2026, with first-quarter revenue climbing 41.6% year-on-year to N1.49 trillion.
At the current pace, MTN Nigeria could approach N6 trillion in annual revenue this year.
The growth was driven largely by data consumption and digital services. Data revenue surged 74.5% in 2025 to N2.78 trillion, accounting for more than half of total revenue. Data subscribers increased 11.6% to 53.2 million users, while total mobile subscribers rose 7.9% to 87.3 million.
Fintech operations also expanded rapidly. Revenue from the company’s mobile money business climbed 79.7% to N191.27 billion as MoMo wallet users increased by 30.8% to 3.7 million.
The major drag on profitability during 2023 and 2024 was foreign exchange exposure rather than weak commercial performance. MTN Nigeria recorded FX losses of N740.43 billion in 2023 and N925.36 billion in 2024 as naira devaluation inflated the value of foreign currency obligations and lease liabilities.
That pressure eased significantly in 2025 as currency volatility moderated. The company recorded a net FX gain of N90.27 billion in 2025, followed by another N33.3 billion gain in the first quarter of 2026.
The results also underscore a structural shift in Nigeria’s telecom industry. Voice calls, once MTN Nigeria’s dominant revenue source, have now been overtaken decisively by data services as consumers increasingly prioritise internet connectivity and digital platforms over traditional telephony.
