MTN reported significant losses for the first half of 2024. The company's financial performance was hit hardest by the devaluation of the Nigerian naira against the US dollar, the translation impact on reporting currency (rands) of the naira, and the ongoing conflict in Sudan. Reported headline earnings per share (HEPS) is down 198.5% to a loss of 256c/share and basic earnings per share (EPS) also saw a substantial decline of 278.6% to a loss of 409c/share.

MTN Group CEO Ralph Mupita seemed positive in his H1 results statement.

"Although the underlying commercial momentum and strategy execution were solid in the period, macro headwinds impacted operating results," wrote MTN Group CEO Ralph Mupita in the results statement.

The company did see growth in its ecosystem, with data traffic and fintech volumes increasing by 35.7% and 18.0%, respectively.

MTN also made significant strides in its strategic initiatives, including localisation efforts and the optimisation of its portfolio.

“Notwithstanding, we are encouraged by the strong operational performance in other key markets in H1,” said Mupita, highlighting the company's resilience and determination to navigate the challenging macroeconomic environment.

Services are up

MTN showed encouraging progress in key areas of the business, contributing to an acceleration in overall service revenue in South Africa.

The Nigerian business also delivered a strong underlying performance despite the macroeconomic challenges.

Looking ahead, Mupita is confident in the company's ability to overcome the current hurdles and achieve its medium-term growth ambitions.

He outlined the company's priorities, including accelerating expense efficiencies, driving growth in key markets, and leveraging partnerships to scale its platform businesses.

"We remain resolute in executing on our commercial and strategic priorities," he affirmed.

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Lindsey Schutters