MTN Nigeria said its fintech business recorded a seven per cent revenue decline in the first half of 2026 following the suspension of its lending services regulated by the Nigerian Communications Commission (NCC), even as the telecommunications operator generated N3 trillion in revenue during the period.
Speaking during an engagement with journalists in Lagos yesterday, Chief Financial Officer of MTN Nigeria, Modupe Kadri, clarified that the N3 trillion represented revenue and not profit, stressing that the figure reflected income generated from voice, data, digital solutions, enterprise services and fintech provided to more than 92 million subscribers.
Providing context, Kadri said the clarification became necessary to correct the misconception that the company’s revenue should be interpreted as profit, noting that a substantial portion is spent on taxes, operating expenses and continued investment in network infrastructure.
Explaining the performance, he disclosed that data services contributed about N1.7 trillion to total revenue, supported by rising smartphone adoption and increasing demand for digital connectivity.
He added that MTN now serves about 55.6 million active data subscribers, with average monthly data usage approaching 15 gigabytes per customer.
He said: “Nigeria has a youthful population and demand for digital services continues to grow.”
However, Kadri attributed the decline in fintech revenue to the suspension of MTN’s NCC regulated lending services for most of the first half of the year. He also disclosed that the company plans to reduce its ownership in its mobile money business to 40 per cent, with MTN Group Fintech taking a 60 per cent stake as part of its capital allocation strategy.
Further speaking, he revealed that MTN has invested more than N1.6 trillion in capital expenditure since January 2025 to expand network capacity and improve service quality.
He added that service delivery continues to face challenges from fibre cuts, vandalism and restricted access to network sites, while the company is working with industry stakeholders and security agencies to strengthen network resilience.
Highlighting other developments, Kadri said MTN Nigeria has fully repaid all its foreign currency denominated loans, eliminating foreign exchange related debt and lowering finance costs. He also noted that operating costs have continued to rise, with energy costs increasing between 50 per cent and 80 per cent year on year, diesel prices rising by nearly 80 per cent and transport fares also climbing sharply.
He said: “Competition must be sustainable to allow operators to meet their obligations and continue investing.”
