MTN Nigeria posts stronger data revenue as telecom users surge despite FX and power costs

MTN Nigeria reported a 49.1% year-on-year increase in data revenue for its fiscal year 2024, driven by a surge in telecom users and higher data usage, the company said. The growth was supported by a rising subscriber base, increased smartphone penetration, and stronger monetization of data services, according to MTN Nigeria’s audited results released Thursday.

The telecommunications provider reported that data traffic increased by 42.9%, while average data usage per subscriber grew 33.6% during the period. The company attributed the revenue growth to both a rising subscriber base and stronger monetization of data services, supported by increased smartphone penetration and broader digital adoption in Nigeria.

MTN Nigeria’s service revenue rose 35.9% in its fiscal year 2024, driven primarily by data, voice, fintech, and digital services, according to the company’s audited results released Thursday.

The company’s fintech segment also showed significant growth, with revenue up 23.2% for the fiscal year and accelerating to 38.7% in the fourth quarter alone. MTN Nigeria noted expansion in rich media services and its enterprise business, with rich media subscriptions reaching 9.8 million monthly active users, a 22.4% increase. These developments contributed to a more diversified revenue stream beyond traditional voice services.

In an operating update for the first quarter of 2026, MTN Nigeria reported service revenue of 1.49 trillion naira, marking a 41.8% year-on-year increase. Active data users grew by 9.5% to 55 million during the quarter, indicating sustained demand despite ongoing macroeconomic challenges. Reuters and local market reports highlighted these figures as evidence of continued strong momentum in the Nigerian telecom sector.

MTN Nigeria continues to face significant headwinds from foreign-exchange pressures and rising power costs. The company said these factors have increased expenses related to imported network equipment and debt servicing. Power-cost inflation remains a major operational challenge for Nigerian telecom operators, contributing to higher overall network costs. Nonetheless, MTN Nigeria’s revenue growth from data and fintech services has helped offset some of the financial strain caused by these macroeconomic factors.

Industry analysts have noted a structural shift in Nigeria’s telecommunications market toward data-led growth. Intelpoint’s historical analysis shows MTN Nigeria’s data revenue has consistently outpaced voice revenue over multiple years. TechAfrica News reported that MTN Nigeria was a key driver of MTN Group’s overall growth in the first quarter of 2025, with data revenue up 35.4% at the group level. The Nigerian unit’s performance has been repeatedly cited as a significant contributor to the group’s earnings strength.

The company’s results underscore the increasing importance of data services in Nigeria’s telecom landscape, where rising smartphone adoption and digital engagement continue to expand the market. MTN Nigeria’s ability to grow its subscriber base and increase average data usage per subscriber reflects broader trends in consumer behavior and technology uptake across the country.