MTN to raise dividend after returning to profit

JOHANNESBURG — MTN Group plans to increase its shareholder payout after reporting a return to profit, signalling confidence in cash generation and growth prospects.

Africa’s largest mobile operator will pay a final dividend of 500 cents per share a 45 % jump following a pre‑tax profit of 47.4 billion rand ($2.81 billion) for the year ended 31 December 2025, compared with a 4.1 billion rand loss the previous year. Service revenue climbed 22.7 % to 218.5 billion rand as robust expansion in Nigeria and Ghana offset weakness at home.

Growth was led by MTN Nigeria, where service revenue surged 54.9 %, and MTN Ghana, which posted a 35.9 % increase. In contrast, MTN South Africa recorded only 2 % service‑revenue growth amid intense competition in the prepaid segment. Group executives said the strength in West Africa and ongoing cost controls provided flexibility to raise dividends while still funding network upgrades and fintech expansion.

An industry source noted that MTN’s nine‑month results already showed similar patterns, with Nigeria and Ghana outperforming and South Africa lagging.

The dividend increase underscores MTN’s push to reward investors as it executes its “Ambition 2025” strategy, which includes deepening digital services and mobile money operations.

Analysts said they will watch whether management can translate momentum in Nigeria and Ghana into sustained earnings growth and whether the South African unit can overcome competitive pressures and power‑supply challenges. The board indicated it would evaluate future payouts in line with profitability and capital‑investment needs.