MTN Nigeria, the country’s largest telecom operator, sees a dramatic surge in share trading and price gains. This renewed interest comes ahead of the company’s Q1 2025 financial results, set to be published on April 29, with many betting that MTN will finally return to profitability after two tough years.
MTN’s stock has been on a tear since the start of the year. As of April 25, the share price climbed to ₦255.50, up 27.8% year-to-date, and recorded a 4.3% jump in a single day. Trading volumes have also soared, with over 11 million shares changing hands on April 15-the highest single-day volume for MTN on the Nigerian Exchange this year. Analysts point to a recent 50% hike in call and data tariffs, approved by the government, as a major driver behind the bullish sentiment. The price increase is expected to strengthen MTN’s margins and start reflecting in its earnings from this quarter.
“If MTN’s Q1 numbers show a profit, it would be their first profitable first quarter since the naira’s steep devaluation in 2023,” said one market analyst. The devaluation, coupled with record inflation, had wiped out earnings and led to heavy losses in 2023 and 2024, despite strong demand for data and digital services.
MTN’s performance is closely watched as a barometer for Nigeria’s digital economy. With over 50% market share, the company connects tens of millions of Nigerians to essential voice, data, and digital services, and its stock performance influences investor sentiment across the entire telecom sector. The company has also rebranded its home broadband service to FibreX, signaling a renewed push for growth in the home internet market.
MTN is preparing a second public share offering, aiming to boost local ownership from 24% to 35% and further restore investor confidence. The company’s management is optimistic, citing recent economic reforms and improved dollar availability as reasons to expect a “V-shaped” recovery in Nigeria’s telecom sector.
However, challenges remain. Inflation is still high, and many Nigerians are grappling with reduced spending power. But for now, investors appear confident that MTN Nigeria is on the cusp of a major turnaround, with its Q1 results likely to set the tone for the rest of the year.
MTN Nigeria’s Q1 2025 financial results will be released on April 29, one day before its annual general meeting.
