By Ayomiide Otitoju
MTN Nigeria has reported a N400.44 billion loss after tax for the 2024 financial year, citing naira devaluation and foreign exchange losses as key factors affecting its earnings. The loss, disclosed in its audited financial statements released Thursday, marks a 192% increase from the N137.02 billion loss recorded in 2023.
With over 80 million subscribers, the telecom giant said the sharp naira depreciation significantly impacted its foreign exchange exposure, with forex losses soaring to N925 billion from N740 billion in the previous year. The naira fell from N907/$1 at the end of 2023 to N1,535/$1 by December 31, 2024.
Despite the losses, revenue surged 36% to N3.36 trillion in 2024 from N2.47 trillion in 2023, driven by continued demand for data and digital services.
The company’s report stated, “Forex losses arising from the revaluation of foreign currency-denominated obligations resulted in a loss after tax of N400.4bn (2023: N137bn loss), albeit with a positive Q4 result (PAT of N114.5bn). Consequently, we reported negative retained earnings of N607.5bn (December 2023: negative N208bn), improving from the June 2024 balance of N727.2bn.”
Operating profit stood at N778.2 billion, a slight increase of 0.46% from N774.6 billion in 2023. However, forex losses wiped out these gains.
MTN Nigeria CEO, Karl Toriola, expressed confidence in the company’s resilience, stating, “Despite facing significant macroeconomic headwinds, including record-high inflation and ongoing currency and energy price volatility, we remained focused on executing our strategy and creating long-term value for our stakeholders.”
He also acknowledged the recent approval of telecom tariff adjustments, which he said were crucial for industry sustainability and addressing MTN’s negative capital position.
