MTN Nigeria Communications Plc has reported a loss after tax of N392.7 billion for the first quarter of 2024, marking its second successive loss since being listed on the Nigerian Exchange. Despite a significant increase in service revenue by 32.0 percent to N747.3 billion year-on-year, the telco faced challenges leading to losses.
The company highlighted that its net loss for the quarter contributed to accumulated losses and negative shareholders’ funds, amounting to N599.2 billion and N434.7 billion, respectively. Adjusting for the impact of forex losses, the Profit after tax (PAT) declined by 57.8 percent to N47.1 billion.
MTN Nigeria’s chief executive officer, Karl Toriola, attributed the losses to severe macroeconomic headwinds, including rising inflation and naira depreciation. He noted that the devaluation of the naira and high inflation rates have created challenges for businesses in Nigeria, impacting consumer spending and the cost of operations.
Source: Parrot Nigeria