MTC FY revenue rises 3%, net profit down 3%

26 Jan 2021

Mobile Telecommunications (MTC), Namibia’s largest mobile network operator (MNO) by subscribers, has announced ‘strong’ results for the financial year ended 30 September 2020 despite difficult operating conditions. The company recorded revenue of NAD2.683 billion (USD176.6 million), a 2.7% increase from NAD2.613 billion the previous year, which it attributed to its strategic response to the market’s evolving needs, cost containment and improved customer service, resulting in a 2% rise in its active customer base and 22% growth in data revenues following a shift to home working. EBITDA rose by 3.8% to NAD1.397 billion, supported by growth in pre-paid customer revenue following the introduction of new tariffs, while net profit decreased by 3.1% to NAD772.4 million due to an increase in tax rates and higher depreciation costs. Despite the challenges posed by COVID-19 restrictions, the unavailability of power, the slow approval of fibre installations, and currency depreciation, CAPEX rose by 5% to NAD535 million, with most of the expenditure directed to network expansion projects such as 081Every1 and Capacity 2020. MTC claimed a total of 2.576 million active subscribers at 30 September 2020, a rise from 2.524 million twelve months earlier, consisting of 2.422 million pre-paid users (2.368 million in 2019) and 154,129 post-paid customers (2019: 155,890).

Namibia, Mobile Telecommunications (MTC)