MTN Group has reported a dramatic 68.9% fall in annual profits due to Nigerian currency devaluation and operational issues in Sudan. The headline earnings per share decreased to 98 cents in 2024, down from 315 cents in 2023. However, MTN declared a slightly increased final dividend of 345 cents per share, reflecting a commitment to shareholders despite financial challenges.
MTN Group, the largest telecommunications operator in Africa, has reported a significant decline in its annual profit, posting a 68.9% drop in full-year earnings. This downturn is primarily attributed to the devaluation of the Nigerian currency as well as operational challenges faced in Sudan. In terms of financial specifics, MTN announced that its headline earnings per share decreased to 98 cents for the year ending December 31, down from 315 cents in 2023.
Despite the substantial drop in earnings, MTN has declared a final dividend of 345 cents per share, a slight increase from the previous year’s 330 cents. The results reflect the ongoing difficulties faced by the company in navigating currency fluctuations and market conditions in various African countries. The MTN Group remains focused on strategic adjustments to address these financial challenges while maintaining shareholder returns.
In conclusion, MTN Group’s substantial profit decline due to the Nigerian currency devaluation and complications in Sudan highlights the vulnerabilities within the telecommunications sector in Africa. The company managed to uphold a modest increase in dividends, signaling commitment to shareholder returns amidst challenging financial circumstances. Strategic measures will be crucial for MTN in overcoming the operational challenges it currently faces.
Original Source: www.cnbcafrica.com
