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Business News of Thursday, 27 February 2020


MTN Ghana records GH¢1 billion in profit for 2019

Selorm Adadevoh, CEO of MTN Ghana Selorm Adadevoh, CEO of MTN Ghana

Telecommunications giant, MTN Ghana, has recorded a profit after tax of GH¢1 billion for the year 2019.

This represents a 33.56 percent higher profit compared to the figure earlier recorded in 2018.

According to the company’s financial statement, this indicates an improvement in its active data users and the growth in smart phones users across the country.

Total revenue for MTN in 2019 increased by 22.82 percent which reached GH¢5.18 billion up from GH¢4.2 billion.

Service revenue which discounts non-core activities like the sale of sim cards and mobile devices recorded GH¢5.15 billion in 2019, up from the GH¢4.19 billion recorded in the previous year.

In the interim, revenue accrued from the sale of sim cards and mobile devices improved by 35 percent to record GH¢33.7 million between 2018 and 2019.

For the period under review, revenue for MTN’s Mobile Money grew by 28 percent owing to an increase in active mobile money subscribers, commissions on cash-in-cash-out transactions, and growth in retail merchant payments.

The statement further noted that the company paid a total of GH¢72.16 million into the National Fiscal Stabilization Levy, which is charged on the profits of companies to help stabilize the government’s income and expenditure strategies.

The figure also witnessed an increase of GH¢18.2 million representing 33.75 percent in 2019 compared to the estimated GH¢54 million the telecoms company paid in 2018.

For 2019, shareholders of MTN are expected to benefit from a dividend of 6 pesewas per share.

This comprises an interim dividend of 2 pesewas per share and a final dividend of 4 pesewas per share.

Additionally, the company’s dividends for 2019 is an increase of 1 pesewa compared to the 5 pesewas per share dividend paid to shareholders in 2018.