MTN Uganda records Shs 459 Billion profit
MTN Uganda saw a 29.6% increase in its profit after tax, reaching Shs 459.4 billion for the nine months ending September 30, 2024. This upswing is attributable to MTN Uganda’s data and fintech offerings, served up on a platter of the company’s fealty to digital and financial inclusion across Uganda.
Allied to MTN Uganda’s increased market share and strategic positioning, service revenue rose by 20.1% year-on-year to Shs 2.31 trillion, with gains in data services, up 30.1%, and fintech services, up 23.5%.
Financial technology (better known as fintech), in simple terms, refers to new technology that seeks to improve and automate the delivery and use of financial services. At its core, fintech is utilised to help companies, business owners, and consumers better manage their financial operations, processes, and lives
The Fintech's Digital Assets market in Uganda is projected to grow by 10.53% (2024-2028) resulting in a market volume of US$762.40m in 2028.
Operational efficiency credited
Sylvia Mulinge, CEO of MTN Uganda, said the company’s operation efficiencies are characterised by on high-demand services. This is the reason for MTN Uganda’s continuing growth, she revealed.
“Our substantial profit and revenue growth underscore MTN Uganda’s leading role in Uganda’s digital transformation,” Mulinge said.
“By investing in our data and fintech services and enhancing network quality, we have broadened access to digital and financial services for millions of Ugandans while improving profitability.”
MTN Uganda is experiencing an upsurge in its subscriber base, expanded by 13.3% to 21.6 million, supported by a 24.1% growth in data users and a 13.2% increase in fintech subscribers. The company’s continued investments in 4G and the launch of 5G services have provided customers with improved connectivity, something that also redounds to the company’s growth.
MTN Uganda dedicated Shs 297.9 billion in capital expenditures to broaden its network coverage and improve service quality. This investment enabled the company to expand 4G coverage from 83.7% to 87.9% and roll out 5G services.
Additionally, MTN extended its fibre network in Kampala and key regions upcountry, enhancing connectivity across the country.
According to a Telecoms Market Report, made by BuddeComm, a Telecom, Media and Technology research and Consultancy Company, Uganda’s telecom sector is among the most competitive in the region.
