MTN Group announced a 68.9% decline in annual profits due to currency devaluation in Nigeria and operational challenges in Sudan, with earnings per share falling to 98 cents. Despite this setback, the company declared a dividend increase to 345 cents per share, up from 330 cents.
MTN Group, the largest telecommunications company in Africa, has reported a significant decline in its annual profits, with a 68.9% decrease in earnings compared to the previous year. This downturn is attributed to the devaluation of the Nigerian currency and ongoing operational difficulties in Sudan. For the year ending December 31, the company’s headline earnings per share fell to 98 cents, down from 315 cents in 2023.
Despite these challenges, MTN announced a final dividend of 345 cents per share, which marks a modest increase from the previous dividend of 330 cents. The company continues to navigate a volatile economic environment, compounded by external factors affecting its revenue generation in key markets such as Nigeria and Sudan. Analysts will be closely watching MTN’s strategies to recover from this slump and regain stability in its financial performance.
In conclusion, MTN Group faces significant challenges as it reported a 68.9% drop in annual profits, primarily due to the devaluation of the Nigerian currency and operational issues in Sudan. Nonetheless, the company declared an increased final dividend, signaling some resilience amidst the difficulties it encounters. Future performance will depend on MTN’s ability to address these issues effectively.
Original Source: www.cnbcafrica.com