For every ₦1 MTN Nigeria earns, only 24 kobo becomes profit – Modupe Kadri

MTN Nigeria’s Chief Financial Officer, Modupe Kadri, has revealed that about 76% of MTN Nigeria’s revenue flows back into the Nigerian economy, including to its shareholders.

Kadri had earlier made the same point on Arise News’ Global Business Report. On Thursday, during the MTN Y’ello Verse Catch-up with MIP alumni and journalists, he reiterated the claims, explaining that the company’s earnings are shared across several stakeholders before returns reach investors. 

The crux of the matter was largely on how MTN Nigeria’s declared service revenue of approximately ₦3 trillion for the first half of 2026 made headlines in recent days. While the CFO acknowledged the 25.9% year-on-year revenue growth, he said that about two-thirds of this amount returns to the Nigerian economy. 

“For every one naira of revenue, about 24 kobo becomes profit,” he said. 

He went on to explain that “the government receives over ₦600 billion through taxes and levies, operating costs account for a significant portion of our revenue, and every participant within the ecosystem benefits from the value we create.”

Aside from other costs of operation, shareholder returns form another funnel that earns from the company’s revenue. Kadri explained that this category represents only one aspect of the company’s broader economic contribution. 

In its financial statement, MTN Nigeria declared a ₦26 per 2-kobo ordinary share interim dividend for H1 2026 payable on 7 September 2026, while the total amount payable as dividend for the period is ₦545.9 billion.

As of H1 2026, MTN Nigeria has a 346,000-shareholder base. Over 200,000 shareholders were added since the public offer in 2021, with 136,000 added in 2026 alone. Also, the nominal value of the shares is pegged at 2 kobo, making it accessible to all Nigerians.

The telecom operator’s share price on the Nigerian Stock Exchange trades at ₦845, as of the closing period on Thursday, August 6.

Also Read: MTN Nigeria burns 1.5 million litres of diesel, suffers 450 vandal attacks daily.

MTN Nigeria: Where the ₦3 trillion went 

The ₦3 trillion service revenue was largely driven by ₦1.70 trillion in data revenue, with voice and fintech behind at ₦993 billion and ₦77 billion, respectively. Other services and digital contributed 7%. 

Here is how the company’s revenue was allocated:

• Profit After Tax (PAT) for H1 2026 stood at ₦707.5 billion (24%). 
• The company paid ₦622.6 billion in company income tax, VAT, spectrum fees, import duties and regulatory levies across the federal and state tiers. 
• Capital expenditure during the period was ₦620.5 billion, with total capex in the last 18 months now over ₦1.6 trillion.
• Depreciation for the period took a 14% share of ₦415.80 billion.
• Cost of finance stood at ₦207.90 billion (7%).
• Commissions paid to trade partners totalled ₦148.50 billion (5%).
• Cost of facilities and infrastructure maintenance was ₦59.40 billion (2%).
• Also, rent and utilities for network and tower leases accounted for ₦59.4 billion (2%).
• Other expenses such as OPEX, salaries and remuneration, commercials, marketing and other expenses stood at ₦920.7 billion (31%).

Kadri noted that beyond other historic financial results, the company will continue to devote substantial resources to expanding network infrastructure such as towers and fibre and delivering value across its stakeholder ecosystem.

“Even when we declare dividends, the government still receives withholding tax, while we continue investing heavily in our network because sustaining quality service requires ongoing capital commitment,” he said.

MTN Nigeria’s H1 2026 financial performance showed how data revenue is a leading source of income, driven by Nigeria’s growing internet landscape. It also shows how the revenue generated from its 92 million subscribers is redistributed through infrastructural upgrades, shareholder returns and tax payments.