MTN Ghana’s stock soared to an all-time high of GH₵3.21 on Tuesday, May 6, 2025, following the release of impressive first-quarter earnings and the announcement of a major restructuring of its mobile money business, MobileMoney Ltd (MML).
The modest 0.02 pesewa gain in Tuesday’s trading pushed the telecom giant’s share price above its previous peak of GH₵3.20, recorded in March. With over 236,000 shares traded on the Ghana Stock Exchange (GSE), investor interest remains strong amid renewed confidence in MTN’s growth trajectory and strategic direction.
MTN Ghana, officially listed as Scancom PLC, reported a 53.7% year-on-year increase in profit after tax, reaching GH₵1.7 billion for Q1 2025. The performance was underpinned by a 39.6% jump in service revenue to GH₵5.4 billion, driven by rising demand in data, mobile money, and digital services.
Chief Executive Officer Stephen Blewett attributed the performance to “solid execution of our commercial strategy and sustained demand across key segments,” adding that MTN continues to invest significantly in expanding its network and digital platforms.
Data and MoMo Drive Strong Financials
Data revenue saw a 54.9% surge to GH₵2.8 billion, now accounting for over half of MTN’s service revenue. Average monthly data usage per subscriber climbed nearly 40%, reflecting increased digital adoption nationwide. Mobile money revenue rose 53.1% to GH₵1.3 billion, supported by growing transaction volumes and a broader service portfolio that includes digital payments and micro-lending.
MTN’s mobile subscriber base increased by 5.2% to 29.2 million, while active mobile money users grew by 11.5% to 17.4 million. The company’s digital services also expanded rapidly, with revenues up 65.4% and user numbers reaching 5.3 million.
Earnings before interest, tax, depreciation, and amortization (EBITDA) rose 45% to GH₵3.1 billion, translating to an EBITDA margin of 58.1%. Earnings per share jumped from GH₵0.084 to GH₵0.1292.
MoMo Restructuring to Enable Regulatory Compliance and Future Listing
MTN’s restructuring of MobileMoney Ltd is a key focus for the market. Under Ghana’s Payment Systems and Services Act, electronic money issuers must have at least 30% local ownership. To comply, MML will be merged into a new entity—New FinCo—which will assume all assets, liabilities, and personnel of MML.
A trust will hold 32.13% of New FinCo on behalf of Scancom PLC shareholders, preserving their economic interests until the company is publicly listed within the next three to five years. MTN Ghana has assured shareholders that the restructuring will be tax-neutral, with associated costs shared by Scancom PLC, New FinCo, and MTN Group.
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The company has scheduled an Extraordinary General Meeting (EGM) for May 21, 2025, to provide further clarity on the transition. While no shareholder vote is required, the EGM will offer a platform for questions and feedback.
Strong Outlook Despite Economic Headwinds
MTN Ghana achieved its Q1 performance against a challenging economic backdrop—Ghana recorded 23.0% average inflation, and the cedi depreciated by 17.1% against the U.S. dollar. However, prudent financial management, including returns on fixed-income investments, helped offset macroeconomic pressures.
In addition, the recent repeal of the Electronic Transfer Levy (E-Levy) is expected to stimulate mobile money activity, with MTN already adapting its systems to reflect the policy change.
Capital expenditure for Q1 stood at GH₵1.2 billion, focused on 4G coverage expansion, network resilience, and IT infrastructure. MTN’s 4G network now reaches 99.3% of the population.
Social Investment and Future Growth Plans
Through its Foundation, MTN Ghana delivered key social interventions during the quarter, including a new ICT centre at Yilo Krobo SHS, 500 STEM scholarships, nationwide blood donations, and support for 200 small businesses—many led by women and vulnerable groups.
Looking ahead, the company has revised its medium-term revenue growth target to the low-to-mid-thirties, with profit margins expected to remain above 55%. MTN says it remains committed to executing its “Ambition 2025” strategy, centred on digital and financial inclusion, platform efficiency, and shareholder value.
