Nigerian fine hurt annual performance, MTN reveals
The shares rise even as Africa’s largest wireless carrier expects losses
MTN’s share price closed 0.80% stronger at R119.75, as the group disclosed further details of its first full-year loss. The group expects its first full-year basic headline loss per share of 74c-81c from headline earnings per share of 746c in the previous year. The basic loss per share for the year to December 2016 is expected to be 137c-151c from earnings per share of R11.09 in the previous year. The losses were largely attributed to the Nigerian regulatory fine, which had a negative effect of 455c on the group’s performance. Other factors include the MTN Zakhele Futhi empowerment transaction charges, which took out 88c, professional fees related to the settlement of the fine and foreign exchange losses. The investment in internet-based businesses has also dragged down its performance. MTN is seeking new revenue streams to offset the decline in voice revenue and has invested in internet-based businesses in Africa and the Middle East. Most of the factors that have affected performan...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.