Mobile Telecommunications Limited (MTC) has reported a 15.8% increase in revenue to N$1.82 billion for the six months ending 31 March 2025, up from N$1.57 billion recorded in the same period last year.
The company’s net profit rose by 38.3% to N$503.8 million, compared to N$362.3 million in the previous financial year. Earnings before interest, tax, depreciation, and amortisation (EBITDA) increased to N$898 million, with the EBITDA margin improving to 49.4% from 44.6%.
“We delivered a solid first-half performance in FY2025, demonstrating consistent subscriber growth, improved product performance, and revenue uplift across our diversified portfolio,” said Theofelus Mberirua, Chairperson of the MTC Board of Directors.
MTC declared an interim dividend of 47.03 cents per share, payable in July 2025. The company’s total equity increased to N$3.04 billion, while total assets reached N$4.52 billion.
Net cash from operating activities rose slightly to N$769.5 million, up from N$717.6 million in the previous period.
“This is evident from the 38.3% increase in net profit and these results reflect successful execution of the Group’s strategic objectives and indicate our ability to deliver sustainable value to the shareholders despite a challenging economic environment,” said Mberirua.
Revenue growth was largely driven by strong demand for high-speed data and value-added services, particularly from prepaid customers and enterprise clients. Mberirua said, “Revenue increased by 15.8% from N$1.57 billion to N$1.82 billion driven by heightened demand for high-speed data and value-added services across mobile, predominantly from prepaid customers and the enterprise segment.”
The enterprise division recorded a 40.2% revenue increase and a 51% growth in connections. Handset and accessories revenue grew by 23.4%. Revised airtime distribution discounts contributed to a 2% revenue increase, while inventories of finished goods rose by 17.2%.
“This positive performance was driven by a 15.3% increase in prepaid ARPU, a growing subscriber base of 4.6% following the successful completion of the SIM registration project, and enhanced customer retention efforts,” Mberirua said.
Direct costs declined by 13.1%, mainly because of the absence of a N$58.4 million once-off expense booked in the prior year following a court ruling on regulatory levies. However, this was offset by new costs, including a universal levy and a 315% increase in numbering licence fees.
“The reduction was partially offset by the introduction of a Universal levy of 0.5% of revenue and a 315% tariff increase in the numbering license fee of N$1.4 million for the period,” said Mberirua.
The company also increased spending on sales, marketing, and network maintenance. “Sales, marketing, consultation, and management system support increased by N$13.9 million year-over-year to support the successful launch of Mobile Financial Services ‘MTC Maris’ on 04 October 2024,” Mberirua said.
Personnel costs rose by 12.4% due to salary adjustments and workforce expansion. Expected credit losses climbed by N$9.8 million as a result of customer affordability pressures.
MTC plans to focus on broadband growth, prepaid expansion, and digital platform development in the second half of the financial year. Fibre rollout and new enterprise partnerships are also on the agenda.
“The Group has implemented targeted credit control measures, including enhanced customer engagement and stricter credit assessments for new postpaid accounts,” said Mberirua.
