Mtn Nigeria Communications Plc · NSENG:MTNN
Mtn Nigeria Communications — FY2024 Earnings Presentation
23 slides from Mtn Nigeria Communications's earnings presentation, 2025
Slide 1: Results Presentation December 2024
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Slide 2: Disclaimer
Disclaimer The information contained in this document (presentation) has not been verified independently. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions containe
Slide 3: Agenda
Slide 4: Business overview
O01 “7. Business overview
Slide 5: Operating context
Operating context Tough macroeconomic conditions for most of the year Inflation & Interest Rates Naira Depreciation Regulatory Environment * Elevated inflation, averaging 33.2% * 69% upward movement in the * Enhanced subscriber base integrity for the year - eased to 24.5% exchange rate to N1535/US$
Slide 6: Progress on our initiatives
Progress on our initiatives Significant progress across all the major initiatives Tariff Efficiency Tower Leases US$ Exposure Optimise capex 50% tariff adjustment approved For telecom operators in February 2025 * Commenced implementation in stages across most products and services in line with NCC’s
Slide 7: 2024 key highlights
2024 key highlights NTEL 5MHz (900MHz) and 1OMHz Resolved the uncertainty around Recovered N19 billion in Successful renegotiation of (1800MHz) spectrum lease renewal the settlement of N74 billion interconnect debt through the tower lease agreements with and coverage extension to all states outstand
Slide 8: Strong commercial momentum
Strong commercial momentum Rising demand for data and digital services driving strong commercial performance Subscribers (m) Active data users (m) Active MoMo wallets (m) 5.3 47.7 80.9 79.7 44.6 2.8 FY 23 FY 24 FY 23 FY 24 FY 23 FY 24 ARPU!(N) Data usage per active user (GB) Fintech TX volume (m) 3,
Slide 9: Key Financial highlights
Key Financial highlights Strong commercial momentum and operational efficiencies moderating impacts of macro headwinds +35.9% Service revenue? N3.3tn +23.2% Fintech revenue N106.5bn Loss after tax? (N400.4bn) +14.5% +49.1% Voice revenue Data revenue N1.3fn N1.6fn +9.2% -9.6% EBITDA EBITDA margin N1.
Slide 10: Creating shared value
Creating shared value SS Eco- responsi ility “We are committed to protecting our planet” ra Sustainable Societies aie Sound Governance Commitments “We are committed to driving digital, financial inclusion and diverse society” “We are committed partners with stakeholders to create and protect value”
Slide 11: FY 2024 guidance
FY 2024 guidance Strong FY 2024 performance, beating our single-year guidance despite the macro headwinds KPI FY 24 Target Performance aS Service Revenue ‘High-20% to low-30%" 35.9% | 32.891 oa EBITDA Margin 35-37% 39.1% | 36.9% J ' Capex Intensity ‘Low teens’ Ci) IService revenue - 35.9% (32.8% exc
Slide 12: Financial review
Slide 13: Impacts of the naira depreciation
Impacts of the naira depreciation Severe pressure on margins | Significant forex losses | Negative retained earnings and equity Macro impacts on our financial 1. EBITDA margin * The naira devaluation (from N907.1/US$ to N1,535/US$) resulted in 13.8pp impact on the EBITDA margin * Normalised EBITDA m
Slide 14: Revenue growth and efficiency drive margin recovery
Revenue growth and efficiency drive margin recovery Broad-based service revenue growth, led by data | Expenses largely driven by naira depreciation Capex intensity Revenue Expenses (las 17) —ip— SDP Non 1,313.4 3,360.8 2,047.4 EBITDA Voice 1,202.5 528.2 Cost of sales 2,468.8 Data 1.3%) 449.3 | 1,266
Slide 15: OPEX | Profile
OPEX | Profile Tower contracts renegotiation and underlying expense efficiency initiatives drive margin recovery Opex drivers cea > EBITDA margin normalisation N’bn 13.8% 52.9% 52.6% 30 62.9 35.6 19 “GAS 462.3 1,332.6 39.1% 860.3 FY 23 FX Net FX cPl VAT on Energy Others FY 24 FX Net FX VAT on FY 24
Slide 16: Disciplined approach to capital allocation
Disciplined approach fo capital allocation Accelerated capex deployment in Q4 to accommodate higher-than-expected data traffic growth Capex (ex-leases) Capex breakdown FY 2024 (N’bn) 449.3 443.5 3% Network Information Technology BV aya 83% Others —*— Capexintensity _ [J capex Data traffic Free Cash
Slide 17: Capital structure
Capital strucrure Focus on reducing FX exposure to minimise volatility in earnings | Debt metrics within covenant levels Borrowings by currency? Debt mix Tenor mix usb 44% 28% NGN Fixed rate, 51% FY 23 FY 24 > Net Debt N 7 19.5bn down 13.5% Split of net forex loss \ Interest Coverage: meoses 5.4x vs
Slide 18: Looking ahead
Slide 19: Key priorities for 2025
Key priorities for 2025 Focus on accelerating the recovery of our earnings and restoring a positive net asset position within the next 12 months Accelerate service revenue growth * Drive usage and base growth, leveraging customer value management initiatives * Enhanced quality of service and user ex
Slide 20: Medium-term guidance
Medium-term guidance Reinstated a revised medium-term guidance framework KPI Service Revenue EBITDA Margin Capex Intensity Medium Term Guidance Near-ferm uncertainties in our macro environment, including exchange rate and potential price elasticity From the new tariff implementation, may impact the
Slide 21: NaaS API Marketplace
• • • • • • • NaaS API Marketplace Enterprise • • ayoba • • fintech • • • • •
Slide 22: Q&A
Slide 23: Thank you
Foday. Contact: Chima Nwaokoma Senior Manager, Investor Relations Chimaobi.Nwaokoma@mtn.com +234 803 200 0186
MTN Nigeria Communications — FY2024 Earnings Presentation on 6ix