Looking at the divisional performance, the group shows similar trends to that of the telecommunications sector, in that growth in data revenue remains strong, while voice revenue continues to decline.
MTN full year results for 2016 show the company to have realised a headline loss of 77c per share. The loss is the first annual loss in more than 20 years for the group and can be attributed to a number of factors
The negative contributors to the Headline loss per share realised is as follows
- Nigerian regulatory fine 500c
- Foreign Exchange losses 329c
- MTN equity interest in Nigeria Tower 122c
- MTN Zakhele Futhi 88c
- Professional Fees in fine settlement 73c
- Digital Group Investment loss 39c
- Hyperinflation 37c
The Nigerian Regulatory Fine and professional fees relating to the fine, as well as the equity interest in Nigeria Towers are considered non-reoccurring items, although the group is still under investigation by the Nigerian authorities for allegedly repatriating around $14bn from the country illegally between 2006 and 2016, which remains a possible negative catalyst to future earnings.