South Africa: MTN posts 30% jump in profit as sales rise

Mergers, Acquisitions and Financial Results

MTN Group reports net income rose to 7.63 billion rand during the six months through June, from 6.24 billion rand a year earlier.

MTN says group subscriber numbers were up 14% to 103,2 million from December 2008, and revenue up 24,2% to R57,3 billion from June 2008. Headline EPS was up 22,5% to 415,5c from June 2008, adjusted Headline EPS down 10,9% to 363,8c from June 2008.

The phone company says group performance for the six months ended 30 June 2009 was satisfactory considering the economic downturn which affected markets worldwide. But the results have been worsened by the negative impact of functional currency losses of R2,8 billion on shareholder loans, receivables and cash.

The Group's mobile subscriber base passed the 100 million milestone during the reported period to reach 103,2 million subscribers at 30 June 2009. This is a 14% increase since 31 December 2008. Subscribers have increased by 39% since 30 June 2008.

MTN Group revenues increased by 24,2% to R57,3 billion (30 June 2008: R46,1 billion), largely driven by the strong growth in subscribers since 30 June 2008.

Business Daily