MTN South Africa loses subscribers

By Staff Writer | 29 Oct 2018 at 08:57hrs
MTN
MTN has released its quarterly update for the period ended 30 September 2018, which shows a drop in subscriber numbers for South Africa.

The results were a mixture of positive and negative, with MTN SA recording service revenue growth of 3% year-on-year.

"Data and digital revenue increased by 12.5% and 9.9% respectively, while outgoing voice revenue declined by 8.4%," said MTN.


MTN added that the South African economy is weak, and consumers are feeling the pressure of a higher VAT rate.

While prepaid service revenue increased by 0.5% – and postpaid service revenue increased by 1.9% – subscriber numbers were down.

MTN said it has 23.7 million prepaid customers, down 3.4% quarter-on-quarter, and 2.9 million postpaid users – up 2.1% quarter-on-quarter.
Data customers

The number of active data subscribers increased by 6.7% to 13,5 million, however, and MTN said this was thanks to it taking steps to transform data prices.

Its roaming agreement with Cell C is also "contributing positively towards revenue and EBITDA" and will be implemented in line with MTN's planned timelines.

In terms of finances, MTN SA's margin on EBITDA was at 34.5% – from 34.8%.

"The lower sequential EBITDA margin was largely impacted by higher device prices, following the weakness in the rand exchange rate and increased device sales in the quarter."

LATEST NEWS

PARTNER CONTENT

WhatsApp Newsletter

Follow us

Latest Headlines