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MTN Generates N1.7 Trillion in 2021; to Pay Out N174.4 Billion to Shareholders

MTN Nigeria earned revenue of N1.7 trillion in 2021, and the telcom giant is paying out a total of N174.4 billion to shareholders as dividend. This means shareholders will earn N8.57 per share; but considering that the company declared an interim dividend of N4.55 in July last year, shareholders will be earning a total of N13.12 dividend per share when the dividend rolls out.

In 2020, the company’s shareholders earned N9.40 as dividend per share; but the latest final earning of N13.12 means investors will receive 39.6% more this time around than they did last year. Subject to tax, registered members whose names reflect in the company’s books on April 6 can expect to get paid anytime soon.

Shareholders can expect to get paid as from April 28, 2022.

“Shareholders with dividend warrants and share certificates that have remained unclaimed or are yet to be presented for payment or returned for validation are advised to complete the e-dividend registration or contact the registrar,” MTN informed the Nigeria Exchange Limited on Friday.

MTN Nigeria is owned by MTN Group, a South African company. The Nigerian arm offered 575 million of shares at N169 per share for the first time in November 2021. By gaining 1.7 million active data subscribers in recent months, the company now has a total of 34.3 million active data subscribers – boosting its data revenue by 55.3% to hit N516 billion in earnings.

The telco agreed that the extension of its 4G services from October to December 2021 helped its data earning massively, and it recorded 22.9% more revenue over the earning for 2020.

“During the year, our total contribution to the Government through direct and indirect taxes was N669.2 billion, up 83.4 per cent, representing approximately 40 per cent of our total revenue,” said Karl Toriola, the chief executive officer.

MTNN got licensing from the Central Bank of Nigeria in 2021 to operate as a payment service bank so that it can offer digital monetary services to the Nigerian public just as commercial banks do; but the licence will not allow it to offer credit facilities or offer foreign exchange services to its customers. The company is however yet to roll out this aspect of its new digital services in the country.