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Uganda’s largest telecommunications company, MTN Uganda, has reported its Q1 2025 financial results, marked by double-digit revenue growth supported by expanding data and fintech services.
- •Service revenue for Q1 2025 rose 13.5% year-on-year to Ush 841.4 billion, powered by a 32.5% surge in data revenue to Ush 235.6 billion and an 18.4% rise in fintech revenue to Ush 255.6 billion.
- •Voice revenue, despite facing pressure from a lower Mobile Termination Rate (MTR), edged up by 1.5% to Ush 320.1 billion.
- •MTN Uganda posted a 20.6% increase in profit after tax (PAT) to Ush 180.9 billion, with PAT margin improving to 21.3%.
The company’s fintech division, which includes MTN MoMo services, saw transaction volumes increase by 19.9% to 1.2 billion and transaction value climb by 23.9% to Ush 42.0 trillion. Fintech now accounts for 30.4% of service revenue, up from 29.1% a year earlier.
Strong Profitability and Margin Resilience
Earnings before interest, tax, depreciation and amortization (EBITDA) grew 13.7% to Ush 444.0 billion, maintaining a healthy EBITDA margin of 52.4%.
The company also reduced its leverage to 0.6x from 0.7x a year earlier, with net debt down by 2.4% to Ush 1.12 trillion.
| Metric | Q1 2025 | Q1 2024 | Change |
|---|---|---|---|
| Service Revenue (Ush B) | 841.4 | 741.4 | +13.5% |
| Data Revenue (Ush B) | 235.6 | 177.9 | +32.5% |
| Fintech Revenue (Ush B) | 255.6 | 216.0 | +18.4% |
| EBITDA (Ush B) | 444.0 | 390.4 | +13.7% |
| PAT (Ush B) | 180.9 | 150.0 | +20.6% |
| Subscribers (Million) | 22.8 | 19.9 | +14.6% |
| EBITDA Margin (%) | 52.4% | 52.0% | +0.4pp |
MTN Uganda’s subscriber base rose 14.6% year-on-year to 22.8 million. Active data users increased 19.4% to 10.2 million, while fintech users grew 9.8% to 13.6 million.
The company also expanded 5G coverage by 16.3% and raised 4G coverage to 88%. It also signed a new network sharing deal with Airtel Uganda to optimize infrastructure and reduce costs.
MTN Uganda reaffirmed its Ambition 2025 strategy, which targets building Uganda’s most valuable platform business. It continues work on the structural separation of MTN MoMo, with completion expected by end of Q2 2025.
The company expects macroeconomic stability to support further growth in 2025. Management maintained its guidance of upper-teen service revenue growth, stable EBITDA margins above 50%, and capex intensity in the low teens.