MTN reports record H1 margin as revenue and EBITDA surge

Details: Manny Pham; Category: Operators; 25 August 2026; 2995 views

MTN Group reported strong growth in the first half of 2026, with service revenue rising 17.5% to ZAR 115 billion (US$7.2 billion) and EBITDA before one-off items increasing almost 25% to ZAR 56 billion (US£3.5 billion) in constant-currency terms.

The operator said the results delivered record margins, strong cash generation and higher returns, while it also launched a share buyback programme worth up to ZAR 6 billion (US$375 million).

The buyback will cover around 31 million ordinary shares and forms part of MTN's Ambition 2030 strategy, which targets returning 40-60% of equity free cash flow to shareholders through dividends and share repurchases.

Growth was driven by MTN's operations in Ghana, Nigeria, Uganda, Cote d'Ivoire and Cameroon, while MTN South Africa's service revenue increased 1.5%. The South African operation recorded stronger growth in Q2, with service revenue up 2.3% compared with 0.7% in Q1.

MTN Group CEO Ralph Mupita said the company had committed almost ZAR 20 billion (US$1.2 billion) in capital expenditure during the first half to expand its mobile networks, connect more homes and modernise its IT infrastructure.

The group served 317.7 million customers across 19 markets at the end of June, including more than 179 million active data users. Data traffic increased nearly 23% to 14.3 petabytes.

MTN's fintech business also continued to expand, with 70.8 million active Mobile Money users generating US$330 billion in transaction value, up more than a third year-on-year. Transaction volumes increased 17% to 13 billion, while active fintech merchants rose more than 18% to 2.3 million.

The results come as MTN prepares to acquire the remaining shares in tower company IHS Holdings. The proposed deal has received several regulatory approvals, including from Nigeria's Federal Competition and Consumer Protection Commission, and MTN expects the transaction to close in the second half of 2026 subject to outstanding approvals.

As part of the regulatory conditions, MTN will sell a 30% stake in IHS Nigeria to local Nigerian investors.

MTN South Africa, meanwhile, saw its subscriber base decline marginally to 39.5 million amid a highly competitive market and constrained consumer liquidity. The operator said it was deliberately resetting its prepaid base to improve the quality of its customer growth.

Mupita said the group remained confident in its medium-term outlook, pointing to increasing digital adoption and financial inclusion across its markets despite continued foreign exchange volatility, inflation and geopolitical risks.