MTN Nigeria's profit jumps 55% but its cash falls
MTN Nigeria's nine-month profit rose 55.3% to ₦1.17 trillion, yet its cash balance fell nearly 40% after dividends, investment and debt repayments.
The facts
- According to TechCabal, MTN Nigeria's profit after tax rose 55.3% to ₦1.17 trillion ($869.9 million) in the nine months to 30 September 2026, with service revenue up 23.7% to ₦4.59 trillion ($3.41 billion).
- Cash and cash equivalents fell nearly 40%, from ₦632.5 billion ($470.3 million) in December 2025 to ₦381.0 billion ($283.3 million), even though net operating cash flow rose 48.2% to ₦2.31 trillion ($1.72 billion).
- Dividends of ₦859.7 billion ($639.2 million) were the largest cash outflow. Combined cash and current investments fell about 10.5%, to roughly ₦711.7 billion ($529.1 million).
- Management estimates that diesel at an average of ₦2,000 per litre in the second half could cut the full-year EBITDA margin by 1.8 to 2 percentage points. This is a sensitivity estimate, not a reported loss.
Case notes · Danny's take
Why it matters
Profit and cash are not the same thing. MTN Nigeria is growing, but dividends, network spending, debt repayment and lease bills are taking a large share of what comes in. That is a smaller cushion, not a crisis. For Nigerians, this is the company carrying the data you use every day, and diesel costs and naira swings sit right in its cost base. A telecom firm with less room to absorb shocks has less room to keep the network strong.
For traders
Look past the profit headline. Watch the cash and current investments line, the working-capital gap and the diesel price in the next results. Naira gains helped this quarter, and they can reverse.
For builders
MTN's fintech story is mixed. Mobile money revenue more than doubled, but total fintech revenue fell 25.9% after the airtime-and-data credit suspension. The airtime and data credit service is back under a multi-partner model, which could be an opening for partners.
Not financial advice. Do your own investigation.
This story was summarised with AI from TechCabal's reporting and checked against our editorial policy. Danny's take reflects his views. Disclaimer.
Danny Walter
Founder of Moon Republic, Volt Terminal and Moon Republic Academy. Author of The Market Is a Crime Scene and After the Applause.