MTN Uganda, the leading telecom operator in the country, is celebrating a banner year. Shareholders are reaping the rewards of the company’s strong performance with a record UGX 403 billion (approximately USD 126.8 million) in dividend payments, a 13.2% increase compared to 2023. This translates to a generous 81.7% payout of the company’s net income.
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“We are delighted to distribute the rewards of an outstanding year to our shareholders,” said Sylvia Mulinge, Chief Executive Officer of MTN Uganda. “This year’s increase in dividends underscores MTN Uganda’s robust performance and our unwavering commitment to delivering shareholder value.”
MTN Uganda’s success story is driven by a significant 21.4% growth in profit after tax, reaching UGX 493 billion (approximately USD 126.8 million) for the year ended December 31, 2023. This impressive achievement is fueled by a surge in data revenue, which jumped 21.6% to UGX 621.9 billion (approximately USD 157.7 million).
The company’s data-centric strategy is paying off. The number of active data subscribers surged by 22.4%, reaching a total of 8.2 million. Overall mobile subscriptions grew by 13.3% to 19.5 million, demonstrating MTN Uganda’s strong market position.
MTN Uganda isn’t resting on its laurels. Technological advancements are a key focus, with the deployment of 37 new 5G sites solidifying their commitment to future-proof infrastructure. Additionally, Ookla recognized MTN Uganda for providing the fastest internet speeds in the country, highlighting their dedication to network quality.
The company’s innovative device financing initiatives, like MTN Kabode, have significantly increased smartphone usage on its network, pushing smartphone penetration to 39.1%. This initiative plays a crucial role in bridging the digital divide and increasing access to information and technology.
MTN Uganda acknowledges the importance of financial inclusion. Their strategic partnership with Ericsson to enhance Mobile Money (MoMo) services underscores their commitment to providing secure and accessible mobile transactions for millions of Ugandans.
Reflecting on the year’s achievements, Charles Mbire, Chairperson of the MTN Uganda Board, stated, “This year has established a new standard for MTN Uganda. Our record profits and enhanced dividend payouts are a testament to our strategic acumen and operational excellence. More importantly, they reflect our commitment to empowering communities, driving technological innovation, and improving the lives of millions across Uganda.”
The future looks bright for MTN Uganda. The company is committed to continuous investment in network infrastructure, customer acquisition, and fintech innovations. Their ambitious goal of achieving 90% geographical coverage across Uganda by 2025 aligns with their National Telecom Operating License obligations and highlights their dedication to connecting the entire country.
“Our vision for the future is resolute,” concluded Mulinge. “With ongoing support from our shareholders and customers, MTN Uganda is poised for even greater achievements. Together, We’re Unstoppable.”
