At a Glance
- MTN Ghana’s market capitalization surged to $2.24 billion in 2024, despite an 18% cedi devaluation, affirming its dominance on the Ghana Stock Exchange.
- Despite macroeconomic challenges, MTN Ghana’s market value grew by $685 million, reflecting a 77.86% increase in share price in local currency terms.
- MTN Ghana invested $252.3 million in Q3 2024, supporting network expansion and digital skills training, contributing $416 million to the national economy.
Scancom PLC (MTN Ghana) has cemented its dominance on the Ghana Stock Exchange (GSE), with its market capitalization soaring above $2.2 billion, making it not only the largest company in Ghana but also one of the most valuable in West and Central Africa. This comes despite persistent macroeconomic challenges in 2024, which have strained many businesses in the region.
The Ghanaian unit of South Africa’s MTN Group has demonstrated exceptional resilience, navigating headwinds such as an 18 percent devaluation of the Ghanaian Cedi. Shore.Africa’s analysis highlights an impressive $693.2 million increase in the company’s market capitalization this year, rising from $1.56 billion to $2.25 billion. In local currency terms, the valuation could have surged by $1.2 billion if not for the depreciation of the Cedi.
The company’s share price reflects this growth, climbing 77.86 percent in local currency terms, from GH₵1.40 to GH₵2.50. Adjusted for cedi depreciation, the dollar value of its share price increased by 44.04 percent, rising from $0.017 to $0.169.
MTN Ghana’s assets hit $2.6 billion
The telecom giant’s growth is underpinned by solid financial results for the first nine months of 2024. Revenue rose to GH₵12.77 billion ($870.9 million), a 30.7 percent increase from GH₵9.77 billion ($666.3 million) during the same period last year. Earnings before interest, taxes, depreciation, and amortization (EBITDA) grew to GH₵7.17 billion ($489 million), a 35.3 percent jump from GH₵5.3 billion ($361.5 million).
Net profit after tax saw a more modest increase, rising to GH₵3.76 billion ($256.4 million) from GH₵3.57 billion ($243.5 million). These gains were driven by increased revenues from data services, mobile money (MoMo), and digital offerings, supported by significant investments to enhance 4G connectivity.
The company’s total assets swelled to GH₵38.2 billion ($2.6 billion) from GH₵30.96 billion ($2.11 billion) at the beginning of the year, while retained earnings climbed to GH₵6.65 billion ($453.5 million) from GH₵5.86 billion ($400 million).
MTN contributes $416 million to Ghana economy
MTN Ghana allocated GH₵3.7 billion ($252.3 million) in capital expenditure in Q3 2024, focusing on expanding network coverage, capacity, and IT systems to serve its 28.6 million subscribers, including 300,000 new additions in the third quarter alone.
Beyond financial performance, the company has strengthened its commitment to socioeconomic development through the MTN Ghana Foundation. In Q3, the Foundation provided 200 scholarships to tertiary students, emphasizing STEM education, with 89 recipients being female and 20 physically challenged.
The Foundation also launched digital skills training for 100,000 youth via its MTN Skills Academy, covering topics like web design, cloud computing, and data analytics.
Additionally, a seed capital fund for Micro, Small, and Medium Enterprises (MSMEs) disbursed GH₵1 million ($68,200) to 217 startups, complemented by training and e-commerce platform access through the MTN MoMo Market.
As a responsible corporate citizen, MTN Ghana has contributed significantly to the national economy. By the end of Q3, the company paid GH₵6.1 billion ($416 million) in taxes and GH₵455.9 million ($31.1 million) in fees and levies.
CEO eyes long-term digital inclusion
Stephen Blewett, CEO of MTN Ghana, underscored the company’s dedication to fostering shared value and national growth. “MTN Ghana remains committed to transforming lives and advancing Ghana’s socioeconomic development. Through our investments and community initiatives, we continue to strengthen our position as a vital partner in Ghana’s progress,” he said.
Blewett also emphasized MTN Ghana’s vision for sustainability and innovation, saying, “Our efforts to enhance digital skills and support startups reflect our belief in empowering Ghanaians for a brighter future. This year, despite challenges, we have reaffirmed our role as a resilient and transformative force in Ghana’s economy.”
MTN Ghana’s robust performance positions it as a cornerstone of Ghana’s economy and a leader in West and Central Africa’s telecommunications landscape. With continued investments in infrastructure, digital inclusion, and community development, the company is poised to sustain its growth trajectory and expand its influence across the region.
Updated Jan. 20 to reflect the increase in the company’s market capitalization for the year, from $685 million reported Dec. 22 to $693 million. The update includes the rise in MTN Ghana’s share price from GH₵2.49 on Dec. 22 to GH₵2.50 on Dec. 31, the last trading day of 2024. Other figures in local currency and dollar terms were adjusted accordingly.
