Ugandan businessman Charles Mbire to pocket $2 million interim dividend from MTN

Ugandan businessman Charles Mbire is set to receive an interim dividend payout of about $2.02 million from his stake in MTN Uganda, strengthening his standing among the country’s wealthiest investors as the telecom operator continues to expand its data and fintech business despite softer quarterly earnings.

Mbire, who serves as chairman and non-executive director of MTN Uganda, owns a 4 percent stake in the Kampala-based telecom company through 895.56 million shares. The stake makes him the largest individual shareholder in the company.

The payout follows MTN Uganda’s decision to declare a first interim dividend of USh8.5 per share, translating to a total shareholder distribution of USh190.3 billion ($50.5 million). Mbire’s share of the payout amounts to USh7.61 billion ($2.02 million), with payments scheduled to be made electronically on June 19.

MTN navigates tougher market conditions

The dividend announcement comes at a time when MTN Uganda is navigating a more demanding operating environment. The telecom company started 2026 with slower profit growth as higher network investment costs, foreign-exchange pressures, and disruptions tied to Uganda’s January general elections weighed on earnings.

Profit after tax declined 3.8 percent to about $46 million in the first quarter of 2026, compared with more than $48 million during the same period a year earlier. Even so, revenue continued to rise as demand for digital services remained strong across Uganda. Total revenue increased 7.8 percent to USh914.49 billion ($243 million).

Its latest results underline how mobile internet usage and digital financial services are becoming more important to Uganda’s economy. MTN Uganda’s subscriber base grew 7.2 percent to 24.4 million users in the quarter, while active data subscribers jumped 16.4 percent to 11.9 million. Growth in mobile money services also remained steady. Fintech subscribers rose 4.8 percent to 14.2 million, reflecting continued demand for digital payments and financial services in a country where mobile transactions have become a key part of daily business activity.

MTN Uganda expands 5G, assets rise

The company also continued to widen its network reach across the country. By the end of March 2026, MTN Uganda’s 4G population coverage had increased to 89.3 percent, up from 88 percent a year earlier. Its 5G coverage expanded to 20.4 percent from 16.3 percent over the same period as the telecom operator pushed ahead with broadband investments.

MTN Uganda’s financial position also showed further improvement despite the decline in quarterly profit. Total assets rose 5.82 percent to USh5.67 trillion ($1.51 billion) at the end of March 2026, compared with USh5.36 trillion ($1.42 billion) at the close of 2025. 

Retained earnings edged slightly lower to USh1.19 trillion ($317.2 million) from USh1.2 trillion ($320.05 million), reflecting the company’s continued shareholder payouts and investment spending as it expands its telecom and fintech operations across Uganda.