Amid market uncertainty, MTN increases investment in CAPEX
MTN Nigeria says it nvested over N202 billion in Capital Expenditure (CAPEX), in the first quarter of 2025. This is despite the challenges of the lingering inflation, FX risks, regulatory uncertainty, and consumer price sensitivity forecasted. The telco giant said its decision to increase its CAPEX by 159% year-on-year is a strategic investment on infrastructure, […]
MTN Nigeria says it nvested over N202 billion in Capital Expenditure (CAPEX), in the first quarter of 2025.
This is despite the challenges of the lingering inflation, FX risks, regulatory uncertainty, and consumer price sensitivity forecasted.
The telco giant said its decision to increase its CAPEX by 159% year-on-year is a strategic investment on infrastructure, speed, and service quality for long-term growth and market leadership.
According to MTN Nigeria, the Q1 capital injection is being channelled into upgrading existing network infrastructure to improve reliability and speed and expand coverage, especially in underserved and high-demand urban areas.
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The move, it further noted, will strengthen its digital platforms and backend systems to support growing traffic.
“This record-breaking investment is already delivering early wins. MTN reported a ₦133.7 billion profit after tax in Q1 2025, reversing a ₦392.7 billion loss in the same period last year. It also grew its subscriber base to 84.1 million and its active data users to 50.3 million, up 13%.”
“More importantly, service revenue surged by 40.5% year-on-year to ₦1.06 trillion, powered by the increased demand for digital services and connectivity”, it said.
The company added that with the challenge of digital infrastructure gaps to inclusion and productivity, “this kind of aggressive network investment could significantly improve the quality of life for users, especially SMEs, tech hubs, creators, and remote workers”.
Additionally, the Q1 CAPEX, it explained, “signals a deliberate shift in posture”.
“Now, we are less reactive, more strategic. Rather than simply managing costs or playing defence, the company is going on the offensive by investing for a future where digital services are central to everyday life”.
While assuring that the move may well redefine competitive dynamics in Nigeria’s telecoms space, MTN said the investment reflects a willingness to absorb short-term risks in pursuit of long-term gains.
“For now, MTN Nigeria’s record CAPEX is a signal of confidence in its model, market and mission to lead Nigeria’s digital transformation.
“This could help MTN Nigeria not just survive Nigeria’s volatile macroeconomics, but lead from the front”, it submitted