Rob Shuter used his first quarterly report as CEO of MTN Group to commit the wireless operator to major investments in its biggest markets of Nigeria, South Africa and Iran.
The spending plan “is expected to support further market share gains”, Shuter said in a statement on Wednesday.
Africa’s largest carrier will also strive to take advantage of the continent’s relatively low data use and increase the range of services, he said.
“While we still have work to do to meet our full-year targets, we continue to leverage off the progress made during 2016 and are encouraged by the progress,” said the former Vodafone Group executive.
The announcement comes less than two months after Shuter began the task of reviving Johannesburg-based MTN after a US$1bn regulatory fine in Nigeria and weak growth in other markets led to a first-ever annual loss.
Chairman Phuthuma Nhleko has made a host of further management changes to shake up the company, while the wireless operator has also benefited from a revival of the business in Iran.
First quarter revenue increased 7,1%, MTN said. That included a 4,1% rise in South Africa, a 12% gain in Nigeria and a 19% jump in Iran, where the company has benefited from the lifting of US-led sanctions.
Customer numbers rose 3% to 236,8m at the end of March, across 22 countries. That was slightly down on the end-December figure after a review of the subscriber base in Zambia, Rwanda and Ghana, MTN said.
MTN shares declined 1,7% to R124,60 at 10am in Johannesburg, giving the company a market value of R235bn. Since Shuter started as CEO on 13 March, the stock has advanced 2%. — (c) 2017 Bloomberg LP