MTN sets out extent of full-year losses - TechCentral

MTN sets out extent of full-year losses

MTN, which previously cautioned it would report a loss for the full-year ended 31 December 2016, has now provided more guidance on the likely range of the losses.

Africa’s biggest mobile operator expects to report a basic headline loss per share of between 74c and 91c and a base loss per share of between R1,37 and R1,51.

In the prior year, MTN reported headline earnings per share of R7,46 and earnings per share of R11,09.

“The results for the year were impacted by the Nigerian regulatory fine, which had a R4,55/share negative impact,” the group told shareholders on Monday.

The results were also negatively affected by foreign exchanges losses of R3,24/share; the “interest unwind” related to the Nigerian regulatory fine (45c/share); a transaction charge related to the MTN Zakhele Futhi black economic empowerment scheme (88c/share); professional fees related to the settlement of the Nigerian regulatory fine (73c/share); and losses from its digital investments, mainly African Internet Holdings, Middle East Internet Holdings and Iran Internet Group (39c/share).

Other negative factors included hyperinflation in some markets (37c/share knock) and losses from the Nigeria tower company mainly as a result of foreign exchange losses on US dollar-denominated loans (R1,22/share).

MTN will publish its annual results before markets open on Thursday, 2 March. They are the last set of results to be presented by interim executive chairman Phuthuma Nhleko, with former Vodafone executive Rob Shuter set to take the reins at the telecommunications group later this month.  — © 2017 NewsCentral Media

1 Comment

  1. The once proud MTN is hemorrhaging money on every possible front. So bad that they are closing their Technical office in Dubai. How bad is it when a company cannot afford to operate the very office they started to save tax?

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