Mobile payments and a surge in data consumption has assisted MTN Rwanda to experience double-digit revenue growth in the first quarter of 2025, despite a drop-off in active data user numbers.
Announcing its Q1 results, for the quarter ended 31 March 2025, the company said that data revenue grew by 12.2% year-on-year (YoY), driven by a significant 33.6% increase in data traffic. It attributed the revenue growth to its GWAMON’ voice and data bundles and a rise in smartphone penetration, which currently stands at 41.8%.
However, this positive growth comes in the face of a “slight decline in active data users”, which is attributed to intensified market competition.
Year-on-year, however, MTN Rwanda recorded a growth rate of 2.8% in its subscriber base, reaching 7.6 million users.
With regards to mobile money services, active users soared to 5.3 million. That’s according to Chantal Kagame, CEO, MoMo Rwanda, who said Rwandans are embracing MTN’s MoMo service in their daily lives, pushing the growth rate to 28.0%.
Earnings before interest, tax, depreciation and amortisation (EBITDA) climbed to 9.3% YoY, rising to Rwf 26.5 billion, however, the EBITDA margin slightly declined by 1.2 percentage points to 38.9%, impacted by increased operational costs.
Commenting on the EBITDA percentage, Dunstan Ayodele, MTN Rwanda chief financial officer said: “The 9.3% growth in EBITDA is underpinned by the double-digit growth in revenue, which reinforces our focus on commercial execution and operational efficiency. While we experienced margin dilution driven by currency depreciation and the accounting treatment for leases, we continue our efforts to improve profitability through disciplined expense efficiency program and value-based capital allocation.”
The mobile operator recorded an after-tax profit of Rwf 1.6 billion, which represents a 228.6% YoY increase.
Newly appointed CEO, Ali Monzer said the Q1 results mirror the team’s resilience, providing him with the motivation to build on the foundation laid by his predecessor.
He said: “I am particularly pleased with our Q1 results, which reflect the strength of our connectivity and platform business together with the resilience of our team. We remain committed to leading Rwanda’s digital transformation by delivering innovative, inclusive solutions that enable progress for all Rwandans.”
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