MTN Nigeria is recalibrating its fintech technique with a give attention to deepening penetration in rural areas as its MoMo PSB energetic wallets declined to 2.1 million in Q1 2025.
This represents a 55.6% decline year-on-year in contrast with the 4.8 million recorded in Q1 2024, and a 25% decline quarter-on-quarter because the fintech’s energetic wallets stood at 2.8 million in This autumn 2024.
For the primary quarter of 2025, MTN, in its unaudited monetary consequence,s stated it strategically centered on enhancing the standard of its ecosystem, which led to a decline in energetic wallets.
“This enabled us to onboard extra high-value clients and enhance float ranges, thereby enhancing the general well being and sustainability of the ecosystem,” the corporate said.
Rural penetration technique
Commenting on the corporate’s consequence, MTN Nigeria CEO, Karl Toriola, stated the corporate, as a part of its long-term ambition to drive monetary inclusion, will probably be launching a rural penetration technique geared toward increasing entry to monetary companies for underserved and financially excluded communities.
“We are actually ready to speculate and intensify qualitative area acquisition efforts, notably in rural and underserved areas, according to our monetary inclusion targets.
“These efforts are aligned with our strategic goal to construct a extra sturdy, inclusive, and scalable digital monetary ecosystem,” Toriola said.
In the meantime, MTN reported that the variety of brokers and retailers on the MoMo community elevated by 47.7% and 23.6%, respectively, in comparison with December 2024.
Fintech income development
Regardless of the decline in MoMo wallets, MTN recorded a 57.9% improve in its fintech income, pushed largely by its airtime lending product (Xtratime).
- The corporate’s fintech income jumped from N22.8 billion in Q1 2024 to N36 billion in Q1 2025.
- The corporate stated this development was additionally boosted by increased float earnings, supported by the onboarding of high-value clients.
- It added that the revamp of its customer acquisition technique, which commenced in Q3 2024, allowed the corporate to additional optimise its incentives and customer engagement framework to strengthen qualitative efficiency, deepen service penetration, and improve efficiency monitoring throughout gross sales and distribution channels.
MTN’s digital companies enterprise additionally delivered sturdy development of 92.1%, underpinned by elevated demand for wealthy media content material and enhancements to the person journey.
Whereas month-to-month energetic customers of wealthy media companies (excluding ayoba) declined by 19.4% to 7.9 million in comparison with December 2024, attributable to platform optimisation initiatives, total engagement ranges improved.
This led to robust income development throughout each wealthy media and value-added companies (VAS).
What it is best to know
Nairametrics earlier reported that MTN Nigeria recorded a N1 trillion income within the first quarter of this 12 months, buoyed by the latest tariff increment carried out in the course of February 2025.
In contrast with the N752.9 billion recorded in Q1 2024, this represents a 40.5% improve in income year-on-year, even because the affect of the tariff adjustment has but to be totally realized.
The corporate bounced again to profitability within the quarter, posting N133.7 billion revenue after tax in contrast with the N392.7 billion loss it recorded in Q1 2024.
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