JSE-listed MTN on Monday posted positive third-quarter results after achieving an improved operational performance in many of the markets in which it operates during the three months to September 30.

The group reported a particularly strong operational performance in Nigeria and Ghana, while some operations in the West and Central Africa region remained under pressure.

MTN South Africa, meanwhile, continues to execute on operational improvements.

“Group service revenue grew by 10% year-on-year, ahead of our medium-term target of upper-single-digit growth, supported by continued strong growth in voice and data revenue. These results were delivered in challenging operating and currency conditions,” said MTN Group president and CEO Rob Shuter.

The group made good progress on its key growth drivers of data and digital services, increasing active data subscribers by five-million to 74.2-million and Mobile Money subscribers by 1.7-million to 25.8-million during the quarter under review.

Group subscribers increased by 2.5-million quarter-on-quarter to 225.4-million in the three months to September.

Group service revenue increased by 10% year-on-year, with group data revenue up 23.9% year-on-year.

MTN South Africa’s service revenue increased by 3% year-on-year, while the business achieved an earnings before interest, taxes, depreciation and amortisation (Ebitda) margin of 34.5%.

MTN Nigeria’s service revenue increased by 17.4%, while its Ebitda margin was 43.2%.

MTN Ghana reported a 22.9% increase in service revenue and an Ebitda margin of 37.6%, while MTN Irancell’s service revenue increased by 14.1% and its Ebitda margin reached 35.3%.

“Across our markets, we continued to invest in our networks, and now have the leading network net promoter score in ten of our markets. Reported capital expenditure (capex) to the end of the September 2018 was R16.4-billion, a group capex intensity of 16.9%,” Shuter said.

MTN’s balance sheet structure continued to be optimised during the period under review, with a reduction in gross dollar debt of about $400-million, supported by the $303-million proceeds from the sale of MTN Cyprus, the settlement of a $34-million loan from the Ugandan Tower Company and the proceeds of $202-million from the MTN Ghana listing.

“We also concluded the refinancing of our $1.25-billion revolving credit facilities that are maturing in 2019, with a new five-year revolving credit facility of $1.25-billion at an improved margin, and with an option to increase to $1.5-billion,” he added.

Meanwhile, MTN Nigeria continues to deny the Central Bank of Nigeria’s claims of alleged improper dividend repatriations of $8.1-billion between 2007 and 2015 and the Attorney General of the Federal Republic of Nigeria’s allegations of $2-billion in unpaid taxes on foreign payments and imports.

“In the quarter, the group engaged extensively with authorities in Nigeria to deal with the matters they raised,” said Shuter, asserting that MTN Nigeria has not committed any offences and will continue to “vigorously” defend this position.

The group had applied for injunctive relief in the Federal High Court of Nigeria restraining the Central Bank of Nigeria and the Attorney General from taking further action in respect of their orders.

While MTN Nigeria's plans to list on the Nigerian Stock Exchange have been challenged by the recent matters, the group remains committed to the listing and work continues in this regard.