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MTN adds 4m subscribers

Kimberly Guest
By Kimberly Guest, ITWeb contributor
Johannesburg, 04 May 2007

The MTN Group's customer base climbed 11%, to 44.3 million, in the three months ended 31 March.

Earlier this year, the company reported it had 40 million subscribers at 31 December. It defines subscriber as customers who have made or received a revenue-generating call in the last 90 days.

According to a statement yesterday, MTN's West, East and Central Africa (WECA) contributed 49% to the group's total subscribers, followed by South-East Africa (SEA) with 37%, and Middle East and North Africa (MENA) with 14%.

Regional growth

Still the largest contributor of subscribers to the group, the WECA region, delivered 10% growth in subscriber numbers. WECA stronghold Nigeria achieved 9% growth in subscribers, to 13.4 million customers. Ghana increased its base by 13%, to 2.9 million subscribers, and Ivory Coast delivered 22% growth, to almost two million subscribers.

<B>Country figures</B>

MTN subscriber numbers by region, with average revenue per user in brackets.
SA: 13m (R148)
Uganda: 1.76m ($11)
Mascom - Botswana: 648k ($15)
Rwanda: 426k ($14)
Swaziland: 286k ($18)
Zambia: 227k ($11)
Nigeria: 13.38m ($17)
Ghana: 2.9m ($16)
Cameroon: 1.86m ($14)
Ivory Coast: 1.97m ($15)
Benin: 514k ($15)
Congo - Brazzaville: 280k ($17)
Conakry: 342k ($13)
Liberia: 236k ($19)
Bissau: 116k ($17)
Syria: 2.38m ($20)
Iran: 1m ($10)
Yemen: 1.2m ($9)
Sudan: 1.17m ($15)
Afghanistan: 354k ($12)
Cyprus: 87k ($36)

The SEA region increased its subscriber base by 6% for the quarter. Growth in the region was driven principally by MTN SA, says the company. According to the figures, the South African region grew subscriber numbers by 4%, to just over 13 million. Uganda grew subscriber numbers by 10%, to 1.76 million, over the quarter.

The MENA region saw subscriber growth of 28% for the quarter, mainly due to aggressive subscriber acquisitions by MTN Irancell, which saw subscriber numbers climb 601% to just over a million subscribers. Afghanistan and Sudan also posted double-digit growth, with 62% and 11%, respectively.

ARPUs drop

Most of its operations have seen average revenue per user (ARPU) decline, says the group.

MTN SA's ARPU dropped by 10%, to R148, in line with seasonal trends and the stepped change as the new year's average takes affect. Nigerian and Ghanaian ARPUs decreased 6%, to $17 and $16 respectively.

Of its 21 locations, only four operations saw increases in ARPUs. Bissau delivered 13% growth, to $17; Iran 11% growth, to $10; Liberia 6% growth, to $19, and Cyprus 3%, to $36.

"Assuming the continuation of current market conditions, we expect to continue the healthy subscriber growth trend across all our operations and to consolidate our position as the leader in emerging markets," says MTN Group president and CEO Phutuma Nhleko.

In comparison

Vodacom has yet to release its subscriber figures for the quarter ended 31 March.

Its December numbers show 21.78 million subscribers for the South African region. ARPUs at that stage were R127. The company did not reveal how it defines subscribers.

For the quarter ended 31 March, Cell C claimed 3.3 million subscribers, with an ARPU of R159. ARPUs excluding community service telephones came in at R132. Cell C did not reveal how subscribers were defined.

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