MTN Uganda reported a 21.2 per cent increase in net profit to KSh18.2bn for the nine months ended September, helped by the non-recurrence of a Ush111bn (KSh3.5bn) tax settlement paid a year earlier.
The Uganda Securities Exchange-listed operator, which has Kenyan investors among its owners, posted profit after tax of Ush571.2bn, earnings per share of Ush25.5 and a net profit margin of 19.8 per cent, up two percentage points from the prior period.
Excluding the tax settlement, net income would have fallen 1.9 per cent, the company said, as higher depreciation and finance costs offset growth in earnings before interest, tax, depreciation and amortisation.
Revenue grew 8.5 per cent to KSh91.8bn, driven by mobile money and data services.
MTN Uganda declared an interim dividend of Ush4 per share (KSh0.127) for the quarter ended September, payable on December 18 to shareholders on record as of December 1, noting the shift to quarterly payouts from the earlier half-yearly schedule.
The dividend is lower than the Ush10.5 per share (KSh0.335) paid for the 2025 third quarter; chief executive Sylvia Mulinge said the board reduced the payout to align distributions with near-term cash generation and preserve financial flexibility.
On a cumulative basis, dividend payout per share for the nine-month period is Ush21.25 (KSh0.678), slightly above last year’s Ush20.5 (KSh0.654), representing a payout ratio of 83.3 per cent of net income, above the company’s policy of at least 75 per cent.
The firm also noted that the proposed separation of its fintech arm, MTN MoMo, from the telecom business remains under regulatory review and is subject to required approvals and conditions.
The separation aims to facilitate growth of the mobile money unit and could eventually lead to its listing, allowing investors to hold stakes in both entities.
