Yesterday MTN released a trading statement for the full year ending 31 December. The company expects an improvement of at least 20% in headline earnings per share. Having said that, the comparable period still had some Nigerian fine influence as well as hyperinflation in Nigeria.
It seemed like the market was expecting more. The share dropped 2.5% on the news. Even after this increase, earnings of R3 a share is far off the potential of this business. When once-offs consistently hurt your numbers they can no longer be considered once-offs.
Regardless, the potential is still there. 215 million subscribers is a massive base to monetise. Let's wait and see what the detailed results expected in March have to say. I am sure we will also get more clarity on Nigeria.