Business

Cameroon – Telecom: Low turnover for MTN Cameroon during the 1st half of 2016, despite good performances on data and Mobile Money

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Written by Deckson N.

The global turnover of the Cameroonian subsidiary of the South African telecom operator, MTN International, dropped by 8.7% during the first half of 2016, we learned from the interim financial statements of the group published on 5th August.

This dip in the revenue is explained, we learned, by “a drop in the revenue of the outgoing calls”, a situation which itself results from the deactivation of many chips (approximately 60,000 officially) as part of the customer registration process, “the price competition” and several promotions characterised by the “free communication, Ed.) minutes” practice.

However, this mobile operator, who claims 57.4% of market share in Cameroon, over the period under review, closed the first half of 2016 with a new increase of 49.5% (against 78.9%) in the data revenue as at end March, which finally account for 18.8% (against 18.5% during the first quarter) in the global revenue of the company. A performance which can be explained, we learn, by the rollout of new 3 and 4G sites throughout the country.

As at end June 2016, MTN Cameroon also registered a fair increase in the number of subscribers to the Mobile Money service, which now peaks at 2.4 million customers, an increase by 21.1%. At the same time, “the number of active subscribers (to this service, Ed.) increased by 100%, supported by a campaign”, which was meant to boost the use of this product.

Despite the suspension of thousands of SIM at the end of the customer registration campaign which ended on 30 June, MTN Cameroon saw its customer base increase by 5% during the first semester 2016, now at 9.6 million customers, against 9.5 million customers as at end March 2016 and 9.2 million as at end 2015.

BIC

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Deckson N.

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