/ 4 March 2011

MTN sees healthy rise in profits

MTN Group, Africa’s largest cellphone operator, said it expects full-year earnings to rise by as much as 23%.

MTN, which is due to release earnings next week, said in a statement on Friday it expects to report a rise of between 18% and 23% in adjusted headline earnings per share.

Headline earnings, the main measure of profit in South Africa, exclude certain one-time items.

The company did not give a reason for the expected rise in profit. In the previous year it reported adjusted headline earnings per share of 754,3 cents.

MTN in August reported a 21% rise in first-half profit, helped by strong growth in markets such as Nigeria.

MTN has operations in 21 countries, with most of its revenue coming from South Africa, Ghana, Nigeria and Iran.

Shares of the company, which are down about 6% so far this year, fell 1,2% to R124,25 as of 7.33am GMT, underperforming a 0,07% rise in Johannesburg’s Top-40 index. – Reuters