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All about MTN
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Our reporting suite
Navigating this report
About this report
Who we are and where we come from
Where we are going
Where we operate and how we perform
Views from our Chairman
Q&A with the President and CEO
Our market context
Investment case – a compelling African growth story
Creating and preserving value through our business model
Our outlook

How we create value
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Material matters impacting value creation
Social, Ethics and Sustainability Committee Chair’s review
Stakeholders with whom we partner to create value
Risk Management and Compliance Committee Chair’s review
How we manage risk
Top risks to value creation
Strategic and financial review
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Q&A with the CFO
Key financial tables
Operational performance summary
Audit Committee Chair’s review
Finance and Investment Committee Chair’s review
Our Ambition 2025 strategy
Our strategic performance dashboard
Our strategic performance

Governance and remuneration
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Directors Affairs and Governance Committee Chair’s review
Governance in support of value creation
Our Board of Directors
How the Board transformed our values into actions
Our Executive Committee
Remuneration Report
Independent assurance practitioner’s limited assurance report
Glossary
Administration

Creating and preserving value through our business model

  • Inputs Our business model
  • OutputsKey outcomes
  • Trade-offs

Inputs Our business model

We create and preserve value by developing and distributing a range of innovative services. We depend on various resources and relationships, known as the six capitals, to do this. We require inputs of each capital to deliver on our strategy, advance some of the UN SDGs and generate value for our stakeholders. When making decisions on allocating capital, we consider the availability of the capitals, the trade-offs between them and we seek to maximise positive outcomes and limit instances in which value is eroded. While transforming the stocks of capitals, we seek to grow inclusively, responsibly and sustainably.

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Natural

Radio spectrum in several bands

Electricity consumption - Total (Scope 1 and Scope 2)

Electricity (GJ) Diesel (L) Other^
470 209 003 97 065 339 123 604
2022: 2 773 817 2022: 3 483 026 2022: 189 480
^ Includes petrol and natural gas.
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Financial
Market cap
(Rbn)		 Holdco debt
(Rbn)		 Interest received
(Rbn)
209 31.9 3.0
2022: 240 2022: 23.1 2022: 2.0
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Intellectual
  • Strong established brand.
  • Skilled, experienced and diverse Board members and employees.
  • Partnerships and JVs.
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Human
Number
of employees		 Contractors and
temporary
employees (%)		 Investment in
employees
(Rm)
17 684 12 307
2022: 17 462 2022: 15 2022: 280
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Manufactured
Value of property,
plant equipment
(Rbn)		 Capex
(IFRS 16)
(Rbn)		 Number of
smartphones
(m)
117.2 63.6 183.3
2022: 108.8 2022: 54.1 2022: 168
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Social
  • Improved relationships with regulators, customers, trade unions, employees, communities and civil society.
  • Ongoing interactions with government and tax authorities.
  • Regular engagement with shareholders and the investor community.
  • 294.8m subscribers in 19 markets.

Our business model

Our five-step business model is informed by our belief, our strategic intent and values.It is underpinned by our governance and supports the delivery of our strategy.

1

We secure access to spectrum, licences and technologies based on a disciplined capital allocation framework

2

We attract, develop and retain the best talent and future skills, which we combine with the resources in step 1 to create, build and operate technology platforms that are second to none

3

We drive industry-leading connectivity operations and build the largest and most valuable platforms, creating shared value by advancing digital and financial inclusion

4

This is achieved through the sale and distribution of our differentiated products and services which provide the leading customer experience leveraging the #1 African brand

5

With ESG at the core, and while accelerating our portfolio transformation, we provide leading digital solutions for Africa’s progress

OutputsKey outcomes

Services   Net Zero emissions by 2040  
  Committed to 50% absolute average reduction by 2030 (science-based target)  
           
      2023 2022
  Carbon emissions – Scope 1 (tCO2e) 292 505.72 290 392.32
  Carbon emissions – Scope 2 (tCO2e) 267 827.92 ~ 343 291.89 ^
  Carbon emissions – Scope 3 (tCO2e) 3 153 045.96 ~ 4 223 858.00 ^
  E-waste (tonnes) 103 99
         
        2023 2022
  EBITDA (Rbn) 90.4 90.8
  Profit after tax (PAT) (Rbn) 4.0 23.8 ^
  Adjusted headline earnings per share (cents) 1 203 1 329 ^
    Holdco leverage (x) 1.4 0.8
  Cash generated from operating activities (Rbn) 64.1 68.1
  Return on equity (%) 24.4 24.2 ^
  Dividend (cps) 330 330
         
Communication     2023 2022
Fintech Goodwill and intangible assets (Rbn) 74.8 50.3
Maintained most valuable African brand rank, worth (Rbn) 68.2 60
         
Digital     2023 2022
  Staff costs (Rbn) 15.1 12.7
  Voluntary staff turnover (%) 5.7 6.4
Enterprise Employee sustainable engagement score (%) LA 83 83
  Total time spent on employee development (total hours) 1 823 189 1 363 200
    Female representation (%) 40 40
         
Network
as a Service
(NaaS)		     2023 2022
  2G sites rolled out 4 458 2 974
    3G sites rolled out 3 319 3 498
    4G sites rolled out 5 356 7 993
    5G sites rolled out 2 251 1 570
Chenosis   Network Net Promoter Score (NPS) (#1 in markets) (%) 10 10
    Depreciation (Rbn) 31 28.6
           
      2023 2022
  NPS LA (%)    
       South Africa 45 48
       Nigeria 51 61
       Other key markets# 38 43
  MoMo active subscribers (m) 72.5 69.1
  CSI spend (Rm) 220 251
  B-BBEE status MTN Group and MTN South Africa Level 1 Level 1
  Calls to whistle-blower hotline LA 119* 123^
  Total tax contribution (Rbn) LA 61.7 54.8^
  Economic value added (Rbn) 159 149
  ^ Restated due to prior year adjustment.
  + Excludes incidents reported via walk-ins, email, management concerns and internal audit queries. A total of 127 tip-offs have been received. Eight were noted as test calls.
  # Includes Cameroon, Côte d’Ivoire, Iran and Uganda.
  ~ Total includes MTN SA (Scope 1: 31 730.94 tCO2e and Scope 2: 157 015.42 tCO2e LA)
Emissions            
Total GHG emissions Value created Value eroded Value preserved
3 713 379 million tCO2e

 

Trade-offs

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Natural
  • MTN South Africa’s network resilience plan to mitigate the disruption to network availability caused by loadshedding includes investment in batteries and backup generators. Natural and financial capitals are negatively impacted.
  • However, investments in solar and other greener economy projects in South Africa and across our Opcos as part of our commitment to reducing our carbon footprint have a sustainably positive impact on social and natural capital.

Relevant material matters

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Associated risks to value creation

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Human
  • Our work to advance gender equality through the greater representation of female MTNers and efforts to reduce the gender pay gap have a short-term negative impact on financial capital but are offset in the medium to longer term by their positive impact on the human and social capitals.
  • Investments in training, including in the MTN Skills Academy, enhance human capital but have a negative short-term effect on financial capital.
  • Our expense efficiency programme (EEP) supports financial capital, but has some negative effect on social capital by impacting supplier relationships and employee morale.

Relevant material matters

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Associated risks to value creation

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Financial
  • Through our work to bolster MTN’s financial resilience, we enhance the Group’s financial capital. Among these are:
    • Expense efficiencies.
    • Asset sales.
    • The upstreaming of cash from Opcos.
    • Liability management and the reduction of non-rand debt.
  • Financial capital is under pressure to support operating and capital expenditures, as well as the completion of our network resilience plan in South Africa.

Relevant material matters

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Associated risks to value creation

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Manufactured
  • Expediting work to increase internet access across our markets has a short-term negative impact on financial capital, but supports the social, manufactured and intellectual capitals. In the long run, it lays the foundation for enhancing financial capital.

Relevant material matters

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Associated risks to value creation

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Intellectual
  • The development and launch of new and differentiated products and services aimed at enhancing the customer experience impact the intellectual and social capitals positively while reducing financial capital.
  • Strategic partnerships, notably the Mastercard agreement signed in 2023 with MTN Group Fintech, focuses on scaling our existing businesses and leveraging off our partners’ assets and footprints. These have a positive medium to long-term impact on intellectual and financial capital.

Relevant material matters

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Associated risks to value creation

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Social
  • Continuous improvements to the remuneration policy and transparent disclosure allay investor worries and encourage the retention of skilled employees. They enhance the stocks of the financial and social capitals.
  • Our commitment to digital and financial inclusion in our communities transforms society through the development of skills and enterprises, but this has a short-term negative impact on financial capital.
  • Driving diversity, inclusion, localisation and preferential procurement builds the stocks of the social, human, intellectual and financial capitals.

Relevant material matters

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Associated risks to value creation

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About MTN

Board of Directors

Executive Committee

Reporting centre

Annual reports

Financial results

Definitions and glossary

Definitions for non-financial data

Glossary

Administration