Globacom raises its numbers but still trails MTN
By Jeph Ajobaju, Chief Copy Editor
Globacom gained one million internet subscribers in the third quarter of 2021 (Q3 2021), growing its customer base to 38.9 million from 37.9 million in Q2 2021, but still trails MTN, the market leader.
MTN mobile subscriber base was 67.5 million in Q3 2021, down from 75 million in Q3 2020 which it attributed to government SIM card registration policy that hampered growth across the sector.
However, MTN data subscribers grew 8.1 per cent to N33.2 million in Q3 2021 compared to 30.7 million in Q3 2020.
Monthly data from the Nigerian Communications Commission (NCC) tracked by Nairalytics, the research arm of Nairametrics, shows that MTN lost about 1.2 million subscribers dipped 2 per cent to 58.4 million from 59.6 million in Q2 2021.
This represents a 2 per cent decline in internet subscribers.
The number of telco customers is beginning to pick up from the downtrend earlier in the year when the NCC directed the telcos not to register new SIM cards because of delay in linking them with National Identity Numbers (NINs) by subscribers.
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Subscribers
Total data subscribers rose by 107,766 in Q3 2021. MTN lost the most, followed by 9mobile.
- Airtel gained 470,906
- Globacom gained 1.03 million
- 9mobile lost 206,768 data subscribers
Porters
- 3,277 – ported out of 9mobile
- 918 – Airtel
- 881 – Globacom
- 863 – MTN
- MTN received 3,368 subscribers
- Airtel received 2,541 subscribers
- MTN still has highest customers, 41.7 per cent of total internet subscribers
Financial statements in Q3 2021
The financial statements of the two telecom firms listed on the Nigerian Stock Exchange (NSE) shows stellar performances from their data revenue, recording double-digit growth in top and bottom lines.
MTN scored 23 per cent increase in revenue, printing gross earnings of N414.99 billion. Its data earnings surged 57 per cent from N87.62 billion in Q3 2020 to N137.75 billion in Q3 2021.
Airtel generated $450 million as revenue, an increase of 19 per cent against $377 million in Q 32020, with data earnings jumping 33 per cent year-on-year (YoY) to $179 million.
MTN had 59 per cent increase in net profit
Airtel grew profit 28 per cent
MTN’s active data users increased by 2.5 million to 33.2 million.
Earnings driven by data
Investment analyst Wale Okunrinboye explained that the stellar performance of is driven by data earnings as Nigerians spend more on internet services, per Nairametrics.
“Nigerians continue to visit more social media sites, Facebook, Twitter, Instagram, TikTok amongst others; the telcos are obviously the highest gainers,” he said during
“On TheMoney Series” on Clubhouse, a social media platform.
Since the pandemic, Nigerians have turned to social media as online comedians stepped up efforts to provide video content on various social media platforms, a major boost for the entertainment industry.
Continued adoption of remote working after the pandemic lockdown has also increased data us as companies move meetings and seminars to webinars.
Company annual general meetings (AGMs) are now done virtually and they also report their earnings virtually.
Take of regulators
Adeleke Adewolu, NCC Executive Commissioner, Stakeholder Management (ECSM), enthused that the ongoing implementation of the Nigerian National Broadband Plan (NNBP) 2020-2025 and its Strategic Vision Plan (SVP) 2021-2025 will drive the development of new technologies and local content.
He spoke at a breakout session at the 2021 Annual General Conference of the Nigerian Bar Association (NBA) in Port Harcourt.
He said the NNBP 2020-2025 has four critical pillars – Infrastructure, Policy, Demand Drivers, and Funding/Incentives.
The NNBP defines ‘broadband’ for Nigeria as “connectivity delivering a minimum of 10 Mbps in rural areas and a minimum of 25 Mbps in urban areas to every Nigerian at an affordable price and quality.”
NCC Executive Vice Chairman Umar Dambatta disclosed at the Nigerian e-Government Summit 2021 that the commission is working with stakeholders to deepen penetration of broadband infrastructure and services.
He said electronic communications have greatly improved the efficiency of interactions among governments, citizens and businesses.
