MTN Rwanda returned to profitability in the first quarter of 2026, posting a profit after tax of Rwf 10.8 billion ($6.8 million) for the period ending March 31, 2026. This reverses the net loss recorded in the same quarter of 2025 and reflects strong performance in data and fintech services. Service revenue climbed 14.7% year-on-year to Rwf 295.7 billion ($200.78 million), with EBITDA rising 17.3% to Rwf 106.8 billion ($72.52 million), lifting the EBITDA margin to 35.8% from 32.7% a year earlier. Growth was primarily driven by digital services, as active data subscribers increased by 14.1% to 2.8 million and monthly active users on the MoMo mobile money platform rose 17.3% to 6.2 million. Data service revenue grew 15.6%, while fintech revenue from MoMo surged 27.6%. The momentum builds on late 2025 trends, when rising data consumption and home broadband adoption strengthened revenue. MTN Rwanda expanded its 4G population coverage to 94.8% during the quarter and continued rolling out 5G services. CEO Monzer Ali said the company remains focused on affordability, operational efficiency, and investing in capabilities for future growth. Despite broader economic pressures—including urban inflation averaging 7.6% between March 2025 and March 2026 and a rise in the benchmark interest rate to 7.25% in February 2026—MTN Rwanda has maintained investment in network expansion. Geopolitical tensions in the Middle East have contributed to higher energy costs and supply chain disruptions, affecting operating expenses and consumer spending. Compared to larger MTN markets, Rwanda's operations are modest: MTN Nigeria reported a Q1 2026 profit of about $256 million, and MTN Rwanda's 8.2 million subscribers are dwarfed by MTN Nigeria's 89.5 million and Airtel Africa's 183.5 million. However, mobile money adoption in Rwanda, with 5.9 million adult users, has outpaced some larger African markets. The company aims to keep capital expenditure between 7% and 10% of revenue, a more conservative range than in high-investment markets like Nigeria.
MTN Rwanda's return to profit is built on digital services that serve a fraction of the users in Nigeria, yet deliver outsized efficiency gains. The 27.6% jump in fintech revenue highlights how smaller markets can achieve high-margin growth without chasing subscriber volume. Nigeria's telcos may tout scale, but Rwanda's model proves lean digital infrastructure can yield stronger unit economics. This shifts the narrative from size to strategic focus in Africa's telecom race.
Editorial note: AI-assisted opinion, not established fact. Full disclaimer →
