MTN reported its interim results for the six months ended June 2013 today (14 August 2013), revealing that the average effective price per megabyte decreased by 25% over the last six months.
MTN South Africa’s results showed a decline of 1.4% to R20,146-million from R20,430-million in the previous year (including MTN Business).
MTN’s total subscriber base also declined to 25-million from 25.4-million at 31 December 2012.
MTN seems well aware that it needs to be more competitive on voice and data to increase growth.
“MTN South Africa felt the effects of weaker consumer demand and was slow to respond to aggressive price competition in both voice and data offerings,” MTN said.
Some good news for the company is the continued growth in data. MTN SA’s data revenue increased by 14.7% to R4,016-million from R3,502-million in the prior year – contributing 19.9% to total revenue.
Data revenue growth was supported by an increase in the number of mobile data users to 13.5-million from 11.9-million.
Data revenue also benefited from the integration of MTN Business into the South African operation.