MTC revenue grows, but rising costs weigh on profitability
Staff Reporter MOBILE Telecommunications Limited (MTC) delivered higher revenue and maintained strong cash generation during the first half of its 2026 financial year, but rising operating costs limited profit growth, prompting analysts at Simonis Storm Securities to lower their earnings forecasts and downgrade the stock from a “buy” to a “hold”. In its latest research ... The post MTC revenue grows, but rising costs weigh on profitability appeared first on Informanté .
Staff Reporter
MOBILE Telecommunications Limited (MTC) delivered higher revenue and maintained strong cash generation during the first half of its 2026 financial year, but rising operating costs limited profit growth, prompting analysts at Simonis Storm Securities to lower their earnings forecasts and downgrade the stock from a “buy” to a “hold”.
In its latest research note, Simonis Storm said MTC’s revenue increased by 7.1% to N$1.95 billion during the six months under review, driven by strong growth in prepaid services, roaming and enterprise connectivity. However, the company’s EBITDA margin declined from 49.4% to 47.4% as costs increased at a faster pace than revenue, while earnings rose by only 1.6%.
The research firm described the results as resilient but noted that revenue growth did not translate into stronger profitability.
