0
0
MTN Nigeria recorded a 57% year-on-year increase in its fintech revenue for Q1 2025, powered largely by robust growth in its airtime lending service, Xtratime. The surge marks a strategic win for the telecom giant as it deepens its foothold in digital financial services.
According to the company’s financial report released this week, the upswing in revenue is closely tied to a major push in credit-based offerings, particularly airtime advances to customers. MTN attributed the performance to a revamped customer acquisition strategy and better alignment of its incentive and engagement models.
“The revamp of our customer acquisition strategy, which commenced in Q3 2024, allowed us to optimise our incentives and customer engagement framework,” the company said. “This restructuring aimed to deepen service penetration and enhance monitoring across our sales and distribution network.”
The telecom operator also reported a rise in float income, interest earned from funds held in mobile wallets and fintech accounts, adding to the revenue boost.
MTN’s focus on onboarding more high-value customers and refining its airtime credit offering reflects a broader industry trend of telcos evolving into digital finance players. Airtime lending, often used by customers in underserved or unbanked regions, has become a strategic product for driving user retention and daily engagement.
The impressive performance in MTN’s fintech segment comes as the company declared a post-tax profit of ₦133.7 billion in Q1 2025, its first quarterly profit since 2023.
Editor’s Note: Airtime lending platforms like Xtratime are becoming increasingly central to telecom-fintech convergence across Africa. With mobile penetration rising and financial inclusion gaps narrowing, telcos are leveraging their vast user base to offer microcredit, payments, and insurance solutions, directly through mobile phones.
