MTN Rwanda has swung back to profit in the first quarter of 2026, powered by rising internet usage and rapid growth in its mobile money business, underscoring Rwanda’s momentum as a growing digital economy.
The operator reported a profit after tax of Rwf 10.8 billion (about $6.8 million) for the three months ended March 31, 2026, reversing a net loss in the same period of 2025. The results mark a clear turnaround for the business after last year’s first-quarter setback.
Service revenue rose 14.7% year-on-year to Rwf 295.7 billion ($200.78 million), according to the company’s financial results. Operating profitability also strengthened: EBITDA climbed 17.3% to Rwf 106.8 billion ($72.52 million), lifting the EBITDA margin to 35.8% from 32.7% a year earlier.
The recovery is being led by MTN Rwanda’s digital businesses. Active data subscribers grew 14.1% to 2.8 million, pointing to sustained demand for internet services. Mobile money usage is expanding even faster: monthly active users on the MTN MoMo platform increased 17.3% to 6.2 million.
That growth is translating directly into revenue. Data service revenue increased 15.6%, while fintech revenue from MoMo surged 27.6% year-on-year, making mobile money one of the strongest contributors to the quarter’s performance.
The latest figures build on momentum from late 2025, when heavier data consumption and rising home broadband usage had already started to strengthen MTN Rwanda’s revenue base. Together, these trends are reinforcing the role of digital services at the core of the company’s strategy.
“We remain focused on protecting affordability for our customers, accelerating efficiency across the business, and continuing to invest in the capabilities that will define the next phase of growth,” said CEO Monzer Ali in the company’s Q1 earnings commentary.
MTN Rwanda’s return to profitability comes against a backdrop of both macroeconomic strength and mounting cost pressures in the country.
Rwanda’s broader economy has stayed resilient despite global uncertainty. The country recorded GDP growth of 9.4% in 2025, up from 7.2% in 2024, driven mainly by services and industry. But inflation has been picking up. Data from the National Institute of Statistics show that urban inflation averaged 7.6% between March 2025 and March 2026, while energy prices climbed 25.5% over the same period.
To curb inflation, the National Bank of Rwanda raised its benchmark interest rate to 7.25% in February 2026. That monetary tightening is meant to contain price growth but also contributes to higher borrowing costs across the economy.
For MTN Rwanda, these macro pressures are being felt on multiple fronts. The company pointed to geopolitical tensions in the Middle East as a driver of higher energy costs and disruptions in global trade flows. Those effects are putting pressure on supply chains and squeezing customer purchasing power, while also inflating operating costs.
Despite this, MTN Rwanda is continuing to invest in its network and digital infrastructure. During the quarter, it expanded 4G population coverage to 94.8% and pushed ahead with a phased rollout of 5G services. The company is targeting capital expenditure intensity of between 7% and 10% of revenue—moderate by regional telecom standards and lower than the heavy investment cycles underway in larger markets such as Nigeria and South Africa.
The operator ended the period with a subscriber base of 8.2 million. Although that is far smaller than MTN Nigeria’s 89.5 million users or Airtel Africa’s 183.5 million subscribers across its footprint, Rwanda is emerging as one of the continent’s more dynamic digital markets relative to its size.
Mobile money is a key part of that story. Rwanda counts 5.9 million adults using mobile money, a level of adoption that has outpaced uptake in some larger African economies. This aligns with the government’s broader push toward financial inclusion and digital payments and provides a strong foundation for fintech-led growth by operators like MTN Rwanda.
Compared with MTN’s bigger African operations, the absolute profit numbers remain modest: MTN Nigeria reported around $256 million profit after tax in Q1 2026, while Airtel Africa posted $227 million. Even so, MTN Rwanda’s turnaround from loss to profit, combined with double-digit growth in data and fintech revenues, suggests the company is steadily executing on its “Ambition 2025” strategy.
MTN Rwanda described the Q1 2026 performance as a “positive start to the year” and signalled that it will keep balancing affordability for customers with ongoing investment in network expansion and new digital capabilities.
Paul Balo is the founder of TechBooky and a highly skilled wireless communications professional with a strong background in cloud computing, offering extensive experience in designing, implementing, and managing wireless communication systems.
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