MTN Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1994/009584/06)
(Share code MTN)
(ISIN: ZAE000042164)
(MTN or Group or the Company)

Trading statement for the six-month period ended 30 June 2023

MTN is currently in the process of finalising its results for the six-month period ended 30 June 2023
and provides this trading statement.

Paragraph 3.4 (b) (i) of the JSE Limited Listings Requirements (JSE Listings Requirements) requires that
issuers must publish a trading statement as soon as they are satisfied that a reasonable degree of
certainty exists that the financial results for the period to be reported upon next will differ by at least
20% from the financial results for the previous corresponding period.

Accordingly, shareholders are advised that MTN expects to report:

•     An increase in earnings per share (EPS) of between 10% and 20% (or 45 cents to 89 cents).
      Considering the EPS of 445 cents for the corresponding six-month period ended 30 June 2022, this
      translates to a range of 490 cents to 534 cents for the six-month period ended 30 June 2023.
      EPS includes impairment losses that mainly relate to property, plant and equipment and
      associates of 13 cents (June 2022: 25 cents), an impairment loss on remeasurement of disposal
      groups of 21 cents (June 2022: 52 cents) and a net profit on the disposal of SA towers and other
      assets of 3 cents (June 2022: 16 cents).

      An increase in headline earnings per share (HEPS) of between 0% and 10% (or 0 cents to 51 cents).
      Considering the restated HEPS of 506 cents for the corresponding six-month period ended 30 June
      2022, this translates to a range of 506 cents to 557 cents for the six-month period ended 30 June
      2023. The Group previously announced in its FY 22 results that the deferred tax income on the
      disposal of SA towers of R1.1 billion was not included in the H1 2022 HEPS reconciliation, but
      correctly processed within earnings and basic EPS. HEPS reported in H1 2022 was consequently
      restated with a reduction of 61 cents to 506 cents.

•     HEPS was negatively impacted by some non-operational and once-off items of approximately 207
      cents (June 2022: 94 cents) for the six-month period. These include hyperinflation excluding
      impairments of 38 cents (June 2022: 2 cents), foreign exchange (forex) losses of 169 cents (June
      2022: 88 cents) and an IFRS 2 charge arising from the MTN Ghana localisation transaction of 0
      cents (June 2022: 4 cents).

The anticipated changes in EPS and HEPS for the six-month period ended 30 June 2023, are illustrated
in the table below:

                30 June 2022      30 June 2023 expected range    Expected increase       Expected increase
                    (R’cents)                        (R’cents)                 (%)               (R’cents)
EPS                      445                         490 - 534            10 - 20%                 45 - 89
HEPS            Restated 506                      506 - 557            0 - 10%                   0 - 51



Impacts of currency devaluations and scrip dividend elections

Further to the above, the Company notes the volatility in forex rates in key markets during H1 2023,
including rand depreciation against the US dollar and the liberalisation of forex rates in Nigeria (the
naira float). Within the aforementioned 169 cents of forex losses outlined in the above guidance, is
128 cents from Nigeria, of which approximately 95 cents was incurred in the month of June 2023 (the
month of the naira float).

The Group elected for scrip dividend options for the FY 2022 dividends from MTN Nigeria and MTN
Ghana in the period under review given limited forex reserves in both markets. For MTN Nigeria, the
ordinary shares created from the scrip dividend election have been approved by Nigeria’s Corporate
Affairs Commission and are awaiting final regulatory approval for the shares to be credited to the
respective Central Security Clearing System accounts of qualified shareholders. For MTN Ghana, the
allocation was completed towards the end of June 2023. Therefore, the impacts of the election of the
scrip dividend options are not material in the H1 2023 results. They will however be accretive to
attributable earnings once all allocations are finalised, although this does negatively impact cash
upstreamed to the Group.

These effects, particularly rand depreciation against the US dollar and election of the scrip dividend
options, have thus also impacted the Group’s holding company (Holdco) leverage in the period, which
is anticipated to be towards the upper end of the guidance range of “less than 1.5x”. The Group
consolidated net-debt-to-EBITDA is anticipated to be broadly in line with the December 2022 level.

The financial information on which this trading statement is based has not been reviewed and
reported on by the external auditors of MTN. The Group’s financial results are expected to be
announced on the Stock Exchange News Service of the JSE Limited on or about Monday, 14 August
2023.


Fairland
31 July 2023


Lead sponsor
J.P. Morgan Equities (SA) Proprietary Limited
Joint sponsor
Tamela Holdings Proprietary Limited