Nigeria Becomes Airtel Africa’s No.2 Market

Nigeria has become Airtel Africa’s second-largest market by revenue earned per subscriber, as higher telecom tariffs lifted earnings in the company’s largest African market.

Airtel Africa said average revenue per user, or ARPU, in Nigeria rose 41.18% in the financial year ended March 2026, according to results released on Friday.

ARPU tracks how much telecom operators earn per subscriber and signals whether revenue can cover operating costs and fund network expansion.

The increase marks a turnaround for Airtel in Nigeria after years of currency pressure weakened earnings in dollar terms. The naira’s sharp depreciation since 2023 has eroded telecom revenues and raised the cost of infrastructure investment.

Operators gained relief after regulators approved a 50% tariff increase in 2025. The higher pricing has improved profitability across the sector and strengthened operators’ ability to fund network upgrades.

Rival MTN Nigeria also reported stronger earnings per subscriber, with ARPU rising nearly 66% in 2025 to $3.60.

Airtel Nigeria increased capital expenditure by 48.21% during the period. Revenue rose 52.92% to $1.59 billion, while operating profit climbed 78.62%.

The company ended the year with 58.3 million subscribers in Nigeria.

Data services remained Airtel’s biggest growth driver in the country. Data revenue accounted for more than half of total Nigerian revenue during the year.

Mobile money, however, remains a smaller business for Airtel in Nigeria than in other regions. The company reported 2.7 million mobile money users in Nigeria, compared with 40.9 million in East Africa and 10.5 million in Francophone African markets.

Nigeria contributed less than 1% of Airtel Africa’s $1.36 billion mobile money revenue during the financial year.

The company said it plans to grow the business through customer incentives, wider agent networks and savings products offering fixed interest rates of 15%.

Across its 14 markets, Airtel Africa’s subscriber base rose to 183.5 million. Revenue increased 29.47% to $6.42 billion, while profit after tax surged 147.87%.

The results add to signs that tariff increases and improving macroeconomic conditions are helping African telecom operators recover after two years of intense currency and inflation pressure.