South Africa has less than a third of Nigeria’s population, yet it is in Africa’s most industrialised economy that the likes of Shoprite Holdings, Multichoice (DSTV) and MTN make the most cash.

The sales data of all three firms show that their South African operations contributed a combined 58.5 percent to Group revenue in 2018 and 2019.
Historically, with exception to MTN, the South African units of Shoprite and Multichoice have always outperformed the Nigerian unit.

This finding negates a widely-held view among most people that Nigerian operations are the life blood of these South African companies.

More than 90 percent of respondents in a BusinessDay survey assumed Nigeria is the largest market for the companies.
This is not to say the Nigerian market doesn’t matter to these companies, but talks about its relevance are slightly exaggerated.

Here’s what numbers gleaned from the annual report of these companies say.

Shoprite
Shoprite is Africa’s largest retailer with 2,934 outlets across 15 countries on the continent and an employee base of 147,268.

Contrary to assumptions that the Nigerian business contributes the most to the Group’s revenue because Nigeria has a larger population, the South African business is actually the dominant unit.

Shoprite’s supermarkets in South Africa contributed 75 percent to total group sales as at the end of June 2019, an increase from 74 percent in 2018, according to the company’s financial statement.

The Nigerian unit, along with other non-South Africa operations, contributed 14.2 percent as at June, a decline from 15.2 percent in 2018, dragged by Angola and Nigeria.

Sales growth (in dollar terms) in the Angolan unit declined 38.4 percent while sales growth in Nigeria recorded zero growth, literally 0.00 percent.

In local currency terms, Nigeria’s sales growth of 5.6 percent was dwarfed by Ghana’s (16 percent), Zambia’s (10 percent) and Madagascar’s (8.8 percent).

Multichoice

Multi-choice are owners of satellite TV, DSTV and Gotv. With presence in 49 geographies, it is Africa’s largest pay-tv operator.

Its South African operations contributed 67.3 percent to Group revenue, according to information gleaned from its 2019 annual report published on its website. The South African business has a customer base of 7.4 million in full-year 2019 (going by the firm’s unconventional calendar which means the year ends in June.)

The rest of Africa, including Nigeria, contributed 29.6 percent of the Group revenue, which is less than the South Africa contribution.

Of the non-South African operations, Nigeria accounted for 34 percent, ahead of Kenya (11 percent) and Zambia (10 percent).

The Nigerian market however trailed the combined operations of other (ex-South Africa) African countries which was 45 percent.

This means that while Nigeria is the company’s single largest market after South Africa, it is not as important as other African operations combined. What this then implies is that while shutting the Nigeria unit will affect the company to some extent, saying it would cause the company to collapse is slightly exaggerated.

In fact, their non-South African operations, including Nigeria, has been loss-making for two years in a row now.

In 2019, while the South African business turned a trading profit of 10.2 billion rand (ZAR), the company reported a loss of 3.7 billion rand.



Then we have MTN Nigeria.

MTN is the largest wireless phone carrier in Nigeria with 61.5 million subscribers as at June 2019. That’s almost three times the subscriber base of 24 million in South Africa.

However, those numbers don’t correlate with revenues. The most revenue is made in South Africa.

According to its annual financial report for 2018, the Nigerian unit contributed 28 percent of the Group revenue while the South African unit contributed 33.2 percent.

The Nigerian unit has declined in contribution to revenue on the back of currency devaluations.

However, there’s scope for the Nigerian unit to generate more revenue than the SA unit in the future as data and fin tech revenues grow.

As at 2018 though, the SA unit contributed the most to revenue. Same applies for Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA).

Analysts say the sales data of Shoprite, Multichoice and MTN reflects the fact that average incomes in Nigeria are lower than in South Africa.

While the average South African earns close to $5,000, the average Nigerian earns about half of that at around $2,000.

This implies that consumer spending in South Africa is larger than that of Nigeria even though the latter boasts superior population numbers.
https://businessday.ng/companies/article/these-numbers-show-shoprite-dstv-mtn-sell-more-in-sa-than-nigeria/
Lalasticlala

But MTN confessed in 2006 that they made in one year in Nigeria the profit they could not make in four years in South Africa.

Loads of crap
People beware of the media. They've been paid to convince Nigerians that they don't own these companies. They've been paid to give figures like this. How to protest silently is very simple. Stop loading that Mtn sim. Lobatan. Just for a day. They will stop these bullshits. For if they don't make any cash in one week nobody go tell them, them go talk to thier government.

But wait o make we reason something. You go greet person. He talk say make you dey go he no want you again. Wetin you suppose do? Na to move na. It's a simple suntin

This is clowning

According to its annual financial report for 2018, the Nigerian unit contributed 28 percent of the Group revenue while the South African unit contributed 33.2 percent.

Any unit that is not your home unit yet producing 28% while the gene unit produces 33.2% is not to be toyed with. You should be friends with the government and comnunuty of that unit because (read next quote)

However, there’s scope for the Nigerian unit to generate more revenue than the SA unit in the future as data and fin tech revenues grow.

And boom! This is the deal MTN will do well to remember hence get involved to prevent a diplomatic row that will lead to unfavorable market environment. It is also a reason why the country of the hone unit needs to make sure they do not seem hostile as a small hint could make things spiral out of control

Nigeria don't use data

anything that requires plus and minus in Nigeria u can't get the record straight


imagine I have 2000 in my account

without any transaction oo

after some days

all I see again Na 1978, next Na 1971

INEC will count votes , another man will go tribunal and later win ,

so u didn't count the votes before ?

so if Nigeria go tribunal , u will see they sell higher than South Africa in all those companies , but South has data , which Nigeria don't have ,

Bullshit man...... You can go there to make the remaining percent you made over there. Abeg make they nationalise them ASAP. Meanwhile, you can get Latest and Top Rated hundreds of Movies and Series in HD quality into your External drives and PCs at affordable prices. Lagosians and non Lagosians, please help a bro today by patronizing, that's a best gift for Movies Junkies.

You are forgetting that we contributed that much despite our crappy network penetration and less than 30% has access to satellite tv.
Now imagine the increase in revenue if just 40% of Nigerians is connected.
And the population is still growing

NIGERIA IS THE LARGEST MARKET IN AFRICA.
IT WILL TAKE THOUSANDS OF YEARS FOR THAT TO CHANGE

I might be tempted to believe multi choice and shoprite but never Mtn

Remember Mtn Nigeria is still paying their fine to the federal government. That will affect their profit

Taar !!!

EkunKekere:

Sigh. When ignorance has no answer to fact based analysis.

Just don't cross the borderline, else you may switch to another alt or open another email to register another moniker.

EkunKekere:

If you mean that there's a race to cross the borderline between abject stupidity and wisdom, then I think that from your broad grin on medal podium, we already who's won that race....

I know you must cross it, but just manage.

Though you may come and permanently reside in my mention.

Be ready to continue switching monikers because I won't hesitate to ensure that.

Then leave because your services are exploitative and under required standard expected

Anambralstson:
South Africa has less than a third of Nigeria’s population, yet it is in Africa’s most industrialised economy that the likes of Shoprite Holdings, Multichoice (DSTV) and MTN make the most cash.

The sales data of all three firms show that their South African operations contributed a combined 58.5 percent to Group revenue in 2018 and 2019.
Historically, with exception to MTN, the South African units of Shoprite and Multichoice have always outperformed the Nigerian unit.

This finding negates a widely-held view among most people that Nigerian operations are the life blood of these South African companies.

More than 90 percent of respondents in a BusinessDay survey assumed Nigeria is the largest market for the companies.
This is not to say the Nigerian market doesn’t matter to these companies, but talks about its relevance are slightly exaggerated.

Here’s what numbers gleaned from the annual report of these companies say.

Shoprite
Shoprite is Africa’s largest retailer with 2,934 outlets across 15 countries on the continent and an employee base of 147,268.

Contrary to assumptions that the Nigerian business contributes the most to the Group’s revenue because Nigeria has a larger population, the South African business is actually the dominant unit.

Shoprite’s supermarkets in South Africa contributed 75 percent to total group sales as at the end of June 2019, an increase from 74 percent in 2018, according to the company’s financial statement.

The Nigerian unit, along with other non-South Africa operations, contributed 14.2 percent as at June, a decline from 15.2 percent in 2018, dragged by Angola and Nigeria.

Sales growth (in dollar terms) in the Angolan unit declined 38.4 percent while sales growth in Nigeria recorded zero growth, literally 0.00 percent.

In local currency terms, Nigeria’s sales growth of 5.6 percent was dwarfed by Ghana’s (16 percent), Zambia’s (10 percent) and Madagascar’s (8.8 percent).

Multichoice

Multi-choice are owners of satellite TV, DSTV and Gotv. With presence in 49 geographies, it is Africa’s largest pay-tv operator.

Its South African operations contributed 67.3 percent to Group revenue, according to information gleaned from its 2019 annual report published on its website. The South African business has a customer base of 7.4 million in full-year 2019 (going by the firm’s unconventional calendar which means the year ends in June.)

The rest of Africa, including Nigeria, contributed 29.6 percent of the Group revenue, which is less than the South Africa contribution.

Of the non-South African operations, Nigeria accounted for 34 percent, ahead of Kenya (11 percent) and Zambia (10 percent).

The Nigerian market however trailed the combined operations of other (ex-South Africa) African countries which was 45 percent.

This means that while Nigeria is the company’s single largest market after South Africa, it is not as important as other African operations combined. What this then implies is that while shutting the Nigeria unit will affect the company to some extent, saying it would cause the company to collapse is slightly exaggerated.

In fact, their non-South African operations, including Nigeria, has been loss-making for two years in a row now.

In 2019, while the South African business turned a trading profit of 10.2 billion rand (ZAR), the company reported a loss of 3.7 billion rand.



Then we have MTN Nigeria.

MTN is the largest wireless phone carrier in Nigeria with 61.5 million subscribers as at June 2019. That’s almost three times the subscriber base of 24 million in South Africa.

However, those numbers don’t correlate with revenues. The most revenue is made in South Africa.

According to its annual financial report for 2018, the Nigerian unit contributed 28 percent of the Group revenue while the South African unit contributed 33.2 percent.

The Nigerian unit has declined in contribution to revenue on the back of currency devaluations.

However, there’s scope for the Nigerian unit to generate more revenue than the SA unit in the future as data and fin tech revenues grow.

As at 2018 though, the SA unit contributed the most to revenue. Same applies for Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA).

Analysts say the sales data of Shoprite, Multichoice and MTN reflects the fact that average incomes in Nigeria are lower than in South Africa.

While the average South African earns close to $5,000, the average Nigerian earns about half of that at around $2,000.

This implies that consumer spending in South Africa is larger than that of Nigeria even though the latter boasts superior population numbers.
https://businessday.ng/companies/article/these-numbers-show-shoprite-dstv-mtn-sell-more-in-sa-than-nigeria/
Lalasticlala