The MTN Group today reported a revenue rise of 1 percent for the first six months of 2011 compared to the second half of 2010, buoyed by strong subscriber growth across the group's operations despite continuing political instability in Yemen and Syria.MTN's revenue for the first six months ended June 31 was 56.542 billion rand (US$5.5 billion), with strong growth in MTN's South African and Iranian operations of 5.9 percent and 12.1 percent, respectively. On a constant currency basis, taking foreign exchange fluctuations into account, revenue growth was 9.4 percent."This was offset by negative growth in Ghana and Syria and no growth in Nigeria," according to a company statement.The group did not report total after-tax earnings, but said earnings per share increased from the year-earlier period by 15.9 percent, to 5.1 rand.

Airtime (recharge vouchers) and subscription revenue remain the key contributors to revenue, comprising 66.1 percent of the group's total revenue. Interconnect revenue grew by 3.8 percent as lower termination rates in South Africa were more than made up for by incoming traffic increases in Nigeria.
The company said data growth, excluding short message service (SMS), increased by 24.1 percent to 3.6 billion rand due mainly to usage by large companies.
Data growth was still primarily driven by South Africa. Data revenue (excluding SMS) overtook SMS revenue for the first time and they now contribute 6.3 percent and 6.0 percent, respectively, of total revenue.
The sale of towers in Ghana was a precursor of things to come, in terms of infrastructure plans, the company said.
"The conclusion of the tower deal by MTN Ghana and the first closing of 400 towers in May 2011 marked the start of true infrastructure sharing and opportunities to unlock value," the company said. "Other projects of this nature are under consideration."
The group reported that political instability in Yemen and Syria continues to create a challenging business environment, while trading conditions in Ivory Coast have improved following the disruptions in the first three months of this year.
Various group initiatives like the continued investment in undersea cables and fiber, wireless technologies (including 2G, WiMax and 3G) as well as mobile data solutions have maintained the group's momentum and assisted in improving margins while growing new revenue streams, the company said. These have enabled the group to increase data revenue by 14.2 percent to 6.95 billion rand.
The group revealed that Nigeria is expected to introduce mobile money transfers using a partnership model, bringing the number of operations where mobile money is a feature to 13.
The group also said the shared-services IT hub in the South and East African region is now operational.
Going forward, the group said it is confident in the opportunities that exist within its footprint and in its ability to profitably maintain and grow its market share.
"Operations in countries affected by local political tensions continued to operate satisfactorily, with the group taking precautionary measures wherever necessary," the group said.