Airtel Africa has revealed that Nigeria has become its second biggest market by revenue earned from each subscriber following improved telecom earnings driven by higher tariffs and increased data consumption. According to the company’s financial results for the year ended March 2026, average revenue per user, commonly known as ARPU, in Nigeria rose by 41.18 per cent, highlighting a major recovery in the country’s telecommunications sector after years of pressure caused by naira depreciation.
ARPU is a key performance indicator used by telecom operators to measure the amount generated from each subscriber, helping companies determine their ability to fund network expansion and operational costs. Airtel Africa said the recent improvement marks a reversal from previous years when the weakening naira significantly reduced dollar based earnings despite rising subscriber numbers. The company noted that the approval of a 50 per cent tariff increase in 2025 has helped restore profitability and improve investment capacity across the industry. Nigeria’s telecom sector has increasingly depended on stronger revenues to support broadband expansion, digital connectivity, and infrastructure upgrades.
The company disclosed that its Nigerian operation recorded a 52.92 per cent rise in revenue to $1.59 billion, while operating profit climbed by 78.62 per cent within the period under review. Capital expenditure in Nigeria also increased by 48.21 per cent, reflecting renewed investment in network infrastructure and technology deployment. Airtel Nigeria’s subscriber base reached 58.3 million users, with data services accounting for more than half of total revenue generated in the country. Industry analysts say the development underscores Nigeria’s growing importance in Africa’s digital economy as demand for internet services, streaming, fintech, remote work, and online education continues to rise.
Despite the strong growth in telecom services, Airtel Africa said its mobile money business in Nigeria remains relatively small compared to operations in East Africa and Francophone African countries. Nigeria contributed less than one per cent of the company’s $1.36 billion mobile money revenue, with only 2.7 million mobile money users compared to 40.9 million users in East Africa. The company, however, said it plans to expand the business through customer incentives, wider agent networks, and fixed savings interest rates aimed at attracting more users into digital financial services. Overall, Airtel Africa’s subscriber base across 14 countries grew to 183.5 million, while profit after tax surged by 147.87 per cent during the financial year.