In a trading update, the group said its MTN SA’s service revenue growth slowed in the fourth quarter of 2022, blaming power outages and a challenging macroeconomic environment.

The blended inflation rate in MTN’s operating markets stood at 17.2% in November 2022, up 1.8% from September.

Revenue growth for the year slowed down to 3.2% for the 11 months to November, down from the 3.5% growth for the first nine months of the year.

"Overall group earnings before interest, tax, depreciation and amortisation (EBITDA) margin for the period was slightly lower when compared to the level reported for the September 2022 period, due largely to expected pressure in MTN SA," the group said. MTN's share price fell by 7% to R123.79 on Friday, down almost 30% this year.

The company noted that there were 47 days of load shedding in October and November alone, compared to 53 days which were affected in the whole of the third quarter. The group had to increase spending on preventing vandalism at network sites.

MTN says it will focus on implementing the latest phase of its network resilience plan, which entails acquiring additional batteries, generators and enhanced security at sites.

"The situation with Eskom is challenging and also unpredictable," said Mupita. MTN SA intends to complete the upgrade of sites without backup power by the end of the first quarter in 2023.

The MTN group is heavily reliant on their South African and Nigerian divisions, with almost 60% of group revenue in 2021 attributable to operations in these countries.

The Nigerian division of the business is performing well, said Mupita. MTN Nigeria grew its service revenue by more than 21% in the 11 months to November.

On Thursday the group also reported progress with its "orderly exit" from the Middle East, with $35 million having been offered for MTN Afghanistan.

The group expects these developments to be finalised by the end of the first quarter in 2023.

Mupita confirmed that there were no new updates about MTN's intentions with Telkom. Talks of a takeover by MTN stalled earlier this year owing to a lack of "exclusivity" in the deal.