When Uganda’s two telecom giants released their half-year numbers to June 2025, the story was not just about profits and dividends, but about how differently each is growing – and what that says about their business models.
Topline Growth
MTN posted 13.3% revenue growth to UGX 1.7 trillion, fuelled by a 31.3% surge in data and 18.6% growth in fintech revenues. Airtel actually outpaced MTN in percentage terms, with 17.9% growth in overall revenue to UGX 1.48 trillion【image】. However, MTN’s bigger base and diversification make its growth more sustainable.
Efficiency in Execution
The efficiency gap shows up in the EBITDA line. MTN expanded its margin to 53.7%, compared to Airtel’s 39.7%. That’s a clear sign of stronger cost discipline and better network economics for MTN. Airtel is still delivering, with UGX 590 billion in EBITDA, but its business runs heavier.
Bottom Line Strength
Airtel’s profit after tax came in at UGX 197.4 billion, while MTN reported UGX 267.0 billion. Once you adjust for MTN’s one-off tax settlement, profits rise to UGX 377.9 billion, making Airtel look modest by comparison.
Returns on Equity (ROE)
Airtel’s lean balance sheet magnifies its profits, giving it an extraordinary ROE of 117%, compared to MTN’s 42% (which itself is still robust). Investors should note, though, that Airtel’s high return comes with higher leverage and thinner equity buffers.
Returns on Invested Capital (ROIC)
Airtel also edges MTN on ROIC, at 26% versus 20%. Again, this is more structural than operational. Airtel’s smaller balance sheet makes its capital sweat harder. MTN’s heavier investments in fibre, towers, and spectrum weigh on ROIC now, but they underpin future dominance.
Comparative Table – H1 2025
| Metric (H1 2025) | Airtel Uganda | MTN Uganda |
|---|---|---|
| Revenue (UGX) | 1.48 trillion | 1.72 trillion |
| Revenue Growth | +17.9% | +13.3% |
| EBITDA (UGX) | 589.6 billion | 924.2 billion |
| EBITDA Margin | 39.7% | 53.7% |
| PAT (UGX) | 197.4 billion | 267.0 billion (377.9b adj.) |
| PAT Margin | 13.3% | 15.5% (21.9% adj.) |
| ROE | 117% | 42% |
| ROIC | 26% | 20% |
The Investor’s Lens
If you’re looking for efficiency and scale, MTN is ahead: stronger EBITDA margins, more diversified growth engines, and a larger profit base. But if you want spectacular returns on capital, Airtel dazzles with triple-digit ROE and higher ROIC, though on a thinner, riskier base.
In the end, the numbers tell two stories: MTN is the heavyweight building steady muscle, while Airtel is the nimble sprinter – lean, fast, and highly geared.
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