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Annual Report : MTN Cameroon   Next : MTN Uganda
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Review of operations - Contents

MTN Cameroon


  Cameroon financial results

1 037
1 218

  Market information

  Population (million)
  Mobile penetration (%)
  Mobile market share (%)
  Number of mobile operators

  Operational information

  Prepaid/postpaid mix (%)

  Note: Financial data reflects 100% of the operation
Total subscribers

MTN Cameroon


Celebrating its fifth anniversary, MTN Cameroon performed ahead of target in most key areas. The company operates in a predominantly French-speaking market with a population of approximately 16,9 million and mobile penetration estimated at 14,8% in December 2005.

MTN Cameroon recorded 329 000 net connections for the period, passing the one million milestone to achieve 1,25 million subscribers, and maintaining its market share at 54% despite intense competition. As expected, ARPU declined to USD16 during the period, due to higher penetration rates and the addition of low-usage subscribers, as well as the change in subscriber definitions.


MTN Cameroon has six non-executive board members. During the period, several policies were refined including procurement, conflicts of interest, fraud prevention and disciplinary procedures.

A commercial legal services department has been established to entrench the culture and practice of compliance with local regulations, and provide quality advisory services to the company.

Campbell Utton was appointed CEO in May 2005.


During the last quarter of the review period the sharp increase in subscriber numbers and peak-hour traffic, coupled with rapid technological development, resulted in pressure on the network. To alleviate this, MTN Cameroon invested USD29 million in infrastructure development, upgrading its network and expanding the number of base transceiver stations to 284. Population coverage was increased from 73% to 78%.

Further upgrades will be undertaken in 2006 to maintain the company’s infrastructure and technology advantage.


MTN Cameroon continues to enjoy strong brand awareness and affinity in the marketplace. A considerable investment in the new payoff line Everywhere You Go and successful participation in the 2005 Yaounde Trade Fair and MTN Africa Cup of Nations 2006 reinforced this brand strength.

During 2005, MTN Cameroon was awarded Best Telecommunications Company, Best Product Innovation for Me2U, Best Sports Sponsorship and Best Corporate Citizen in Cameroon.

Competition in the two-player market remains fierce.


During the period, MTN Cameroon launched Payback, a product to prolong the tenure of high-end prepaid users which has been well received. The Me2U product, a value-added service to transfer airtime to other parties, has succeeded in stimulating usage.


In line with the rapid increase in electronic distribution during the period, MTN Cameroon is streamlining its distribution channel while improving incentive plans for major distributors.

In December 2005, MTN Cameroon introduced the electronic voucher distribution concept, capturing 8% of distribution activity in that month. Coupled with Me2U, around 60% of all distribution for MTN Cameroon is electronic.

Mobile penetration
MTN Cameroon complies fully with its licence obligations. The company has applied for an internet service provider licence following its acquisition of a local operator, Globalnet.


MTN Cameroon spent CFA20 billion during the period on local procurement, across a broad spectrum of businesses including advertising and promotional materials, media, furniture, maintenance services, stationery, computer equipment, fuel and oil.


As part of its drive to be the employer of choice, MTN Cameroon is strengthening its management structures and recruiting and developing staff to retain people with the qualities, knowledge and skills it requires. The company ended the period with 468 full-time employees.

Among the numerous functional training programmes conducted during the period, the company focused on leadership and managerial Blended ARPUtraining programmes aimed at enhancing internal capabilities. Six programmes were carried out for senior and middle management ranging from business strategy and project management to change management facilitation.

Over 340 employees were involved in these programmes, averaging about 23 hours per employee over the period. In total, USD454 000 was spent on training and development.

MTN Cameroon’s internal HIV/AIDS programme is based on four areas: awareness/prevention, training, treatment, and protecting the rights of people living with HIV/AIDS. During the period, the company conducted a far-reaching awareness campaign, as well as identifying and training peer educators.


MTN Cameroon has seven service centres in the main cities and two call centres to accommodate a growing customer base. The call centres employ 91 agents to manage a range of customer queries.

Cumulative capital expenditure
MTN Cameroon’s social investments are aimed at ensuring social recovery, knowledge transfer and socio-economic development.

Focus areas include health and HIV/AIDS, community development, environment and education.