By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-MTN Group Ltd on Thursday increased its projected customers target to 17.5 million from 17.25 million subscriber guidance it set out to achieve this year; Bloomberg quoted the telecoms firm in a statement.

The report says there is growth in the company’s domestic South African market which has helped offset contraction in Nigeria as its largest market.

“The company will add 17.5 million net subscribers this year, compared with previous guidance of 17.25 million,” the MTN Group said.

According to the report, the telecoms company’s customer base grew two (2) percent to 219 million in the three (3) months through September.

Sifiso Dabengwa, chief executive officer (CEO) of the company said performance was impacted by continued aggressive competition and stringent regulatory requirements.

The report affirmed that regulatory restrictions relating to a dominant-operator ruling led to a “marginal decline” in the subscriber base in Nigeria which will affect second-half revenue growth.

“The South African operation delivered an improved performance in the prepaid segment supported by competitive offers while the Nigerian operation faced a challenging regulatory environment resulting in lower-than-expected growth,” Dabengwa.

The report further affirmed that the MTN Group is seeking acquisitions and has overhauled its seniour management in its fastest-growing markets. Also, the carrier seeks to increase smartphone penetration and boost data revenue outside South Africa, where sales have been under pressure from competitors and regulators.

MTN says its South Africa subscriber base increased 5.7 percent to 26.7 million and data sales have increased 34 percent this year.

The company is the biggest operator in Nigeria with 58.4 million customers.

MTN has gained 11 percent this year, compared with 3.3 percent increase on the FTSE/JSE Africa All Share Index.