Mdundo’s monthly active users reach 36 million

The report also shows that the company’s monthly active users (MAUs) reached a new milestone of 36 million in June 2024.

Below is a summary of Mdundo’s Annual Report and Consolidated Financial Statement 2023-2024.

• EBITDA improvement and reduced cash burn by 36%.
• Exceeding user growth, reaching 36 million in June 2024.
• Six per cent lower revenue as a result of weak African currencies and poor advertising performance.
• Premium offering: Subscription revenue grew 68% from DKK4.4m ($647 255) to DKK7.4m.
• Advertising offering: Advertising revenue dropped by 45% to DKK4.5m, with key campaigns by pan-African brands running on the platform.
• Cash: DKK11m in the bank, which corresponds to 31% of the total net proceeds from the listing on Nasdaq First North in 2020 of DKK36m.

Guidance for FY 2024-25:

• User growth anticipated: Projecting an increase in monthly active users to 40 million in June 2025.
• Revenue growth: Aiming for DKK 15-17m, reflecting a growth from DKK 11.9m in 2023-24.
• EBITDA improvement: Targeting DKK -4 to -5 million, showcasing an improvement of DKK 1.4-2.4m year-on-year.

At the same time, the Nasdaq Copenhagen-listed, Nairobi-based company is projecting a royalties payout of between $1.1m and $1.3m in 2025, maintaining the $1m milestone it first reached in 2022.

This, the music platform says, is largely attributed to its decision to prioritise hyperlocal markets to enhance the reach and impact of both its artists and advertisers, focusing on tailored content in key regions across the continent.

“This underscores our commitment to ensuring that artists are compensated fairly and that their creative output leads to tangible financial success,” Mdundo said. “By focusing on hyperlocal markets, Mdundo is tapping into regions often underserved by larger global platforms, creating growth opportunities for both artists and advertisers.”

Mdundo added that the approach has led to growth in the development and consumption of specific content in different regions, such as Kalenjin and Kamba music in Kenya, singeli music in Tanzania, and Hausa music in Nigeria. This strategy not only enhances the platform’s appeal to localised audiences but also significantly boosts the visibility and income potential for artists creating within these niches.

Mdundo added: “This shift towards hyperlocal markets aligns with Mdundo’s goal of strengthening connections with African audiences while offering artists new pathways to reach listeners and generate income. By localising content, Mdundo adds incremental value to its advertising clients, who benefit from targeted reach, and to artists, who gain increased exposure in their communities.”

Since its inception, Mdundo has paid royalties to over 156 000 artists, with each payout cycle seeing growth in the number of beneficiaries.

At the same time, partnerships with global and regional powerhouses like Africori, Mavin, Universal Music Group, Warner Music, Slide Digital, and Content Connect Africa have enabled Mdundo to maintain a diverse and highly sought-after music catalogue. These collaborations ensure that both well-established and emerging artists can monetise their work effectively. 

Mdundo CEO Martin Nielsen said the company’s mission is to offer a sustainable platform for African artists. “Our commitment is to deliver consistent and meaningful earnings, helping individual artists grow while fostering the broader development of Africa’s music industry,” he said.

“This strategy, combined with robust distribution, a user-friendly platform, and innovative marketing tools, solidifies Mdundo’s role as a key driver of financial empowerment in Africa’s music ecosystem. As the company continues to expand, it promises even greater support for artists looking to monetise their work and reach new audiences.”