eTranzact International Plc’s profit after tax fell 19 percent to N1.22 billion in the six months ended June 30, 2026, from N1.51 billion in the corresponding period of 2025, as rising costs eroded gains from stronger revenue, the company’s unaudited half-year financial statements show.
Revenue grew 23 percent year-on-year to ₦16.28 billion from ₦13.28 billion, but the gains were quickly absorbed by a steeper rise in cost of sales, which climbed 39 percent to N9.50 billion from ₦6.84 billion. As a result, gross profit rose by just 5 percent to N6.78 billion, trailing well behind the pace of revenue growth.
Further down the income statement, administrative expenses rose 22 percent to ₦4.81 billion from N3.94 billion, dragging operating profit down 23 percent to N1.59 billion from N2.07 billion.
Investment income offered some cushion, rising 59 percent to N156.79 million from N98.78 million, but was not enough to offset the pressure on operating profit. Profit before tax fell 19 percent to N1.75 billion from N2.16 billion, in line with the decline in profit after tax.
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Total assets grew 54 percent year-on-year to ₦39.02 billion from N25.41 billion, driven largely by cash and cash equivalents, which more than doubled, up 90 percent to N23.69 billion from N12.5 billion.
However, total liabilities surged sharply, rising to reflect a jump in trade payables from N8.05 billion to N20.82 billion over the same period. Equity grew a more modest 6 percent, supported by an increase in retained earnings.
Cash generated from operating activities swung from a positive N1.14 billion in H1 2025 to a deficit of N6.86 billion in H1 2026, as payments to suppliers and employees rose to N21 billion, more than double the N10.47 billion paid out in the same period last year.
eTranzact currently trades at N14.50 on the Nigerian Stock Exchange and has a market cap of N133.40 billion.