eTranzact International Plc has revealed its fiscal year-end December 31, 2024, financial results, which show a significant rise in profitability in spite of an 11.82 percent decline in total revenue. Compared to N3.1 billion the year before, the company’s pre-tax profit of N4.8 billion represented a 53.20 percent increase. This impressive performance was fuelled by cost control and operational efficiency, which countered a decline in overall revenue.
After reaching N33.9 billion in 2023, the company’s full-year revenue dropped 11.82 percent year over year (YoY) to N29.8 billion in 2024. The main cause of the revenue contraction was the decline in mobile airtime sales, which went from N24.8 billion to N16.8 billion. Profits from core business operations increased dramatically in spite of this setback, rising to N4.6 billion from N3.1 billion the previous year.
Other revenue streams
Other sources of income were comparatively stable, bringing in N13 billion from commissions, N25.3 million from remittance-related income, and N17.9 million from maintenance and support services.
An important factor in the company’s increased profit margins was a notable decrease in the cost of sales. Due mostly to lower mobile airtime purchase costs (which were N16.6 billion in 2023), the cost of sales decreased by 27.55 percent to N18.5 billion from N25.5 billion.
Despite a 36.52 percent increase in gross profit to N11.3 billion, the company’s expenses increased. Increased branding and promotional activities caused selling and marketing expenses to skyrocket by 58.06 percent to N424 million. Rising personnel and operating costs were the main drivers of the 29.06 percent increase in administrative expenses, which reached N6.3 billion.
Bank deposits
Bank deposits accounted for the majority of the impressive growth in interest income, which increased by 158.26 percent to N242.9 million. Foreign exchange gains drove a 31.40 percent increase in other income, which came to N10.9 million. The company’s overall financial situation was strengthened by these new revenue streams.
From N0.24 in 2023 to N0.37 in 2024, earnings per share (EPS) increased significantly, indicating a 54.17 percent increase in returns for shareholders. Additionally, eTranzact announced that, subject to applicable tax and regulatory guidelines, shareholders registered as of July 7, 2025, would receive a final dividend of 12.5 kobo per 50 kobo share.
Total assets fell 14.91 percent to N24 billion from N28.2 billion the year before, despite high profitability. Lower cash reserves and short-term deposits had a major impact on the decline in current assets, which went from N26 billion to N20.8 billion.
Non-current assets increased from N2.1 billion to N3.1 billion
Conversely, the amount of non-current assets increased from N2.1 billion to N3.1 billion. Higher investments in property, plant, and equipment—which made up N2.5 billion of all non-current assets—were the main cause of this growth.
The total equity increased from N11.4 billion in 2023 to N14.8 billion, a 29.56 percent increase. A strong N7.3 billion share premium and a recovery in retained earnings, which went from a negative balance of N496.6 million to a positive N2.8 billion, were the main drivers of this increase.
In 2024, eTranzact International Plc showed tenacity by reaching record profitability in spite of revenue difficulties. The main drivers of financial growth were increased non-operational income, solid core business performance, and strategic cost-cutting. With a declared dividend and an improved equity position, the business is still in a strong position to grow sustainably over the next several years.
