Nigeria-based mobile banking and payments firm eTransact International Plc has seen its earnings after tax increase by 157% in the last year.
The company’s earnings after tax climbed to N1.17 billion (or 157.81%) in the fiscal year that concluded on December 31, 2022, from N455.74 million in 2012.
The company’s gross profit increased by N2.80 billion, or 102.54 percent, in 2022, reaching N5.68 billion. In the year under review, shareholder funds grew by N9.27 billion, or 284.30%, from N2.41 billion the previous year.
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Wole Abegunde, the company’s chairman, made the announcement during the 19th annual general meeting last Thursday in Lagos, calling 2022 “a significant year in the history of the company’s financial performance” owing to the increased emphasis on and availability of core switching services.
“This historic accomplishment is a direct result of the management’s relentless pursuit of quality and proof of the board’s and management’s dedication to maximising profits for stockholders. Abegunde, who was represented at the occasion by Afolabi Oladele, a non-executive director, stressed that the firm would not slack off on its performance and would look for additional commercial prospects to increase future financial performance.”
“We recognize the value of strategic partnerships and the possibilities they provide for our firm. We created new connections, strengthened and widened our current alliances, and investigated potential new avenues for cooperation between ourselves and our existing partners. We have optimism that our partnerships will increase productivity in the years to come.”
Electronic transactions value reached a record high
In his presentation of the company’s financial accounts, Managing Director Olaniyi Toluwalope revealed that eTranzact handled transactions worth more than N50 trillion in 2022, up significantly from the N39 trillion handled the year before. He claims that the increasing amount of transactions performed by switching services, particularly via its SwitchIT, is responsible for the company’s better financial performance and profitability. He additionally disclosed that the firm had N22.54 billion in total sales, N5.7 billion in gross profit, and N1.17 billion in net income.
The firm guaranteed a 99% success rate and uptime across all service offerings in 2022, the managing director stated. He said that this was accomplished by putting in place the necessary technology and expertise in order to ensure the availability of all channels at all times with very minimal or no downtime.
In keeping with the growth and development of the payments/electronic payments business in Nigeria, he pointed out that the overall volume and value of transactions completed had increased dramatically year over year. In 2022, the value of all electronic transactions reached a record high of N387 trillion, a level not seen in the preceding five years. The explosive expansion is predicated on the trend of more and more