eTRANZACT INTERNATIONAL PLC UNAUDITED FINANCIAL STATEMENTS FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
eTRANZACT INTERNATIONAL PLC
STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
Unaudited 31/03/2025 | Unaudited 31/03/2024 | |
N'000 | N'000 | |
Continuing operations | ||
Revenue | 6,533,042 | 7,045,872 |
Cost of sales | (3,402,074) | (5,057,979) |
Gross profit | 3,130,969 | 1,987,892 |
Selling and Marketing costs | (119,068) | (63,579) |
Administrative expenses | (1,869,382) | (1,218,250) |
Operating profit | 1,142,520 | 706,063 |
Other Income | - | - |
Finance Cost | (5,637) | (5,436) |
Investment income | 49,256 | 53,866 |
Profit before tax | 1,186,138 | 754,493 |
Taxation | (355,841) | (226,348) |
Profit for the period | 830,297 | 528,145 |
There is no other comprehensive income for the period, hence the profit for the period is equal to the total comprehensive income.
eTRANZACT INTERNATIONAL PLC
STATEMENT OF FINANCIAL POSITION AS AT 31ST MARCH 2025
Unaudited | Audited | ||
31/03/2025 | 31/12/2024 | ||
Note | N'000 | N'000 | |
Non-current assets | |||
Property, plant and equipment | 1 | 2,698,889 | 2,528,374 |
Investment property | 2 | 136,810 | 136,810 |
Intangible assets | 3 | 21,041 | 25,236 |
Deposit for shares | 456,755 | 456,755 | |
Total non-current assets | 3,313,495 | 3,147,175 | |
Current assets | |||
Inventories | 6 | 2,156,352 | 2,205,911 |
Trade and other receivables | 7 | 605,071 | 555,192 |
Other assets | 5 | 5,820,254 | 5,439,871 |
Cash and cash equivalents | 8 | 14,781,795 | 12,652,482 |
Total current assets | 23,363,473 | 20,853,456 | |
Total assets | 26,676,967 | 24,000,632 | |
Non-Current liabilities | |||
Deferred Grant Income | 10 | 56,246 | 56,246 |
Long term Loan | 10 | 193,009 | 210,866 |
249,255 | 267,112 | ||
Current liabilities | |||
Trade and other payables | 9 | 8,768,386 | 7,260,331 |
Current tax liabilities | 11 | 1,958,081 | 1,602,241 |
Total current liabilities | 10,726,467 | 8,862,572 | |
Total liabilities | 10,975,721 | 9,129,683 | |
Equity Share capital | 12 | 4,600,000 | 4,600,000 |
Share premium account | 13 | 7,374,272 | 7,374,272 |
Retained earnings | 14 | 3,726,974 | 2,896,677 |
Total equity attributable to owners of the company | 15,701,247 | 14,870,949 | |
Total equity and Liabilities | 26,676,967 | 24,000,632 | |
The financial statements was approved by the Board of Directors on April 28, 2025 and signed on its behalf by:
………………………… ……………………………..
Mr Niyi Toluwalope Mr Emmanuel Ogunji
Chief Executive Officer Chief Financial Officer FRC/2013/PRO/ICAN/002/00000002251 FRC/2014/PRO/ICAN/001/00000007266
eTRANZACT INTERNATIONAL PLC | |||||
STATEMENT OF CHANGES IN EQUITY | |||||
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025 | |||||
Share | Convertible | Retained | |||
Share capital | premium | Debenture | earnings | Total | |
N'000 | N'000 | N'000 | N'000 | N'000 | |
Balance at 1 January 2024 | 4,600,000 | 7,374,272 | - | (496,654) | 11,477,618 |
Profit for the year | - | - | - | 3,393,332 | 3,393,332 |
Other comprehensive income | - | - | - | - | - |
Total comprehensive income | - | - | - | 3,393,332 | 3,393,332 |
Balance at 31 December 2024 | 4,600,000 | 7,374,272 | - | 2,896,677 | 14,870,949 |
Balance at 1 January 2025 | 4,600,000 | 7,374,272 | - | 2,896,677 | 14,870,949 |
Profit for the period | - | - | - | 830,297 | 830,297 |
Other comprehensive income for the period | - | - | - | - | - |
Total comprehensive income | - | - | - | 830,297 | 830,297 |
Balance at 31 March 2025 | 4,600,000 | 7,374,272 | - | 3,726,974 | 15,701,246 |
CASHFLOW STATEMENT FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
Cashflow from operating activities | Note | 31/03/2025 N'000 | 31/12/2024 N'000 | |
Cash receipt from customers | 6,652,902 | 29,420,021 | ||
Cash paid to suppliers and employees | (4,129,385) | (33,883,596) | ||
Cash generated from operations | 2,523,516 | (4,463,575) | ||
Income taxes paid | 11 | - | (1,014,836) | |
Net cash used in operating activities | 2,523,516 | (5,478,411) | ||
Cashflow from investing activities | ||||
Purchase of property, plant and equipment | 1 | (414,328) | (1,703,498) | |
Additions to intangible assets Interest received and similar income | 3 | - 49,256 | - 242,920 | |
Interest on Loan | (5,637) | (18,778) | ||
Proceeds from sale of Investment Property | - | - | ||
Proceeds from sale of Property, plant and equipment | - | - | ||
Net cash used in investing activities | (370,709) | (1,479,356) | ||
Cashflow from financing activities | ||||
Repayment of Loan Principal | (17,857) | (71,429) | ||
Repayment of Interest on Loan | (5,637) | (26,558) | ||
Loan obtained | 10 | - | - | |
Net cash generated by financing activities | (23,494) | (97,987) | ||
Net increase in cash and cash equivalents | 2,129,313 | (7,055,754) | ||
Effects of exchange rate on year end bank balances | - | 10,969 | ||
Cash and cash equivalents at beginning of year | 12,652,482 | 19,697,267 | ||
Cash and cash equivalents at end of the period | 8 | 14,781,795 | 12,652,482 |
eTRANZACT INTERNATIONAL PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
1.0 Property, plant and equipment
Motor Vehicle | Plant & machinery | Furnitures, Fittings and Equipment | Computer Equipment & POS | Work In Progress | TOTAL |
N000 | N000 | N000 | N000 | N000 | N000 |
Cost or Valuation As at January 1, 2025 | 1,380,212 | 56,463 | 1,642,984 | 1,158,976 | - | 4,238,636 | ||
Additions | - | - | 218,038 | 196,290 | - | 414,328 | ||
Reclassifications | - | - | - | - | - | - | ||
Disposals | - | - | - | - | - | - | ||
As at 31 March, 2025 | 1,380,212 | 56,463 | 1,861,022 | 1,355,266 | - | 4,652,963 | ||
Accumulated depreciation and impairment | ||||||||
As at 1 January | 602,211 | 48,339 | 727,203 | 332,508 | - | 1,710,262 | ||
Adjustments Charge for the period | 59,823 | 818 | 83,627 | 99,545 | 243,814 | |||
Disposals | - | - | - | - | - | |||
As at 31 March, 2025 | 662,033 | 49,157 | 810,830 | 432,052 | - | 1,954,076 | ||
Carrying amount | ||||||||
As at January 1, 2025 | 778,002 | 8,124 | 915,781 | 826,469 | - | 2,528,374 | ||
As at 31 March, 2025 | 718,179 | 7,306 | 1,050,192 | 923,214 | - | 2,698,889 | ||
1.1 | Impairment losses recognised in the Period |
There were no impairment losses recognized during the period.
1.2 Contractual commitments
At March 31, 2025 the company had no contractual commitments for the acquisition of property, plant and equipment
eTRANZACT INTERNATIONAL PLCNOTES TO THE FINANCIAL STATEMENTS
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
2 Investment property
Cost Land | 31/03/2025 N'000 136,810 | 31/12/2024 N'000 136,810 |
31/03/2025 N'000 | 31/12/2024 N'000 | |
Balance at the beginning of the year | 136,810 | 136,810 |
Disposal | - | - |
Impairment loss | - | - |
Balance at the period end 136,810 136,810
The company's investment property is held under freehold interests.
Investment property is recognized at cost in the books and subsequently tested for impairments.
As at March 31, 2025 the fair value of the investment property has been estimated as N566.5m (2024: N566.5m). The fair value has been determined by the management of the company by reference to market evidence of transaction prices for similar properties in comparable areas.
eTRANZACT INTERNATIONAL PLCNOTES TO THE FINANCIAL STATEMENTS
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
3.0 Intangible assets
This represents the cost incurred in acquiring e-portal and other technologies which form the basis of the Company's e-payment Technology solutions.
eTranzact enterprise platform N'000 | eRemit platform N'000 | Other Softwares N'000 | TOTAL N'000 |
Cost At 1 January 2025 | 293,510 | 105,858 | 54,659 | 454,027 |
Additions | - | - | - | - |
Reclassification | - | - | - | - |
Disposals | - | - | - | - |
As at 31 March, 2025 | 293,510 | 105,858 | 54,659 | 454,027 |
Amortisation | ||||
At 1 January 2025 Adjustments | 289,345 | 84,989 | 54,459 | 428,791 - |
Charge for the year | 2,935 | 1,059 | 202 | 4,195 |
Disposals | - | - | - | - |
As at 31 March, 2025 | 292,280 | 86,047 | 54,661 | 432,987 |
Carrying amount At 1 January 2025 | 4,165 | 20,869 | 201 | 25,236 |
As at 31 March, 2025 | 1,230 | 19,811 | 0 | 21,041 |
3.1 Significant intangible assets |
In line with the IFRS reporting and disclosure standards, management has reviewed in detail the intangible assets and is of the opinion that the useful life of the Enterprise software platform and eRemit platform should be 25 years from its original implementation and this has been adjusted accordingly from the year 2012. The carrying amounts of eTranzact enterprise softwares will be fully amortised in 18 years from 2012, the eRemit platform carrying amount will be fully amortised in 22 years and 4 months.
eTRANZACT INTERNATIONAL PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025
4.0 Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon during the current and prior reporting period.
31/03/2025 31/12/2024
N'000 N'000
At 1 January - -
Charged to profit or loss - -
Charged to other comprehensive income - -
Charged directly to equity - -
Reclassification from equity to profit or loss - -
Acquisitions/disposals - -
Others (describe) - -
As at 31 March, 2025 - -
31/03/2025 N'000 | 31/12/2024 N'000 | |||
Deferred tax assets Deferred tax liabilities | - - | - - | ||
- | - | |||
5.0 | Other assets | |||
31/03/2025 | 31/12/2024 | |||
N'000 | N'000 | |||
Prepayments | 854,811 | 544,877 | ||
Advance payments | 4,965,443 | 4,894,993 | ||
Other assets (Note 5.1) | 84,259 | 84,259 | ||
5,904,513 | 5,524,130 | |||
Allowance for other assets | (84,259) | (84,259) | ||
5,820,254 | 5,439,871 |
5.1 Other assets
Other assets balance represents amounts recoverable from the banks on unauthorized withdrawals on the reloadable customers float account in various banks, which were initially refunded by etranzact pending the outcome of investigations into the cases.
eTRANZACT INTERNATIONAL PLC | |||
NOTES TO THE FINANCIAL STATEMENTS | |||
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025 | |||
6.0 Inventories | |||
31/03/2025 | 31/12/2024 | ||
N'000 | N'000 | ||
Airtime Pins Utility Stock Point of Sales (POS) EMV - (Note 6.1) Bulk SMS | 2,156,352 - - - - | 2,205,911 - - - - | |
Provision for obsolete spares and slow moving stock | 2,156,352 - | 2,205,911 - | |
2,156,352 | 2,205,911 | ||
6.1 EMV Cards | |||
N'000 | N'000 | ||
EMV in Store Stocks in transit | - - | - - | |
- | - | ||
7.0 Trade and other receivables | |||
31/03/2025 | 31/12/2024 | ||
N'000 | N'000 | ||
Trade receivables | 437,884 | 557,744 | |
Allowance for doubtful debts | (360,699) | (360,699) | |
Other receivables | 77,186 | 197,045 | |
Staff debtors (Note 7.1) | 218,951 | 104,763 | |
Other debtors | 308,933 | 253,383 | |
605,071 | 555,192 | ||
The directors consider that the carrying amount of trade and other receivables is approximately equal to their fair value.
7.1 Staff debtors | 31/03/2025 N'000 | 31/12/2024 N'000 | |
Staff debtors | 268,093 | 153,905 | |
Allowance for staff debtors | (49,142) | (49,142) | |
218,951 | 104,763 | ||
8 Cash and Bank | |||
31/03/2025 | 31/12/2024 | ||
N'000 | N'000 | ||
Cash and bank balances | 3,641,804 | 3,445,378 | |
Restricted Cash | 8,711,725 | 6,823,167 | |
Short term investments | 2,428,266 | 2,383,936 | |
14,781,795 | 12,652,482 |
eTRANZACT INTERNATIONAL PLC | |||
NOTES TO THE FINANCIAL STATEMENTS | |||
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025 | |||
9 | Trade and other payables | ||
31/03/2025 | 31/12/2024 | ||
N'000 | N'000 | ||
Trade payable Other payables: | 129,803 | 205,078 | |
Accruals and Deferred Income | 585,087 | 534,990 | |
Pension contribution (Note 9.2) | 79,174 | 97,622 | |
Funds held for Pocketmoni and Access Bank Card Scheme | 861,122 | 2,071,349 | |
Other Statutory Payables | 967,904 | 893,528 | |
Other Payables | 2,246,624 | 223,348 | |
Fund held in settlement & holding accounts | 3,784,723 | 3,086,422 | |
Other creditors | 113,952 | 147,996 | |
8,768,386 | 7,260,331 | ||
9.1 Trade creditors and other payables principally comprise amounts outstanding for trade purchases and ongoing costs. The average credit period taken for trade purchases is 6 days. The company has financial risk management policies in place as well as efficient and effective treasury management policies to ensure that all payables are paid within the pre-agreed credit terms.
Included in other statutory payables for the period is an amount which represents VAT payable. This amounts are witheld from proceeds from sales to third parties and commissions earned on switching transactions perfromed on the platform.
The directors consider that the carrying amount of trade and other payables approximates to their fair value.
9.2 Pension Contribution | 31/03/2025 N'000 | 31/12/2024 N'000 | |
At 1 January | 97,622 | 59,113 | |
Provisions | 79,844 | 277,740 | |
Payment | (98,293) | (239,230) | |
79,174 | 97,622 | ||
10 Long Term Loan | 31/03/2025 | 31/12/2024 | |
N'000 | N'000 | ||
Openng Balance | 210,866 | 272,977 | |
Additions | - | - | |
Deferred Income on Grant | - | - | |
Principal Repayment | (17,857) | (71,429) | |
Interest Repayment Modification Gain Accrued Interest | (5,637) -5,637 | (26,558) -35,876 | |
193,009 | 210,866 | ||
Deferred Income on Grant | |||
Opening Balance Accrued during the period Recognised during the period | 56,246 - - | 73,344 -(17,098) | |
56,246 | 56,246 | ||
Total Loan Balance with Accrued Interest | 249,255 | 267,112 |
The loan of N500 million represents the first tranche of N150 million, the second tranche of N250 million and the third tranche of N100 million under the CBN's Shared Agent Network Expansion Facility. The loan is to fund the expansion of Shared Agent Networks across Nigeria in order to deepen financial inclusion in Nigeria. The loan was fair valued using the effective interest rate and a deferred grant income was recognised as a result of the actual interest rate on the loan being lower than the effective interest rate.
The loan has a tenor of 10 years (inclusive of 2 years principal moratorium and 1 year interest moratorium). The Company did not pledge any of its assets in securing the loan.
eTRANZACT INTERNATIONAL PLC | |||
NOTES TO THE FINANCIAL STATEMENTS | |||
FOR THE FIRST QUARTER ENDED 31ST MARCH 2025 | |||
11 Current tax liabilities | |||
31/03/2025 | 31/12/2024 | ||
N'000 | N'000 | ||
At 1 January | 1,602,241 | 1,113,347 | |
Charged for the period | 355,841 | 1,503,730 | |
Payments during the year | - | (1,014,836) | |
1,958,081 | 1,602,241 | ||
12 Share capital | |||
31/03/2025 | 31/12/2024 | ||
Issued and fully paid: | N'000 | N'000 | |
9,199,999,816 ordinary shares of 50k each | 4,600,000 | 4,600,000 | |
The Company has one class of ordinary shares which carry no right to fixed income. | |||
13 Share premium | |||
31/03/2025 | 31/12/2024 | ||
At 1 January | N'000 7,374,272 | N'000 7,374,272 | |
Premium arising on issue of shares | - | - | |
Expenses incurred on issue of shares | - | - | |
As at 31 March, 2025 | 7,374,272 | 7,374,272 | |
14 Retained earnings | |||
31/03/2025 | 31/12/2024 | ||
At 1 January | N'000 2,896,677 | N'000 (496,654) | |
Profit attributable to owners of the company | 830,297 | 3,393,332 | |
As at 31 March, 2025 | 3,726,974 | 2,896,677 |
15 Statement of Compliance with Securities Trading Policy
In line with the provisions of Rule 17.2 of the Amendment to the Listing Rules and 17.17 of the Rule Book of the Nigerian Exchange Limited which have been incorporated into Sections 4 to 6 of the Company's Securities Trading Policy, No Director, Person discharging managerial responsibility, Adviser(s) of the Company or their connected person was involved in the trading in the Company's shares from April 1, 2025 until 24 hours after the release of the Company's Financial Statements for the period ended March 31, 2025 to the Nigerian Exchange Limited and the general public.