Legend Internet PlcNSENG: LEGENDINT

Year end - financial statement for 2025

Aug 26, 2025 at 8:08 AM UTC · MarketScreener

LEGEND INTERNET PLC

UNAUDITED MANAGEMENT REPORT

FOR THE YEAR ENDED 31, JULY 2025

Management financial statements For the year ended 31 July 2025

Table of Contents

Corporate information i

Results at a glance ii

Statement of financial position 1

Statement of profit or loss and other comprehensive income 2

Statement of Changes in Equity 3

Statement of cashflow 4

Notes to the accounts 5-16

Statement of value added 17

Management financial statements For the year ended 31 July 2025

CORPORATE INFORMATION RC NUMBER: 1829214 DIRECTORS AND PROFESSIONAL ADVISERS DIRECTORS 1. Mr. Bruce Brai Ayonote Non-Executive Director

Mr. Suleiman Muhammad Arzika Non-Executive Director
Ms. Aisha Abdulaziz Executive Director/CEO
Mr. Ebhohimhen Ehianeta Mondritz Non-Executive Director
Mr. Arogbo Ayodele Olubunmi Non-Executive Director
Dr. Bada Oladimeji Mobolaji Independent Director
Mr. Shema Mohammed Yamani Independent Director
Ms. Umunnakwe-Okeke Ifeyinwa Independent Director

REGISTERED OFFICE 15, Bangui Street,

Off Adetokunbo Ademola Crescent, Wuse II,

Abuja, FCT, Nigeria.

BUSINESS OFFICE 15, Bangui Street,

Off Adetokunbo Ademola Crescent, Wuse II,

Abuja, FCT, Nigeria.

BANKERS Taj Bank

SunTrust Bank FCMB

RESULTS AT A GLANCE	Unaudited	Audited
	31-Jul-2025 ₦'000	31-Jul-2024 ₦'000
Revenue	1,191,077	1,138,433
Earnings before tax but after interest	172,661	285,018
Earnings after tax and interest	172,661	119,467
Retained earnings	734,568	660,367
Share capital	1,000,000	1,000,000
Shareholders' funds	2,873,129	2,798,927
Per share data
Basic earnings/(loss) per share (in kobos)	9	6
Price per share (in kobos)	144	140

STATEMENT OF FINANCIAL POSITION
	Notes	Unaudited 31-Jul-2025	Audited 31-Jul-2024
		₦'000	₦'000
ASSETS
Non-current assets
Property, plant and equipment	1	2,595,924	2,722,827
Rights-of-use	1.4	-	331
Intangible asset	1.5	17,073	15,462
Total non-current assets		2,612,998	2,738,619
Current assets
Inventory	2	74,379	18,000
Trade receivables	3.1	367,149	4,769
Other receivables	3.2	262,422	261,617
Cash and cash equivalents	4	21,024	2,512
Total current assets		724,973	286,897

Total assets		3,337,970	3,025,516
EQUITY AND LIABILITIES
Capital and reserves
Share capital	5	1,000,000	1,000,000
Deposit for shares		1,138,561	1,138,561
Retained earnings	6	734,568	561,907
Total equity		2,873,129	2,700,467
Current liabilities
Trade payables	8	18,952	8,926
Other payables	9	172,892	73,059
Loan	7	165,438	16,674
Provisions for tax	10	9,101	127,930
Deferred tax liabilities		98,460	98,460
Total current liabilities		464,842	325,049

Total liabilities		464,842	325,049

Total equity and liabilities		3,337,970	3,025,516

Bada Oladimeji Mobolaji

Non-Executive Director

Aisha Abdulaziz

Executive Director/CEO

FRC/2014/IODN/00000006009 FRC/2025/PRO/DIR/003/111246

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

	Notes	Unaudited 31-Jul-2025	Audited 31-Jul-2024
		₦'000	₦'000
Revenue	11	1,191,077	1,138,433
Cost of sales	12	(429,648)	(461,011)
Gross profit		761,429	677,421
Administrative expenses	13	(560,184)	(367,607)
Operating profit before tax & interest		201,244	309,815
Interest income		-	35
Finance cost		(28,583)	(24,831)
Operating profit before tax but after
interest		172,661	285,018
Income tax (expense)/credit	10.1	-	(165,552)
Profit/(loss) for the year		172,661	119,467
Other comprehensive income
Actuarial gains/losses on defined benefit scheme Available for sale financial asset surplus/deficit		- -	- -
		-	-
Profit/(Loss) for the year & other
comprehensive income		172,661	119,467

STATEMENT OF CHANGES IN EQUITY

	Issued share capital	Deposit for shares	Retained Earnings	Total Equity
	₦'000	₦'000	₦'000	₦'000
At August 1 2023	10,000	2,128,561	442,440	2,581,001
Profit/(loss) for the year	-	-	119,467	119,467
Issue of share capital	990,000	(990,000)	-	-
At 31 July 2024	1,000,000	1,138,561	561,907	2,700,467
Profit/(loss) for the year	-	-	172,661	172,661
At 31 July 2025	1,000,000	1,138,561	734,568	2,873,129

STATEMENT OF CASHFLOW	Notes	Unaudited 31-Jul-2025	Audited 31-Jul-2024
		₦'000	₦'000
CASHFLOW FROM OPERATING ACTIVITIES
Profit/(loss) before tax & interest		172,661	285,018
Adjustment to reconcile net income to net
cash provided by operating activities:
Amortisation of intangible asset		2,305	2,209
Depreciation of rights-of-use		331	3,968
Depreciation of property, plant & equipment		152,016	154,036
Finance cost		28,583	24,831
Interest income Tax paid		-(118,829)	(35) -
Changes in assets and liabilities
Inventories		(56,379)	(18,000)
Trade receivables		(362,380)	134,490
Other receivables		(805)	295,993
Trade payables		10,026	(25,897)
Other payables		99,832	(122,098)
Total adjustments		(245,300)	449,498

Net cash (used in)/from operating activities		(72,639)	734,452
CASHFLOW FROM INVESTING ACTIVITIES
Purchases of property, plant & equipment	1	(29,029)	(699,276)
Interest income		-	35
Net cash (used in)/from investing activities		(29,029)	(699,241)
CASHFLOW FROM FINANCING ACTIVITIES
Loan		148,763	(8,953)
Finance cost		(28,583)	(24,831)
Net cash (used in)/from financing activities		120,180	(33,784)
Net change in cash and cash equivalents		18,512	1,427
Cash and cash equivalents at the beginning of the	year	2,512	1,085
		21,024	2,512
REPRESENTED BY
Cash & cash equivalent: Cash and bank balances	4	21,024	2,512

Management financial statements For the year ended 31 July 2025

NOTES TO THE MANAGEMENT FINANCIAL STATEMENT

PROPERTY, PLANT AND EQUIPMENT

As at 31 July 2025
	Fibre Infrastructure	Wi-Fi Infrastructure	Plant & Machinery	Furniture & Fittings	Computer Equipment	Total
Cost	₦'000	₦'000	₦'000	₦'000	₦'000	₦'000
At 1 August 2024	3,023,569	136,325	-	-	12,454	3,172,349
Additions	21,113	-	2,852	50	1,098	25,113
At 31 July 2025	3,044,682	136,325	2,852	50	13,552	3,197,461
Depreciation
At 1 August 2024	419,710	24,539	-	-	5,273	449,522
Depreciation charge for the year	140,783	8,179	464	1	2,588	152,016
At 31 July 2025	560,493	32,718	464	1	7,861	601,537
Carrying amount At 31 July 2025	2,484,189	103,607	2,388	49	5,691	2,595,924
At 31 July 2024	2,603,859	111,787	-	-	7,181	2,722,827

Impairment losses recognised in the year
There were no impairment losses recognized during the period.
Contractual commitments
At 31 July 2025, the Company had no contractual commitments for the acquisition of property, plant and equipment.
Assets pledged as security
The Company does not have any asset pledged as security for liabilities.
RIGHTS OF USE ASSET

At 31 July 2025 Rented Office

Cost ₦'000

At 1 August 2024 12,235

Additions -

At 31 July 2025 12,235

Accumulated depreciation

At 1 August 2024 11,904

Depreciation charge for the year 330

At 31 July 2025 12,235

Carrying amount

At 31 July 2025 -

At 31 July 2024 331

Right-of-use assets relates to leased property that do not meet the definition of investment property are presented as property, plant and equipment (see Note 1.4).

The Company currently has one leased at Guzape, Abuja. The lease runs for a period of 4 years, with options to extend the period.

1.5 INTANGIBLE ASSET (BILLING SYSTEM)	31-Jul-2025
Cost	₦'000
At 1 August 2023	22,088
Additions	3,917
At 31 July 2025	26,005
Depreciation
At 1 August 2024	6,626
Amortisation charge for the year	2,305
At 31 July 2025	8,931
Carrying amount
At 31 July 2025	17,073
At 31 July 2024	15,462
	Unaudited	Audited
2 INVENTORIES	31-Jul-2025	31-Jul-2024
Inventory items	₦'000 74,379	₦'000 18,000
	Unaudited	Audited
3 TRADE AND OTHER RECEIVABLES
	31-Jul-2025	31-Jul-2024
3.1 Trade receivables	₦'000	₦'000
Trade receivables	4,705	4,769
Advance payment to vendors Less: Expected credit loss allowance on trade receivables (5.3)	362,444 -	- -
Net trade receivables	367,149	4,769
	Unaudited	Audited
3.2 Other receivables
	31-Jul-2025	31-Jul-2024
	₦'000	₦'000
Other receivables	261,600	261,600
Prepayment	805	-
Withholding tax credit notes	16	16
	262,422	261,617
Trade & other receivables is analysed below
Current	629,570	266,322
	629,570	266,322

3.3 Expected credit loss allowance on trade and other receivables
	31-Jul-2025	31-Jul-2024
	₦'000	₦'000
Balance as at 1-August	-	-
Provision for impairment charge for the year		-
Impairment charge no longer required	-	-
Balance as at 31- July	-	-
Age analysis of receivables
Not Past due
	31-Jul-2025	31-Jul-2024
	₦'000	₦'000
1-30 days	-	-
31-60 days	-	-
61-90 days 91 days and above	- -	- -
Past due but not impaired
	31-Jul-2025	31-Jul-2024
	₦'000	₦'000
1-30 days	-	-
31-60 days	-	-
61-90 days	-	-
91 days and above	-	-
Past due and impaired
	31-Jul-2025	31-Jul-2024
	₦'000	₦'000
1-30 days	-	-
31-60 days	-	-
61-90 days	-	-
91 days and above	-	-

4	CASH AND CASH EQUIVALENTS (EXCLUDING BANK OVERDRAFT)	Unaudited ₦'000	Audited ₦'000
	Cash at hand	12	-
	Taj Bank 0001685496	5,983	280
	SunTrust 0002606166	1,485	261
	Fcmb	224	946
	Access	105	-
	Parallex	3	-
	Clear pay	-	1,024
	Legend Pay Flutterwave	- 13,212	1 -
	Balance for statement of cash flow purposes at 31 July	21,024	2,512

For the purposes of statement of cashflow, cash and cash equivalent comprise cash in hand, deposit held at call with banks, net of bank overdraft. In the statement of financial position, bank overdraft are included in borrowings under current liabilities. The year end cash and cash equivalent comprise the following:

	Unaudited	Audited
	₦'000	₦'000
Cash at bank and in hand	21,024	2,512
Bank overdraft (note 7.1)	(49,373)	-
Balance for statement of cash flow purposes	(28,349)	2,512

Management financial statement For the year ended 31 July 2025

NOTES TO THE MANAGEMENT FINANCIAL STATEMENTS

SHARE CAPITAL Unaudited Audited 31-Jul-2025 31-Jul-2024 ₦'000 ₦'000
2,000,000,000 ordinary shares of ₦0.50 1,000,000 1,000,000
RETAINED EARNINGS Unaudited Audited 31-Jul-2025 31-Jul-2024 ₦'000 ₦'000
Balance brought forward 561,907 442,440
Result for the year 172,661 119,467
734,568 561,907
BORROWING Unaudited Audited 31-Jul-2025 31-Jul-2024 ₦'000 ₦'000
1. Interest bearing loan (less than 12 months)

Bank overdraft 49,373 -

Short term borrowing 91,064 -

Bank loan 25,000 16,674

165,438 16,674

8 TRADE PAYABLES	Unaudited 31-Jul-2025	Audited 31-Jul-2024
	₦'000	₦'000
Trade payables	18,952	8,926
Less: provision for impairment of trade payables	-	-
Net trade payables	18,952	8,926
9 OTHER PAYABLES	Unaudited 31-Jul-2025	Audited 31-Jul-2024
	₦'000	₦'000
Accrued PAYE	25,501	9,989
Staff pension - Employee	12,208	12,208
Staff pension - Employer	5,201	5,201
Industrial Training Fund	2,756	2,756
Nigeria Social Insurance Trust Fund	2,756	2,756
Audit Fees	-	4,838
Professional services	4,300	6,525
Consultancy for customer care	6,811	6,811
Unpaid installation cost	4,146	4,146
Customer deposit	1,468	1,468
Other accrued expenses	107,745	16,362
	172,892	73,059
Trdae & other payables is analysed below
Current	191,844	81,985
Non-current	-	-
	191,844	81,985

Management financial statements For the year ended 31 July 2025

NOTES TO THE MANAGEMENT FINANCIAL STATEMENTS

10	INCOME TAX PAYABLE	Unaudited	Audited
		31-Jul-2025	31-Jul-2024
	Balance at 1 August 2023	₦'000 127,930	₦'000 60,838
	Charge for the year	-	67,092
	Payment for the year	(118,829)	-
	Balance at 31 July	9,101	127,930

10.1 INCOME TAX EXPENSE Unaudited Audited

31-Jul-2025 31-Jul-2024 ₦'000 ₦'000 Current tax

Income tax calculated at 30% - 48,619

Education tax calculated at 3% - 14,586

NASENI - 774

Police levy - 15

NITDA - 3,098

- 67,092 Deferred tax

Charge for the year - 98,460

Income tax (credit)/expense charged to income statement - 165,552

Charge for the year in OCI - -

Total income tax (credit)/expense recognised in current
year	-	165,552
11 REVENUE	Unaudited 31-Jul-2025	Audited 31-Jul-2024
	₦'000	₦'000
Legend fiber	1,124,848	1,109,369
Legend WiFi	22,259	15,712
Legend pay	4,852	3,665
Wholesale Bandwidth	37,683	-
CPE sales	1,435	9,686
	1,191,077	1,138,433
12 COST OF SALES	Unaudited	Audited
	31-Jul-2025	31-Jul-2024
	₦'000	₦'000
Customer Last Mile Installation	14,652	-
Infraco (Abuja)	275,487	400,000
Bandwidth cost	125,593	-
Legend pay	3,657	3,936
CPE	10,259	28,348
Installation cost	-	22,277
Legend home	-	6,450
	429,648	461,011

NOTES TO THE MANAGEMENT FINANCIAL STATEMENTS

13 ADMINISTRATIVE EXPENSES		Unaudited 31-Jul-2025	Audited 31-Jul-2024
	Notes	₦'000	₦'000
Director remuneration		26,302	18,000
Personnel cost	14	195,852	89,907
Repairs and maintenance		9,011	2,906
Transport & travelling		31,044	22,462
Printing & stationeries		2,740	666
Electricity		7,580	-
Board expenses		-	758
Office expenses		6,614	1,705
Fueling		13,742	2,521
Entertainment		5,081	446
Legal fee		5,815	7,375
Bank charges		1,724	1,501
Marketing expenses		27,717	1,967
Email marketing		895	-
Licence and renewal		2,052	5,604
Toll number		-	689
Delivery		49	-
Insurance		1,150	300
Audit fees		-	4,838
Professional accounting fees		4,300	4,300
Other professional services		11,600	1,900
Telephone		98	-
Consultancy		41,552	5,000
Statutory fees		558	13,698
Rent - Wuse 2		2,000	2,000
Rent - Maitama Experience Centre		-	6,000
Rent - Staff Accomodation		-	2,250
Training		5,053	2,577
Staff welfare		2,448	51
Industrial Training Fund		-	998
Nigeria Social Insurance Trust Fund		-	998
Medical		-	5,451
Janitorial services		558	529
Amortisation of intangible asset	1.5	2,305	2,209
Depreciation of rights-of-use	1.4	331	3,968
Depreciation of property, plant & equipmen	15	152,016	154,036
		560,184	367,607
14 PERSONNEL COST		31-Jul-2025	31-Jul-2024
		₦'000	₦'000
Staff salaries		171,660	79,113
Staff PAYE		19,160	4,262
Staff pension		5,033	6,531
		195,852	89,907

Employee information

Employees of the company, other than Directors, whose duties were wholly or mainly discharged in Nigeria, received remuneration (excluding pension costs and certain benefits) in the following ranges:

NOTES TO THE MANAGEMENT FINANCIAL STATEMENTS

		31-Jul-2025 Number	31-Jul-2024 Number
	₦100,001 - ₦500,000	5	21
	₦500,001 - ₦1,000,000	7	30
	₦1,000,001 - ₦2,000,000	19	24
	₦2,000,001 - ₦3,000,000	9	4
	₦3,000,001 and above	15	3
15	DEPRECIATION EXPENSES
		31-Jul-2025	31-Jul-2024
		₦'000	₦'000
	Fibre infrastructure	140,783	143,366
	Wi-Fi infrastructure	8,180	8,180
	Computer equipment	2,588	2,491
	Furniture & fittings	1	-
	Plant & machinery	464	-
		152,016	154,036
16	PROFIT BEFORE TAXATION
		31-Jul-2025	31-Jul-2025
		₦'000	₦'000
	This is stated after charging/(crediting):
	Directors' remuneration	26,302	18,000
	Depreciation and amortization	154,321	156,245
17	RELATED PARTY DISCLOSURES
(i)	Key management personnel compensation
31-Jul-2025
Remuneration(excluding pension contributions) for		Executive	Executive
Directors of the Company charged to the profit or		Directors	Directors
loss are as follows:		₦'000	₦'000
Short- term benefits:
Salary		26,302	18,000
		26,302	18,000

Key management personnel and directors transactions

Directors of the company control significant percent of the voting shares of the company There are no significant transactions with key management personnel and directors transactions

Numbers and cadre of key management (iii) personnel
	31-Jul-2025	31-Jul-2024
	Number	Number
Director	0	1
Managing Director (MD)	1	1
Senior Manager (SM)	5	3
Manager (M)	6	5

(iv) Salary Range

31-Jul-2025

Number

31-Jul-2024

Number

₦6,000,001 - ₦7,000,000

₦8,000,001 and above

Basic
Basic earnings per share is calculated by dividing the net profit attributable to equity holders of the Company by the weighted average number of ordinary shares in issue during the year, excluding the average number of ordinary shares purchased by the Company and held as treasury shares.
31-Jul-2025 31-Jul-2024 ₦'000 ₦'000
Earnings after tax and interest 172,661 119,467
Weighted average numbers of ordinary shares at year end (thousands)
2,000,000 2,000,000
Basic earnings per share (Kobo) 9 6
Diluted

Diluted earnings per share is calculated by adjusting the weighted average number of ordinary shares outstanding to assume conversion of all dilutive potential ordinary shares.

Diluted earning per share is same as basic earnings per share

FINANCIAL INSTRUMENTS

Capital risk management
The Company manages its capital to ensure that the Company will be able to continue as a going concern.
The capital structure of the company consists of equity attributable to equity holders of the company, comprising issued capital and retained earnings.
The Company is not subject to any externally imposed capital requirements.
Equity includes all capital and reserves of the company that are managed as capital.
Critical judgements and significant estimates
Details of the significant accounting policies and methods adopted (including the criteria for recognition, the basis of measurement and the bases for recognition of income and expenses) for each class of financial asset, financial liability and equity instrument are disclosed in note 3.
Categories of financial instruments Financial assets
Unaudited Audited
31-Jul-2025 31-Jul-2024 ₦'000 ₦'000
Cash and bank balance 21,024 2,512
Receivables
Trade receivables 367,149 4,705
Other receivables 262,422 261,617
629,570 266,322 Financial liabilities
Financial liabilities at amortized cost
Trade payables 18,952 8,926
Other payables 172,892 73,059
Loans 165,438 -
357,281 81,985
Financial risk management objectives
A financial risk management framework is in place, where appropriate, to mitigate any negative impact that financial risks that may arise will have on the Company's reported results.
The Company's senior management oversees the management of risks to ensure that financial risks are identified, measured and managed in accordance with Company's policies for risk.
Risk management policies and systems are reviewed regularly to reflect the changes in market conditions and the company's activities. The Board of Directors reviews and agrees policies for managing each of these risks which are summarised below.
The company does not trade in financial instruments, nor does it take on speculative or open positions through the use of derivatives.
Foreign currency risk management
Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy parameters. The Company's exposure to the risk of changes in foreign exchange rates is hedged and minimised proactive application for forex.
Credit risk management
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the company. The company's credit risk exposure is limited to the credit sales availed to few customers with great records of payment on time and without defaulting and loans availed to its members of staff. Both credit sales and staff loans are subject to management approval and are continuously monitored.
The carrying amount of financial assets represents the company's maximum exposure to credit risk, which at the reporting date, was as follows:
31-Jul-2025 31-Jul-2024 ₦'000 ₦'000
Receivables 629,570 266,322
Collateral held as security and other credit enhancements
The carrying amount of financial assets recorded in the Management financial statements represents the company's maximum exposure to credit risk as no collateral or other credit enhancements are held. The asset comprise of loans to staff members and due repayment is deducted from staff salary at source.
Liquidity risk management
Liquidity risk is the risk that the company is unable to meet its current and future cash flow obligations as and when they fall due, or can only do so at excessive cost. This includes the risk that the company is unable to meet settlement obligations to the acquiring banks due to failure of an issuing bank to pay.
Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the company's short-, medium- and long-term funding and liquidity management requirements. The company manages liquidity risk by maintaining adequate reserves, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

Maturity risk

The following tables show the Company's contractual maturities of financial liabilities:

31-Jul-2025

Financial liabilities at amortised cost	Carrying amount	Contractual cashflows	Less than one year	More than one year
	₦'000	₦'000	₦'000	₦'000
Note
Loan	165,438	165,438	165,438	-
Trade payable 8	18,952	18,952	18,952	-
Other payables 9	172,892	172,892	172,892	-
	357,281	357,281	357,281	-

31-Jul-2024

Financial liabilities at amortised cost	Carrying amount	Contractual cashflows	Less than one year	More than one year
	₦'000	₦'000	₦'000	₦'000
Note
Loan	16,674	16,674	16,674	-
Trade payable 8	8,926	8,926	8,926	-
Other payables 9	73,059	73,059	73,059	-
	98,660	98,660	98,660	-

It is not expected that the cash flows included in the maturity analysis could occur significantly earlier, or at significantly different amounts.

FAIR VALUE ON FINANCIAL INSTRUMENTS
The directors consider that the carrying amounts of financial assets and financial liabilities recorded in the Management financial statements approximate their fair values.
CAPITAL COMMITMENTS
There are no material commitments for capital expenditure not provided for in these Management financial statements.
CONTIGENTS LIABILITIES AND CONTIGENTS ASSETS
There were no contingent liabilities and assets as at 31 July 2025
EVENTS AFTER THE REPORTING PERIOD

The Directors are of the opinion that there were no events after the reporting period that could have material effect on the state of affairs of the Company at 31 July, 2025 and on the profit for the year ended on that date that have not been taken into accounts in these Management financial statements.

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