eTranzact Elated by First Dividend Payment to Shareholders

The smiles before the avalanche of shareholders by the board of directors of eTranzact International PLC, knew no bound as the shareholders the Company paid dividend to its shareholders since listing on the Nigeria Stock Exchange (NSE).

eTranzact, Africa’s leading provider of mobile banking and electronic payment services, was listed on the NSE at an entry price of N4.80, however, it declared a 5k per share dividend to its shareholder for year 2014.

The Board of Directors of the company gave the approval during the company’s 11th Annual General Meeting (AGM) held on Thursday in Lagos.

According to eTranzact, “This was a particularly memorable AGM for us, as it signaled the first time we paid dividend to our Shareholders since we became listed on the Stock Exchange. The shareholders were thrilled and came in their numbers to witness the event and to also receive their PocketMoni Mastercard which after their signed agreement would be loaded with their dividends.”

The company’s 2014 annual report and financial statement showed that eTranzact generated record revenues, operating profits and cash flows which transformed the company’s accumulated deficit to a retained surplus.

The report showed that gross revenue for the year 2014 was N7.1 billion which represents a 51 per cent growth compared to 2013.

Operating profit on the other hand grew from N188.7 million in 2013 to N388 million in 2014, representing a 101 per cent annual growth.

Meanwhile, profit before tax grew by 145 per cent from 2013 performance while profit after tax grew by 112 per cent compared to 2013.

Key growth drivers were; strengthened collaboration with partner banks in driving mobile banking business, strategic alliances with International money transfer operators which is driving growth of remittance business, alliances with government agencies, parastatals and educational institutions which is driving bulk payments, central collection and transaction switching and processing business.

Speaking on the growth, Mr Felix Ohiwerei, ‎chairman of the Board, who appreciated the management for its innovation, drive and resources, said that eTranzact will continue to strive to grow “to become regional and global leader in the electronic and mobile payments industry, and with our performance in the period under review and indicators from the current period, we believe that the period ahead will be even more glorious.”‎

He added: “We are happy with the results that we saw today. We see it as the beginning of new level of growth for eTranzact. The potential out there is great. For some time now, we have been preparing to take advantage of full opportunities out there and the strategies we have in place are beginning to pay off. We are optimistic that in the years ahead, things will get much better.”

Also speaking, ‎Mr. Valentine Obi MD/CEO, eTranzact International Plc, explained that: “We have been encouraged by our performance in the period under review. We have experienced consistent growth in revenue and profitability over the past ten years with transaction activity value, volumes and partnerships also experiencing significant growth in the last three years. Key to our growth has been setting key performance indexes around user experience, platform stability and technology development, and we plan to continue to do this.

“It is new level for us indeed and this shows that the strategies we have in place are working and it will continue to work. Going forward, Nigerians will be seeing new products that eTranzact will be introducing to help the industry grow and increase our profitability as well for the benefit for our shareholders and other partners.”

The shareholders of the company were well represented and excited about the approved dividend, they commended the performance of the company’s profitability under the year under review.

They are optimistic that the company would pay more in no distance future, judging from its performance and its ability to surmount the Nigerian economic challenges in 2014.

In addition, the AGM was a memorable one for the company and its shareholders as it was the first time dividend was paid since the company was listed on the Stock Exchange.

Felix Ohiwerei, chairman, Valentine Obi, MD/CEO, Sullivan Akala, ED, Business development, Wole Abegunde, Omowunmi Adedurotimi, Company Secretary, Tony Egbuna, and Victor Etuokwu, all of eTranzact during the Company’s annual general meeting held in Lagos recently.