CWG Plc has published its financial report for the year ended 31 December 2024, reporting a pre-tax profit of N4.4 billion for the full year.
This represents a 290.24% year-over-year increase compared to the N1.1 billion reported the previous year.
The group’s full-year revenue reached N46.3 billion, a 97% year-over-year increase compared to N23.5 billion reported the previous year.
The group’s total assets increased to N29.9 billion, up 68.09% year-over-year compared to N17.8 billion reported the previous year, while retained earnings rose to N3.4 billion, up 330.55%.
CWG also announced a final dividend of 39 kobo per share, subject to appropriate withholding tax and approval, for the period ended 31st December 2024. The dividend will be paid to shareholders whose names appear in the Register of Members as of the close of business on Monday, 7th April 2025.
Key highlights (2024 vs 2023)
- Revenue: N46.3 billion, +97% YoY
- Cost of sales: N36.4 billion, +94.13% YoY
- Gross profit: N9.8 billion, +108.38% YoY
- Other income: N237.5 million, +82.96% YoY
- Administrative expenses: N5.7 billion, +63.11% YoY
- Exchange gain: N18.7 million, -110.30% YoY
- Finance costs: N95.5 million, +13.53% YoY
- Finance income: N62.2 million, +316.13% YoY
- Pre-tax profit: N4.4 billion, +290.24% YoY
- Total assets: N29.9 billion, +68.09% YoY
- Retained earnings: N3.4 billion, +330.55% YoY
Commentary
CWG reported a full-year revenue increase of 97%, reaching N46.3 billion, compared to N23.5 billion in 2023.
- Of this total, revenue from software solutions comprised 35.43%, amounting to N16.4 billion; managed support services contributed 31.39%, reaching N14.5 billion; and IT Infrastructure Services accounted for 27.48% at N12.7 billion.
- Additionally, the platform business generated N2.1 billion, while communications and integrated services contributed N447.4 million, completing the revenue picture.
At the same time, CWG’s cost of sales rose by 94.13%, totaling N36.4 billion, up from N18.7 billion in 2023.
- Managed support services costs were N13.3 billion, software costs stood at N11.46 billion, and IT Infrastructure Services contributed N11.40 billion.
- Despite these rising costs, the company’s gross profit climbed by 108.38%, reaching N9.8 billion compared to N4.7 billion the previous year.
Other income also saw significant growth, increasing by 82.96% year-over-year to N237.5 million, with sundry income making up most of this total at N199.1 million.
- Administrative expenses, however, rose by 63.11% to N5.7 billion, with staff costs accounting for a significant portion at N2.8 billion.
On a more positive note, the company realized an exchange gain of N18.7 million, a recovery from the loss of N182 million reported the previous year.
- However, finance costs increased to N95.5 million, representing a 13.53% rise, with interest on short-term loans reaching N52.4 million.
In contrast, finance income surged to N62.6 million, climbing by 316.13% compared to the previous year, primarily driven by interest income.
Ultimately, CWG’s pre-tax profit grew by 290.24% year-over-year, reaching N4.4 billion, up from N1.1 billion in the prior year.
Asset position
The group’s total assets rose to N29.9 billion, marking an increase of 68.09% year-over-year from N17.8 billion reported the previous year.
- Non-current assets reached N1.6 billion, up from N1.1 billion, with property, plant, and equipment making up the majority at N957.3 million.
- Current assets also increased, rising from N16.6 billion in the previous year to N28.3 billion, largely due to trade and other receivables, which accounted for N16.7 billion of the total.