By Adedapo Adesanya
Figures released by top electronic transaction switching and payment processing platform, eTranzact International Plc, showed that the company has returned to profitability after it earned net profit of N96.1 million at the end of the second quarter of 2019 ended June 30, 2019, overturning the N200.8 million loss it accrued in the second quarter of 2018.
As stated in the financial statements, the revenue made by the transaction platform at the end of the second quarter of the year in review was N6.5 billion, higher than the N4.3 billion raked in the second quarter of 2018, indicating an improvement by over N2 billion.
More good news followed as the company saw an overturn in its operating profit as it recorded N75.1 million in Q2 2019 compared with the N268 million loss it posted in Q2 of 2018.
With a Profit Before Tax (PBT) of N141 million, the company is showing signs of giving value to its shareholders. In the second quarter of last year, the firm reported a N231 million loss before tax, which was worrisome to its investors.
A further analysis of the results by Business Post revealed that the company successfully reduced its selling and marketing costs by over 70 percent, spending N7.4 million on its marketing and promotional services in contrast to N24.1 million these services gulped in Q2 of 2018.
Also, stringent and effective method of planning by the management saw the company cutting its administrative expenses by 21 percent to N470 million in the period under review compared with N600.4 million of the previous year’s Q2.
The firm stated in its financial status that it recorded N66.3 million under investment income against N37 million in Q2 2018
Dipo Olowookere