NGX Group records historic dividend payout on strong N13.6bn profit surge

Onome Amuge

The Nigerian Exchange Group Plc (NGX Group) recently announced its audited financial results for the fiscal year 2024, setting a new record with a 157.3 percent year-on-year (YoY) surge in profit before tax (PBT), which totaled N13.6 billion.

The record-breaking profitability of NGX Group has been duly recognised by its board of directors, who have approved the distribution of a final dividend of N4.4 billion to shareholders, equivalent to N2 per share, representing the highest dividend payout in the Group’s history.

NGX Group’s impressive performance was underpinned by robust growth across its key revenue streams, resulting in a 103.2 percent increase in gross earnings to N24 billion in fiscal year 2024 from N11.8 billion in the previous year.

Transactions fees recorded a healthy 64 percent growth, reflecting increased market activity, while listing fees soared 397.1 percent, indicating a marked improvement in capital market participation.

NGX Group’s digital transformation strategy yielded positive results as its technology-related income saw a robust 105 percent year-on-year growth.

Furthermore, the Group’s diversified revenue base was reinforced by other fees, which experienced a 174.8 percent increase compared to the previous fiscal year.

NGX Group’s treasury investment income recorded a 45.6 percent growth, reflecting the Group’s prudent asset management approach and effective capital allocation.

Complementing the upward trajectory, market data revenue increased by 100.5 percent, driving the group’s ‘other income’ up by 102.6 percent to N7.1 billion.

NGX Group, in a statement on its outstanding financial performance in 2024, attributed its success to a confluence of factors, including robust revenue expansion, strategic cost optimisation measures, and increased market participation.

Commenting on the financials, Umaru Kwairanga,
group chairman, NGX Group said: “These results mark a pivotal moment in NGX Group’s post-demutualisation growth journey, reinforcing investor confidence in our long-term vision.

“The approval of a record N4.4 billion dividend demonstrates our unwavering commitment to rewarding shareholders while positioning NGX Group as a key driver of capital market development. As we continue to invest in market infrastructure and innovation, we remain focused on creating sustainable value for all stakeholders.”

Kwairanga also noted that the NGX Group under his leadership is focused on harnessing the entrepreneurial and innovative spirit of Nigeria’s private sector to drive the economy to greater heights.

NGX Group’s impressive financial performance in 2024 is considered a reflection of its success in executing a comprehensive strategic agenda, which entailed the launch of NGX Invest, resulting in a N1.845 trillion capital raise for the banking sector.

 Another development of note is its expansion into new markets, marked by a strategic investment in the Ethiopian Securities Exchange, which reinforced the group’s regional footprint; and workforce optimization and operational efficiency initiatives, yielding improved cost management and productivity.

According to Temi Popoola,the NGX group managing director/chief executive officer, the group’s remarkable performance in 2024 reflects its strategic focus on execution, operational excellence, and innovation.

Popoola stated further: “The 157.3 percent increase in profit before tax underscores the strength of our execution strategy and the dedication of our team. By leveraging technology, expanding market data solutions, and strengthening our partnerships, we have built a more resilient and diversified business model that positions us for sustained growth.

“Looking ahead, we remain committed to deepening market participation, broadening investment opportunities, and driving efficiency across the capital market ecosystem.”

Looking ahead, the NGX Group CEO expressed his commitment to maintaining the Group’s momentum and delivering sustainable value for all stakeholders.

Key to this vision is a continued focus on investing in innovation, enhancing market infrastructure, and developing new platforms that improve accessibility and attract a wider range of investors. 

Through these endeavors, the Group aims to solidify its position as a key player in Africa’s financial landscape, driving economic growth and creating long-term value for all stakeholders.