Etranzact PLC, one of Nigeria’s financial technology company has just released its 2016 Q1 result showing its profit for the quarter dropped by 2.6% .
The company’s gross revenue actually rose from NGN 2 billion same quarter last year to NGN 2.2 billion. Its cost of sales however, went up to NGN 1.6 billion compared to NGN 1.5 billion.
To boost its sales, the company slightly increase its sales and marketing expenditure to NGN 37.9 million compared to NGN 34,2 million it expended in 2015 of the same quarter.
The company is fast depleting its cash reserve as its cash and cash equivalent has dropped to NGN 2.7 billion compared to NGN 3 billion it held in the same quarter last year.
Etranzact is playing in the financial technology sector competing with Interswitch, Paga and other payment verticals. Interswitch a bigger competitor in the sector valued at USD 1 billion, is not quoted on the NSE.