eTranzact International Plc has projected a massive rise in its Profit Before Tax (PBT) to N53.19 million for the first quarter of 2021 (Q1, 2021), indicating a 173.3% increase from a loss of N72.6 million recorded in Q3 2020.
This is according to the latest earnings forecast of the firm, signed by the Chief Executive Officer of the firm, Niyi Toluwalope, and sent to the Nigerian Stock Exchange market.
Key highlights of the earnings forecast for Q1 2021;
- Revenue is projected to decline to N3.88 billion, -28.8% Q-o-Q
- Profit After Tax is projected to increase to N36.17 million,+149.8% Q-o-Q.
- Taxation is projected to rise to N17.02 million, +100% Q-o-Q.
- Cost of sales is projected to decline to N3.49 billion, -32.5% Q-o-Q.
- Gross profit is projected to increase to N393.2 million, +39.5% Q-o-Q.
- Operating profit is projected to increase to N43.4 million, + 118.9% Q-o-Q.
- Investment income is projected to decline to N13.24 million, -57.7% Q-o-Q.
- Finance cost is projected to decline to N3.5 million, -30.8% Q-o-Q.
For a company that had earlier reported a loss of N72.6 million in 9M 2020 as captured by Nairametrics, the optimistic outlook posted by the firm is a bold statement going forward, especially given the lacklustre performances posted by the firm in recent times. The firm projects modest revenue, but aims to maximize profit and minimize costs as evident by its projections.