…as earnings per share slows 63%
Chams Holding Company Plc has reported a drop in its first‑quarter earnings, with profit before tax declining 54 percent to N181.5 million and earnings per share contracting 63 percent to 3 kobo from 8.1 kobo year-on-year.
Despite these declines, the tech company’s financials revealed that revenue climbed 11.5 percent year‑on‑year to N3.87 billion, driven by its New Solutions and Card Production divisions.
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“New Solutions generated N958.3 million (24.8 percent of total revenue), while Card Production contributed N948.8 million (24.6 percent). Biometric devices and printers and consumables each accounted for about 19 percent of sales. Smaller operations such as payment gateway and virtual airtime remained immaterial,” the financials read.
Despite higher sales, Chams revealed that the cost of goods sold rose 24 percent to N3.09 billion, compressing gross profit by 20.6 percent to N775.5 million.
Other operating income increased to N150.3 million from N23.9 million, but administrative expenses rose 9 percent to N542.5 million, yielding operating profit of N383.4 million.
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“Finance expenses surged nearly ten‑fold to N201.9 million on increased borrowing and lease liabilities. After a tax charge of N32.7 million, net profit stood at N148.9 million, marginally above the prior‑year Q1 figure of N146.6 million,” Chams added.
Total assets rose 9.5 percent to N21.05 billion, reflecting elevated receivables from core operations and strategic investments. Total liabilities increased to N10.67 billion from N6.50 billion, while equity attributable to shareholders strengthened to N5.73 billion from N5.29 billion.
