CWG Plc recorded a sharp improvement in earnings in 2025, extending a multi-year growth trend that has seen the company evolve from a modestly profitable technology services provider into a scaled pan-African digital infrastructure player, according to its unaudited financial statements for the year ended 2025.
Revenue climbed 41.7 percent to N65.66 billion in 2025 from N46.35 billion a year earlier, capping a five-year expansion that has lifted turnover from N11.7 billion in 2021. After incremental growth in 2021 and 2022, CWG’s top line began to accelerate in 2023 and gathered further momentum in 2024 and 2025.
This growth was driven primarily by a sharp expansion in IT infrastructure services, which more than doubled to N24.03 billion from N12.75 billion in 2024, reflecting strong demand for large-scale digital transformation projects.
Managed and support services also recorded solid growth, rising to N18.83 billion from N14.55 billion, supported by recurring contracts across the group’s markets. Software revenue increased to N20.92 billion from N16.43 billion, reinforcing its position as a major contributor to overall turnover, although quarterly performance was volatile due to the timing of project execution and revenue recognition.
By contrast, platform business revenue declined modestly to N1.88 billion from N2.18 billion, while communications and integrated services remained immaterial, highlighting that the acceleration in group revenue was largely underpinned by scale in core enterprise-focused segments.
The strong revenue performance translated into improved margins, with gross profit rising to N16.11 billion from N9.89 billion in 2024. Over the longer term, the widening gap between revenue growth and cost growth suggests increasing operating leverage, as scale benefits and improved cost efficiency across CWG’s regional operations began to take hold.
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This structural shift is most evident in profitability. Profit after tax increased to N5.61 billion in 2025 from N3.04 billion in 2024, following profits of N576.1 million in 2023, N476.8 million in 2022, and N449.6 million in 2021.
The five-year trajectory shows that earnings were largely flat in the early part of the period before accelerating sharply over the past two years, marking a clear inflection in earnings quality and net margin expansion.
The improvement in profitability strengthened shareholders’ funds, with total equity rising to N10.04 billion from N6.63 billion in 2024, driven mainly by higher retained earnings. Despite the capital-intensive nature of its expansion strategy, CWG maintained shareholder returns, paying N984.68 million in dividends during the year.
However, the financial statements also point to the working-capital intensity of CWG’s growth phase. Trade and other receivables rose to N23.94 billion from N16.80 billion, while inventories and work-in-progress increased to N8.17 billion, more than double the prior-year level.
These movements reflect large-scale project executions and revenue recognised ahead of cash collection, a common feature of enterprise IT and systems-integration businesses.
As a result, operating cash flow lagged reported earnings. Cash and cash equivalents declined to N5.21 billion at year-end, from N6.04 billion in 2024, while short-term borrowings increased to N4.58 billion from N2.01 billion, as the group relied more heavily on short-term financing to bridge project delivery and payment cycles.
Total assets expanded to N40.62 billion from N29.95 billion, supported by higher receivables, inventories, and continued investment in property, plant, and equipment. Total liabilities rose to N30.58 billion from N23.32 billion, reflecting higher trade payables and increased use of short-term credit facilities to support growth.
Computer Warehouse Group is currently ranked as the 68th most valuable stock on the Nigerian Exchange, with a market capitalisation of N61.6 billion. The company’s shares closed at N24.40 on February 2, 2026, representing a 1.7 percent gain from the previous close of N24.00.
CWG began the year at N18.00 per share and has since delivered a 35.6 percent year-to-date return, placing it 28th on the NGX by YTD performance.
Momentum has strengthened in recent weeks, with the stock gaining about 35 percent over the past four weeks, ranking it among the top 25 performers on the exchange and reinforcing growing investor optimism around the company.
