NGX Group Reports 83% Profit Growth Amid Rising Costs

NGX Group experienced an 83% increase in nine-month pretax earnings, amounting to ₦20.58 billion on a revenue of ₦27.26 billion. Despite this growth, the company faced challenges in the third quarter, where operating profit declined by 3.6% to ₦4.25 billion, even as revenue grew by 36.4%.

The rise in operating expenses, which surged by 62.6%, significantly impacted profitability. The profit after tax for the quarter fell by 7.1% to ₦4.33 billion.

Personnel expenses rose sharply to ₦3.38 billion from ₦1.63 billion the previous year, accounting for approximately 76% of the increase in quarterly operating expenses. The report did not specify the components of the personnel cost increase, such as recruitment or bonuses, leaving uncertainty about the recurrence of these expenses.

Additionally, general expenses rose to ₦564.6 million from ₦29 million.