Legend Internet Plc reported a 91% slump in pre-tax profit to N13.21 million for the financial year ended July 31, 2026. While revenue declined by 7.44% to N1.10 billion, the company avoided a significant operating loss only through a one-off N672 million gain from asset disposal. Administrative expenses surged 89% to N1.06 billion, while finance costs ballooned over 1,000% to N314.74 million due to a high-interest bridge facility. The firm faces liquidity pressure, with cash equivalents dropping 71% to N6.09 million. On a positive note, the company achieved compliance with NGX free-float requirements after major shareholders reduced their stakes, increasing the float to 27.24%.

Legend Internet Plc reported a 29 percent growth in total assets to N4.14 billion for the twelve months ended July 31, 2026, as the firm expanded its infrastructure and liquidity. Despite this asset growth, the company’s profit dropped significantly to N13.2 million from N142.5 million the previous year. This decline was attributed to higher administrative and financing costs, alongside a slight dip in revenue to N1.10 billion. Management maintains a gross margin of 65 percent, indicating core operational resilience despite current bottom-line pressures.

Nigeria’s listed technology companies recorded a 75 percent surge in combined capital expenditure to N3.23 billion in the first half of 2026. Data from six firms, including Chams, CWG, and eTranzact, shows total cash and cash equivalents nearly doubled to N37.8 billion. Despite the rise in expenditure, the sector’s aggregate CAPEX-to-cash ratio declined as cash accumulation outpaced investment. Analysts note that firms are now prioritizing internal cash generation over expensive external financing, with varying strategies ranging from Chams’ infrastructure-heavy expansion to the asset-light models adopted by companies like CWG and eTranzact.

Legend Internet Plc has reported an operating loss of N350.3 million for the nine months ended April 30, 2026, compared to a profit of N281 million in the same period last year. Revenue declined 15.1 percent to N871.1 million, driven by a 142 percent surge in administrative expenses. Despite the current downturn, the company maintains a 61 percent gross margin and is banking on an aggressive expansion strategy, supported by recent infrastructure acquisitions and N6.88 billion in new loan financing, to drive long-term recovery and revenue growth.

The Nigerian equities market faced a mid-week downturn on Wednesday as profit-taking across the banking, consumer goods, and industrial sectors wiped 648 billion naira from total market capitalization. The NGX All-Share Index fell 0.41% to 246,980.17 points, reflecting a broad-based decline with 45 losers outpacing 23 gainers. Despite the overall negative sentiment, the insurance sector remained resilient, with stocks like Lasaco Assurance, NEM Insurance, and SUNU Assurances posting significant gains. Notable laggards included NREIT, which hit a 52-week low, alongside declines in Dangote Sugar, Oando, and major banking names. Trading activity remained high, with total volume rising by 12.11%.

Central Bank of Nigeria (CBN) Governor, Olayemi Cardoso, has stated that the regulator will maintain heightened supervision of the banking sector despite the successful conclusion of the recent recapitalisation exercise.

Speaking at the BusinessDay 14th Annual CEO Forum, Cardoso noted that while the industry raised between N4 trillion and N5 trillion in fresh capital to build resilience against economic shocks, continuous oversight remains essential. He emphasized that the stronger capital base is intended to support eventual increased lending to the private sector once inflation and interest rates moderate. Cardoso also warned banks against indiscriminate lending, urging them to prioritize sophisticated risk management and proper analysis, especially when navigating complex sectors like oil and gas. The CBN plans to collaborate with financial institutions to enhance their internal risk assessment capabilities.