eTranzact International Plc has emerged as the top cash generator among Nigeria's listed ICT firms in 2025, outperforming its peers in terms of operating cash flow. The company's ability to convert earnings into liquidity has been a key factor in its financial strength, according to its 2025 results. Operating cash flow is widely regarded as a more reliable indicator of financial health than reported profit, as it shows the actual money moving through a business.
The results reveal a widening gap between firms that efficiently convert earnings into liquidity and those that remain dependent on financing to sustain operations. eTranzact International Plc stood out as the most efficient cash generator, underlining the importance of disciplined operational management and working capital control. The company posted a modest net profit of N2.97 billion for 2025 but generated N22.27 billion in operating cash flow, a significant improvement from a negative N5.48 billion the previous year.
CWG Plc, on the other hand, reported a profit of N4.98 billion for 2025 but struggled to convert it into cash, recording a negative operating cash flow of N2.7 billion. Chams Holdings Plc also experienced a similar trend, despite posting a profit of N605.6 million, its operating cash flow was negative N0.766 billion.
eTranzact International Plc's impressive operating cash flow performance in 2025 is a testament to the company's disciplined operational management and working capital control. In contrast, CWG Plc and Chams Holdings Plc's struggles to convert profits into cash highlight the risks of relying on reported profit without generating sufficient operational cash. This raises questions about the sustainability of their financial health and ability to fund expansion or weather financial shocks. The stark contrast between these companies underscores the importance of operating cash flow in determining a firm's ability to sustain operations and deliver shareholder value. As the ICT sector continues to evolve, companies that prioritize operational efficiency and liquidity will be better positioned to thrive in a competitive market.
