CSCS Declares N1.00 Per Share Interim Dividend As H1 Pre-tax Profit Rises 115%

The Central Securities Clearing System (CSCS) Plc has declared its first-ever interim dividend, approving a payout of N1.00 per ordinary share as the Company’s profit before tax grew by 115 per cent for the six months ended June 30, 2026.

The Board said the decision reflects strong earnings momentum, robust cash generation, and confidence in the sustainability of performance. The interim dividend also signals CSCS’ capacity to reward shareholders while maintaining investments in technology, innovation and future growth.

At N1.00 per share, the interim payout represents 56 per cent of the total dividend of N1.78 per share paid for the entire 2025 financial year.

A review of the company’s H1 results showed total operating income rose 92 per cent year-on-year to N18.51 billion. The growth was driven by higher transaction fee income, continued expansion in depository services, increased collateral management revenue, and larger contributions from data and technology-enabled services. Investment income also recorded healthy growth.

Despite the sharp rise in income, operating expenses grew by a modest 38 per cent, highlighting the scalability of CSCS’ business model and disciplined cost management.

Consequently, operating profit surged 186 per cent to N10.11 billion, while profit before tax climbed 115 per cent to N13.21 billion. Earnings per share increased to 190.1 kobo from 109.1 kobo in H1 2025.

The company’s efficiency metrics also improved significantly. Cost-to-Income Ratio dropped to 45.4 per cent from 63.2 per cent in H1 2025, while operating profit margin expanded to 54.6 per cent from 36.8 per cent.

Speaking on the performance, the chairman of CSCS, Temi Popoola, said the interim dividend reflects the Board’s confidence in the company’s financial strength and long-term strategy.

“The Board’s decision to declare an interim dividend reflects our collective confidence in the Company’s financial strength, the quality of its earnings and its long-term strategic direction,” Popoola stated.

He noted that “this performance has been driven not only by stronger market activity but also by sustained improvements in operational efficiency and the continued diversification of our revenue streams.”

Popoola added that the Board remains committed to balancing shareholder returns with investments in technology, resilience and new growth opportunities to strengthen CSCS’ position as Nigeria’s leading financial market infrastructure and one of Africa’s foremost post-trade institutions.

Managing director/CEO, Shehu Yahaya Shantali, said the results demonstrate the resilience of CSCS’ business model and market confidence.

“Our first half performance reflects the strength and resilience of CSCS’ business model and the dedication of our people. We are particularly encouraged by our ability to translate strong earnings and improved efficiency into enhanced shareholder returns, as demonstrated by our first ever interim dividend,” Shantali said.

He noted that CSCS will remain focused on strengthening core market infrastructure, investing in innovation, and broadening revenue streams to sustain growth and support Nigeria’s capital market development.