By Nkiruka Nnorom
CWG Plc has said it plans to boost its revenue in the coming years with investments it made in its platform and software services as well as some strategic partnerships it formed within the year.
The chairman of the company, Mr. Philip Obioha, stated this at the company’s 16th Annual General Meeting (AGM) in Lagos, saying that the company’s strategic focus to diversify its revenue base created a sustainable path for it to thrive during the Covid-19 pandemic.
According to him, the company has developed unique solutions that are strategically positioned across some viable sectors of the economy, including payment system, SMEs, health, gaming, financial inclusion services and platforms.
He said: “We have continued to make progress in growing our platforms, subscriptions and software service business arms. During the year, our company signed on new strategic partners to deliver digital solutions that enhance our customers’ operations. We are beginning to see the benefits of these partnerships as we have started to earn revenue from some of the solutions we deployed to customers.
“Our United Cooperative Platform has continued to witness an increase in transaction volume. We signed on the cooperative society of two multinational companies in the year, thereby showing customers’ confidence in our platforms. In 2021, we expect to partner with other multinational companies’ cooperative societies. These partnerships will guarantee revenue streams in 2021 and beyond.”
Presenting the financial performance for the year ended December 31, 2020, he said: “Overall, we maintained a solid financial performance while navigating the challenging times occasioned by Covid-19.
“Our company ended the year with a net revenue of N11.7 billion in 2020, which is 22 percent higher than the prior year’s income and a gross profit of N2.6 billion which is 13 percent higher than N2.3 billion posted in 2019.”
Shareholders who were present at the meeting urged the management to consider dividend payment in the new year considering the improvement in its earnings.
While commending the company for the financial performance, they said there is the need for the company to strengthen its risk management framework to improve its debt recovery ability.