… Transaction fees more than double as retail investors flock to digital self-service channels
By Rashidat O. Okunlade | Lagos
Nigerian Exchange Group Plc (NGX Group) has reported a profit before tax of ₦20.6 billion for the nine months ended September 30, 2026, representing a remarkable 83.3% increase from the ₦11.2 billion recorded in the same period of 2025.
Profit after tax rose by 86.4% to ₦14.7 billion, already surpassing the Group’s full-year 2025 profit after tax of ₦10.5 billion, with a quarter of the year still to run.
The stellar performance reflects a structural shift in Nigeria’s capital market: a growing number of investors increasingly retail and onboarded through digital self-service channels are trading more actively across a deeper market. NGX Group is successfully converting this heightened activity into earnings while improving operational efficiency.
Financial Highlights
The Group’s financial results for the nine months showed broad-based growth across key metrics:
Gross Earnings: Rose by 64.8% to ₦29.6 billion (from ₦17.9 billion)
Revenue: Up 79.8% to ₦27.3 billion (from ₦15.2 billion)
Transaction Fees: More than doubled (+112.4%) to ₦20.7 billion (from ₦9.7 billion)
Listing Fees: Grew by 24.4% to ₦3.7 billion (from ₦3.0 billion)
Operating Profit: Increased by 73.5% to ₦14.9 billion (from ₦8.6 billion)
Cost-to-Income Ratio: Improved to 49.7% (from 52.3%)
Earnings Per Share (EPS): Stood at ₦5.33 (9M 2025 restated: ₦2.68), reflecting the 1-for-3 bonus issue approved in April 2026.
Significant Wealth Creation
The Group’s results mirror the immense value being created across the broader market. As at September 30, 2026, the NGX All-Share Index had gained 61.43% year-to-date, while equity market capitalisation surged by 64.12% from ₦99.38 trillion in December 2025 to ₦163.10 trillion.
This represents an increase of ₦63.72 trillion, reflecting a significant expansion in the value of listed equities held by millions of Nigerians, pension funds, and institutional investors.
Disciplined Investment for Scale
Total income grew faster than operating expenses (64.8% versus 56.8%), lowering the cost-to-income ratio and lifting operating profit. According to the Group, cost growth reflects deliberate investment in capacity ahead of the next stage of market development, focusing on:
People: Strengthening talent in technology, market surveillance, and investor engagement.
Market Infrastructure: Upgrading physical and operational infrastructure for resilience.
Market Development: Investor education, issuer engagement, and African partnerships.
These investments are laying the foundation for the Group’s technology roadmap, including platform modernisation and digital access, which management expects to drive further operating leverage.
Strategic Investments and Balance Sheet
Share of profit from equity-accounted investees rose by 69.6% to ₦5.7 billion, driven primarily by the Central Securities Clearing System Plc (CSCS). Total assets stood at ₦79.1 billion, with shareholders’ equity at ₦61.1 billion as at September 30, 2026. Shareholders received ₦8.2 billion in dividends during the period, up 86.7%.
Leadership Remarks
Commenting on the results, the Group Chairman, Alhaji (Dr.) Umaru Kwairanga, said:
“These results show what a well governed and strategically astute market institution can deliver as Nigeria’s capital market deepens. Our priority as a board has been to ensure that the capital market grows in terms of products, listed companies and investor participation and that the growth is matched by disciplined cost allocation to investments that strengthen the market’s foundations. We are focused on returning optimal value to our shareholders through consistent robust dividends and bonus issues in tandem with the market and the company’s growth.”
Group Managing Director/Chief Executive Officer, Temi Popoola, added:
“More Nigerians are investing, and more of them are doing it digitally. That broadening participation more than doubled our transaction revenue and is creating real wealth for investors. We are investing ahead of that curve, in our people, our infrastructure and our technology roadmap, so that the market can absorb the next wave of investors efficiently and securely. Our focus for the rest of the year and beyond is to scale our platforms, deepen market data and digital access, and extend our partnerships across Africa.”
Why It Matters
The NGX Group’s nine-month financial results are a resounding validation of the digital transformation sweeping through Nigeria’s capital market. For decades, the Nigerian stock market was perceived as an exclusive club for institutional investors and high-net-worth individuals. The 112.4% surge in transaction fees tells a different story: the democratization of market access is here.
The catalyst for this shift is technology. Digital self-service platforms have drastically lowered the barriers to entry. A young professional in Ibadan or a diaspora investor in London can now open a brokerage account, fund it, and execute trades from their smartphone in minutes, bypassing the traditional, cumbersome paperwork.
However, the NGX Group’s success is not just about the volume of trades; it is about the financial discipline to manage that growth. The improvement in the cost-to-income ratio to 49.7% despite heavy investments in personnel and infrastructure demonstrates that management is not letting operational costs spiral out of control while chasing growth.
The wealth creation narrative is equally compelling. The ₦63.72 trillion increase in market capitalization means that millions of Nigerians with pension accounts or retail portfolios have seen their net worth rise. While the stock market remains volatile and carries inherent risks, this broad-based participation is a key driver of financial inclusion and wealth distribution.
As Temi Popoola noted, the focus is now on extending partnerships across Africa and scaling platforms. If NGX Group can maintain this trajectory, it will solidify its position not just as a domestic exchange, but as a premier gateway for capital flows in the African market.
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