LAGOS, Nigeria — Central Securities Clearing System Plc (CSCS) has reported a 115.7% increase in profit before tax to N6.49 billion for the first quarter ended March 31, 2026, as a sweeping fee structure overhaul introduced in January delivered a near doubling of fees income.
Okay News reports that pretax profit climbed from N3.01 billion in the corresponding period of 2025, with profit after tax rising 74.8% to N4.67 billion and earnings per share increasing to 93.3 kobo from 53.4 kobo a year earlier.
Fees income surged 95.6% to N7.31 billion from N3.74 billion, accounting for nearly 88% of total operating income during the quarter. Total operating income rose 83.7% to N8.28 billion from N4.51 billion, while total operating expenses grew by a comparatively modest 17.3% to N3.31 billion, creating significant operating leverage. Operating profit nearly tripled to N4.97 billion, while investment income rose to N1.52 billion from N1.32 billion.
Tax expenses increased sharply to N1.83 billion from N340 million, though the company still delivered a strong bottom-line performance.
The most dramatic fee changes were concentrated in fixed income services and custodial operations. OTC trade fees leapt from N15 per million to N500 per million, a 3,233% increase, while custody-related charges moved from a flat N1,300 to 0.03% of transaction value, unlocking significant upside for large portfolios.
On the balance sheet, total assets expanded to N69.39 billion as at March 31, 2026, from N62.80 billion at end-December 2025. Investment securities grew to N41.32 billion from N39.59 billion, retained earnings climbed to N44.08 billion from N39.42 billion, and total equity strengthened to N48.46 billion from N43.79 billion.
CSCS defended the pricing review as necessary to address rising technology, infrastructure, and operating costs while supporting modernisation of Nigeria’s capital market ecosystem. The company is Nigeria’s central securities depository, providing clearing, settlement, custody, and depository services for transactions executed on the Nigerian Exchange Group, NASD OTC Securities Exchange, and Lagos Commodities and Futures Exchange.
CSCS shares on the NASD OTC Securities Exchange rose from N64.21 as of April 10 to N83.93 per share as of Thursday, June 11, 2026. The company signalled at its 32nd Annual General Meeting in April 2026 that improved dividend payouts to shareholders are possible if the earnings trajectory is sustained in subsequent quarters.
