FIRS Deal: eTranzact Gains 45% as Investors Bet on Future Earnings Stream
Investors increased bets on eTranzact Plc in the stock market as Federal Inland Revenue Service (FIRS) approved the ICT company as a certified provider for its e-invoicing rollout, expanding a collaboration that began with VAT automation under Tax Administration 2.0.
Trading data from the Nigerian Exchange (NGX) where eTranzact shares were listed showed that market value of the company’s 9.199 billion shares outstanding rose to N137.359 billion on Friday’s close.
ICT Company with footprint in payment processing saw its share price increased sharply in reaction to the deal. eTranzact share price spiked to N14.95 on Friday after increased trading activities that resulted in 548,820 units valued at N8.204 million were executed due to demand from buy side actors.
The positive reactions drove the share price higher by 45.14% week on week, from N10.30 to N14.95. In the first half of 2025, eTranzact delivered an impressive earnings performance.
The ICT company profit surged by 18.30% year on year to N1.512 billion at the end of first half of 2025 from N1.278 billion in the comparable period in 2024.
From its continue operation, total revenue declined to N13.278 billion, from N14.040 billion in Half year of 2024 results. But gross profit margin increased by about 40% to N6.443 billion from N4.616 billion on deflated costs to revenue relations.
Despite slower revenue, administrative and sell expenses increased sharply, reflecting inflation conditions in Nigeria. The company finance costs reduce, while investment income retreated, leaving profit before tax at N2.16 billion, up from N1.825 billion in June 2024.
Investors anticipated a significant improvement in eTranzact Plc revenue after FIRS approved the company as certified provider for its e-invoicing rollout.
FIRS e-invoicing platform, Merchant Buyer Solution, introduces structured digital invoices in business to business, business-to-consumer and business-to-government transactions by simplifying tax processes, enhancing compliance, and boosting transparency.
Mike Adoga, acting director of Tax Automation at FIRS, said the certified providers met the requirements, including nationwide service capacity, security, neutrality and scalability, with technical input from National Information Technology Development Agency (NITDA).
Tayo Koleoso, chief of staff to the executive chair of FIRS, said the providers were selected based on their ability to deliver at scale.
“NITDA’s role was critical in tightening data protection and cybersecurity on the platform, giving taxpayers confidence that their information is safe and the process is transparent,” he noted.
Niyi Toluwalope, managing director and chief executive officer of eTranzact, described e-invoicing as a platform for innovation in business-government interaction.
“This recognition by affirms our vision to be the preferred integrated financial technology platform for merchants and consumers. For us, e-invoicing is more than compliance. It is opportunity to transform the way businesses interact with government, creating transparency, efficiency and value.”
This certification builds on the firm’s record of supporting national tax automation. In 2017, under Tax Administration 2.0, the company partnered FIRS and banks to deploy an API system for secure VAT and WHT reporting through TaxPro Max. That infrastructure established a standard for digital transparency in tax reporting and laid foundation for Tax Administration 3.0.
In addition to tax solutions, eTranzact delivers technology that addresses other government and institutional needs. In 2024, it deployed a verification system for Military Pensions Board, enabling pensioners to authenticate their identities seamlessly.
Since 2003, it has provided secure and scalable payment infrastructure for industries, licensed by Central Bank of Nigeria for Switching and Processing as well as Mobile Money Operations.
The approval strengthens eTranzact’s position as a trusted partner in government-led digitisation of tax and business processes, according to the company. #FIRS Deal: eTranzact Gains 45% as Investors Bet on Future Earnings Stream Euro Climbs Against U.S Dollar, ECB Keeps Rates Steady
