HabariPay’s Remarkable Profit Surge: A New Leader in Nigerian Fintech
Over the past three years, HabariPay has experienced an extraordinary increase in profitability, multiplying its earnings twelvefold. In the first half of 2020, the fintech recorded a profit of ₦4.02 billion (approximately $2.70 million), a significant leap from ₦322.9 million ($217,094) reported earlier. This impressive growth positions HabariPay as the most profitable bank-affiliated fintech in Nigeria.
Outperforming Competitors in the Bank-Backed Fintech Space
HabariPay’s financial performance outshines notable rivals such as Access Bank’s Hydrogen, which posted ₦283 million ($190,268) in Q1 2025, and Stanbic IBTC’s Zest, which reported a loss of ₦389 million ($261,535) in the first half of the year. Despite this, HabariPay remains relatively small compared to its parent company, GTCO, whose profit stands at ₦449 billion ($301.88 million), with HabariPay contributing just 0.89% of the total.
Positioning Within the Broader Fintech Ecosystem
While HabariPay is growing rapidly, it still trails behind major fintech players like Flutterwave, Paystack, OPay, PalmPay, and Moniepoint. Although many of these companies do not publicly disclose their financials, estimates from recent industry reports suggest PalmPay generated around $63.9 million in revenue, while Moniepoint earned approximately $264.5 million, underscoring the competitive landscape.
HabariPay’s Evolution and Service Offerings
GTCO introduced the Habari super app in 2018, laying the foundation for its fintech subsidiary, HabariPay, which officially launched in 2022. HabariPay’s flagship product, Squad, integrates e-commerce capabilities, a payment gateway, and point-of-sale (PoS) solutions into a single platform, streamlining digital transactions for merchants.
Comprehensive Payment Solutions
HabariPay facilitates merchant payments through various channels, including virtual accounts, bank transfers, card payments, and USSD. The platform also supports card transaction switching and account-to-account transfers. Revenue streams primarily come from net commissions on merchant transactions and margins on bill payments such as bulk SMS and airtime sales.
Rising Operational Costs and Financial Health
Operational expenses have surged thirteenfold, increasing from ₦70.64 million to ₦1.03 billion ($692,497) since the first half of 2022. As of June 2025, HabariPay maintained a cash reserve of ₦2.18 billion ($1.47 million), reflecting a solid liquidity position to support its expansion plans.
Strategic Vision and Future Growth Prospects
CEO Eduofon Japoht emphasized in a March interview that while HabariPay’s growth is commendable, scaling further is essential to solidify its role within GTCO’s portfolio. She highlighted the company’s multiple payment and switching licenses as key assets that will enable a focus on expanding PoS terminal services for merchants and enhancing the security and ease of mobile transfers to match card payment experiences.
“Transfers will remain a cornerstone of Africa’s financial future,” Japoht stated. “Our goal is to make transfer payments as intuitive and secure as card transactions.”
Expansion Plans for PoS Terminals
During an investor call in April, GTCO’s CEO Segun Agbaje announced intentions to accelerate the deployment of PoS terminals. This initiative aims to broaden Squad’s merchant network and increase transaction volumes by 2025, reinforcing HabariPay’s market presence.
Note: All currency conversions use an exchange rate of ₦1,487.37 to $1.
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