CWG Plc is expanding into new markets in East Africa and Middle East after recording the first billion-naira profits in 13 years.
With its operations in Nigeria as well as Ghana, Uganda and Cameroon the 32-year old company reported a 428% increase in profit to N3,04 billion ($1.89billion) in 2024.is increasingly positioning itself to be a pan-African technology enabler. It has moved beyond its traditional role of a systems integrator, to develop homegrown platforms for banks and cooperatives as well as Small and Medium Enterprises.
A CWG spokesperson told TechCabal in an email that the company is “poised for even greater revenue and profit growth in 2020”. As we move towards 2025, we will diversify our offerings, strengthen our presence in existing markets, and expand operations into other East African nations and the Middle East.
While CWG has not yet named the specific countries that it is entering, Adewale Adeyipo, the Group CEO, noted in the 2024 Annual Report the group is targeting to two additional markets in order to extend their tested offerings into new economies.
The report states that the increase in technology consumption in West Africa has led to improved performance for CWG Ghana. Revenues in 2024 were N8.4 billion ($5.0million) compared to N4.13 billion ($2.6million) in 2023. CWG Uganda’s revenues more than doubled, reaching N7.34 billion ($4.6million), while Cameroon reported a N11.9 million ($7.407) revenue from zero.
Beyond geographic expansion, the group is increasing focus on innovation via its software arm, Fifthlab. This division has seen a 558 percent revenue growth over the past year. This was due to the creation of platforms that solve practical problems in key economic sectors.
Adeyipo stated, “This is our new frontier, where we apply everything we have learned and created, creating something truly transformational for CWG, businesses, and economies we serve throughout Africa.” Finedge, Finedge’s digital and banking arm, will onboard nearly 20 new financial institutions by 2024. KuleanPay’s escrow and transactions management platform experienced a substantial growth marked by a 2000% increase in transaction volumes.
SMERP (CWG’s cloud-based solution for SMEs to streamline their operations) recorded a 1,000% increase in growth, while BillsnPay (its vending platform) processed over 30 million transactions worth N18.6 million ($11.6 million).
UCP (its cooperative management platform) expanded its customer base 140% and processed 500 million transactions, a 50% increase year-on-year.
The banking sector continues to drive growth
CWG reported a Q1 2025 profit of N1.48 billion ($921,281), up 368% compared to N316.1 million dollars ($196,706) for the same period in 2024. Revenue grew 83% to N15.3billion ($9.5m), from N8.38billion ($5.2m), mainly due to IT spending by Nigerian banks.
First Bank of Nigeria and United Bank for Africa spent N60.3 billion (about $37.5 million) in Q1 on IT and digital services, up from N45.3 million ($28.2 millions) a year ago.
According to a breakdown of CWG revenue sources, IT infrastructure services contributed the most revenue at N6.2 billion ($3.7million). Software revenue was next with N4.418billion ($2.8m), followed by’managed and Support Services’ at N4.415billion ($2.7m).
The CWG spokesperson stated that in 2024, several Nigerian Banks will invest in IT infrastructure. This includes Finacle, Cloud-based Solutions, Managed IT Services, and many others.
Last year, the group expanded Finacle’s footprint by adding three new sites with Infosys. It also supported MTN Nigeria to launch digital self-service kiosks in Lagos and Abuja.
CWG, while benefiting from strong client relationships and a growing regional demand faces increased competition from global IT consultancies like Accenture and Microsoft. These firms offer end-to-end, bundled services that could put pressure on local players.
CWG’s success will be determined by its ability to scale rapidly, localise efficiently, and sustain innovation on its proprietary platforms. If it delivers, then 2025 could be the most transformative year for CWG, both financially and geographically.
