Legend Internet Plc continued to strengthen its balance sheet in the twelve months ended July 31, 2026, with total assets rising 29 percent to N4.14 billion from N3.21 billion a year earlier.
The internet service provider disclosed the performance in its unaudited management financial statements for the period, filed with the Nigerian Exchange Limited (NGX).
The expansion reflects continued investment in infrastructure and increased access to financing, although higher costs are weighing on earnings.
The company Legend reported a profit of N13.2 million for the period, down from N142.5 million in the previous year due to infrastructure acquisition costs, administrative expenses and financing-related pressures.
Analysts said Legend Internet’s ability to translate its expanded asset and financing base into stronger revenue growth, while bringing administrative and financing costs under control, has strong potential to restore profitability and improve shareholder returns.
Total assets increased by N929.4 million during the year, driven largely by a significant increase in current assets, which rose to N1.65 billion from N597.8 million. The stronger liquidity position provides the company with additional capacity to support operations and fund near-term growth initiatives.
Despite a decline in revenue, Legend Internet maintained a relatively strong gross profit position. Revenue fell to N1.10 billion from N1.19 billion, while gross profit moderated to N714 million from N761.4 million. This translated to a gross margin of approximately 65 percent, underscoring the resilience of the company’s core operating economics despite softer top-line performance.
The company’s infrastructure base also remained substantial, with property, plant and equipment valued at N2.47 billion at the end of the reporting period. Legend Internet invested an additional N49.6 million in property, plant and equipment during the year, highlighting its continued commitment to expanding and maintaining its network capacity.
Legend recorded a net cash inflow of N1.07 billion from financing activities, following proceeds from loans, term loans and commercial paper, partly offset by loan repayments. The increased financing provides additional resources for expansion, but also raises the importance of effective debt and financing-cost management as the company scales.
For investors, the key question will be whether the company can convert its enlarged asset and financing base into stronger revenue growth and improved earnings. Sustained investment in infrastructure could provide a platform for future expansion, but tighter control of administrative and financing costs will be critical to translating balance-sheet growth into shareholder returns.