Legend Internet Plc has posted earnings results that jeopardises dividend distribution as investors are most likely going to dump shares over the company’s unimpressive performance.
The broadband and digital services provider posted a loss after tax of N416.14 million for the nine months ended April 30, 2026, from a profit of N221.09 million the previous year.
Revenue was down 9.47 percent to N817.07 million in the period under review from N962.24 million the previous year.
Aside from the slump in sales, the company is laden with spiraling operating costs that indicates its owners need to implement cost control measures so as to bolster margins and trim operating losses.
For instance, administrative expenses which are 1.07 times (x) sales surged by 142.05 percent to N817.07 million in the first nine months of April 3o, 2026.
A breakdown of administrative expenses shows the company spent N355.30 million on professional fees, from a figure of N1,500 the previous year.
The company remains focused on long-term growth and operational sustainability, as it seeks to invest in network expansion and digital infrastructure are expected to strengthen service delivery and support future profitability.
Legend Internet’s investors will be scratching their heads over a negative free cash flow of N224.32 million, which means the company spent more cash than it generated during a period.
Analysts are of the view that the broadband and digital services provider is pouring money into projects that are expected to spur future earnings growth.
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