HabariPay Limited, the fintech arm of Guaranty Trust Holding Company (GTCO), recorded a profit before tax (PBT) of N4.02 billion for the first half of 2025. This figure marks a 95 percent increase from N2.07 billion in H1 2024.
The results appear in GTCO’s unaudited financial statement for the period ended June 30, 2025. HabariPay contributed 0.67 percent to the group’s total PBT of N600.9 billion.
Revenue and Expense Breakdown
Operating income surged 82 percent to N5.05 billion from N2.77 billion year-on-year. This growth stemmed from higher transaction volumes on platforms like Squad and Habari Shop.
Operating expenses rose to N1.03 billion from N703.3 million, reflecting investments in tech infrastructure and marketing. No loan impairments or tax charges were recorded, preserving margins.
Context Within GTCO
GTCO’s group PBT fell 40 percent to N600.9 billion, driven by foreign exchange gains dropping from over N600 billion in H1 2024 to N26 billion. HabariPay’s performance stood out amid this decline.
The statement was released on July 31, 2025, via the Nigerian Exchange (NGX). Analysts attribute the fintech’s gains to Nigeria’s expanding digital economy.
Impact
For millions of Nigerian small business owners in Lagos markets or Abuja tech hubs, HabariPay’s leap means faster, cheaper payments that keep cash flowing. A trader using Squad for POS transactions now processes N500,000 daily with fees under 1 percent, up from clunky bank transfers that delayed restocking.
This efficiency injects vitality into an economy where 60 million youths drive e-commerce. Zero impairments signal stability, reassuring merchants who lost N1.2 trillion to fraud in 2024. For families, it translates to reliable school fee payments or remittances without hidden charges.
HabariPay’s N4 billion profit, though small against GTCO’s scale, fuels job creation; over 500 new roles in H1 2025, in a sector where unemployment hovers at 42 percent for under-35s. Rural adopters in Kano benefit from Habari Shop’s agent network, bridging the 40 percent unbanked gap.
Yet, higher group-wide FX reliance underscores vulnerability; if naira stabilizes at N1,600 per dollar, fintechs like this could capture 20 percent more market share from traditional banks.
If You Ask Me
HabariPay’s 95 percent profit jump isn’t just numbers; it’s proof that Nigeria’s fintech wave is maturing beyond hype. In a year when GTCO’s FX windfall evaporated, this subsidiary’s organic growth via transaction volume shines as a sustainable model.
I see it as a beacon for diversification; while banks chase revaluation gains, fintechs build on real utility. Relatable to any Enugu vendor tired of cash risks, Squad’s 82 percent income rise reflects smartphone penetration hitting 55 percent among youths, per NCC data. The lean model; no taxes or impairments, mirrors global peers like Paystack, acquired for $200 million in 2020.
Opinion: GTCO should double down, allocating 10 percent of its N20 trillion assets to fintech R&D. This could yield N50 billion in subsidiary profits by 2027, cushioning oil-dependent revenues. Without it, we risk fintechs outpacing banks, leaving legacy players like Zenith (45 percent PAT CAGR) in the dust. HabariPay proves execution trumps scale, a lesson for Nigeria’s economic renewal.
About HabariPay
HabariPay launched in 2021 as GTCO’s payment gateway, powering Squad (POS and e-commerce) and Habari Shop (marketplace). It processed over N10 trillion in transactions by 2024, per company reports.
Nigeria’s fintech sector attracted $2.1 billion in investments in 2024, led by rounds for Opay and Moniepoint, per Africa Fintech Summit. Smartphone users reached 150 million in H1 2025, fueling a 40 percent rise in digital payments to N400 trillion, CBN data shows.
GTCO’s share price climbed from N29.20 in 2020 to N94.00 by October 15, 2025; a 28 percent CAGR, despite H1 profit dips. Five-year PAT grew at 50 percent CAGR, outpacing Zenith’s 45 percent.
Outcomes: Sustained growth could see HabariPay hit N10 billion PBT by 2027, capturing 15 percent of Nigeria’s $50 billion payment market. Risks include regulatory shifts; CBN’s 2025 eNaira push may compete.
