Manny Ita –
The Central Securities Clearing System (CSCS) has pledged improved returns for shareholders following the approval of an ₦8.9 billion dividend at its 32nd Annual General Meeting held in Lagos.
Chairman of the board, Temitope Popoola, assured investors that increasing dividend payouts remains a priority, although recent regulatory changes have required a more cautious approach. He explained that new capital requirements introduced by the Securities and Exchange Commission (SEC) have compelled firms in the capital market to retain more earnings to strengthen their financial base.
The approved dividend translates to ₦1.78 per share, reflecting what the company described as a balanced strategy between rewarding shareholders and maintaining sufficient capital to support future growth and regulatory compliance.
CSCS noted that it is positioning itself to meet evolving market demands through infrastructure upgrades and innovation. Key priorities include improving settlement systems, expanding digital capabilities, and aligning Nigeria’s capital market operations with global standards.
The company highlighted its successful transition from a T+3 to a T+2 settlement cycle, which has enhanced liquidity and reduced transaction risks. According to Chief Executive Officer Haruna Jalo-Waziri, efforts are already underway in collaboration with regulators to move toward a T+1 settlement system, a shift expected to further improve efficiency and market confidence.
Financially, CSCS reported strong revenue growth driven by increased transaction and depository activities. Gross earnings rose to ₦28.67 billion, while revenue climbed to ₦23.21 billion. However, profit after tax declined to ₦9.90 billion, largely due to a significant rise in tax expenses. Operating costs also increased, reflecting higher personnel and administrative spending.
Despite the dip in net profit, the company maintained that its core operations remain strong, supported by sustained market activity and improved infrastructure. Total equity also recorded growth, underscoring long-term stability.
CSCS added that ongoing reforms in the capital market, including stricter capital requirements and shorter settlement cycles, are expected to reshape the industry, enhance resilience, and attract more investors. It said its strategy is focused on leveraging these changes to deliver stronger performance and improved shareholder value in the years ahead.
