Clydestone Ghana PLC has announced that it will not pay dividends to shareholders for the 2025 financial year after recording a sharp decline in profit and embarking on a new investment-driven growth strategy.

The payment switching and banking technology company reported a profit after tax of GHS463,962 for the year ended December 31, 2025, representing an 88% drop from the GHS3.95 million posted in 2024.

In its audited financial statements released on May 13, 2026, the board explained that the decision to suspend dividend payments was aimed at preserving cash to support the company’s three-year strategic expansion plan and maintain liquidity as it develops new revenue platforms.

According to a statement signed by Acting Chairman and CEO, Paul Jacquaye, the company intends to review its dividend policy continuously and hopes to resume shareholder payouts once earnings improve in line with future projections.

The company attributed the sharp decline in profit to rising operating costs, increased executive remuneration, heavy investment in equipment and infrastructure, and higher finance-related expenses.

Directors’ remuneration rose significantly from GHS842,670 in 2024 to GHS2.145 million in 2025. The board said the increase reflected an adjustment to align management compensation with market standards and the growing complexity of the company’s operations under the Electronic Payment Service Provider (EPSP) licensing regime.

Clydestone also increased spending on property, plant, and equipment during the year. Depreciation charges climbed by GHS480,971 to GHS612,944 after the company invested GHS931,657 in motor vehicles, computers, and office equipment. In addition, the company recognised GHS1.22 million in right-of-use assets linked to a finance lease arrangement for operational vehicles.

Interest and finance costs also rose sharply to GHS1.035 million from GHS666,862 in the previous year due to finance lease obligations and increased use of overdraft facilities.

Despite the decline in profit, the company’s revenue remained relatively stable. Total revenue stood at GHS23.64 million in 2025, slightly lower than the GHS23.92 million recorded in 2024.

Management, however, said the flat revenue performance did not fully reflect the company’s operational growth because of the appreciation of the Ghana cedi against the US dollar during the period. According to the company, underlying revenue performance was stronger when adjusted for exchange rate movements.

One of the company’s fastest-growing segments was Smart Source revenue, which surged from GHS65,352 in 2024 to GHS1.102 million in 2025, representing growth of over 1,500%.

Looking ahead, Clydestone says its three-year strategy will focus on banking branch transformation, UnionPay card issuing and processing, and digital payment channels.

The company noted that it currently holds UnionPay International Principal Acquirer and Third-Party Processor status, a position held by only a few institutions in West Africa. Management expects new mandates from partner institutions to be finalised in 2026, which could create recurring income through card processing fees.

Clydestone is also developing a third-party payments API platform and inward remittance payout services aimed at fintech firms, mobile money operators, and diaspora remittance companies.

Although the company’s cash reserves dropped sharply from GHS8.74 million in 2024 to GHS1.08 million at the end of 2025, management explained that much of the cash had been used to clear legacy obligations and outstanding regulatory-related payables.

Other accounts payable declined from GHS9.22 million to GHS5.15 million, while trade payables were fully settled during the year.

Total assets stood at GHS15.81 million at the end of 2025, compared to GHS19.90 million in 2024.

The board of the company currently includes Paul Jacquaye, Felistas Kisivo, Nii Obodai Torto, and Kwabena Adusei-Poku. Jacquaye holds nearly 60% of the company’s issued shares.

External auditors PKF issued an unqualified opinion on the company’s financial statements, stating that they present a true and fair view of the financial position of the company and its subsidiaries as of December 31, 2025.

The financial statements were approved by the board on May 13, 2026.