Legend Internet slips to N99 million loss in 2025 ahead of Spectranet merger

Nigerian broadband internet service company Legend Internet has recorded a N99.34 million loss during the year ended 31st January 2026. The loss forms a cumulation of its quarterly losses during the year, putting more pressure on its planned merger with Spectranet.

In its unaudited financial statement made available via the Nigerian Exchange Group (NGX), Legend Internet’s loss is attributed to two core financial operations in 2025. 

One. Its administrative expenses increased from N166.78 million in the previous year to N457.62 million in 2025. Personnel cost (N153.5 million), professional fees (N79.5 million) and depreciation of properties (N98.4 million) significantly rose, thereby increasing the company’s expenses.

Further breakdown shows that the company spent more (more than triple in some cases) on personnel cost, marketing, transport and travelling, entertainment, and other professional services compared to last year.

Two. Legend Internet’s core revenue product, Legend Fibre, recorded a 37.8% drop in revenue from N318.5 million to N198.3 million. While no explanation was stated for the drop, the slip is likely attributed to rising competition from MTN FibreX, which has grown its subscribers from around 15,000 to more than 120,000 in the past 12 months.  

Owing to the drop in financial performance, Legend Internet’s revenue fell 19% to N505.36 million from N622.63 million. The year’s loss of N99.34 million was a significant fall from the N239.85 million profit recorded in 2024. 

Other notable revenues are N2.2 million made from WiFi, N279,000 from Legend Pay, N12.58 million from Wholesale Bandwidth, a new product, and N7.2 million from Cost per Engagement (CPE) sales. 

Retained earnings, forming the accumulated profit in the business over the years, fell to N410.75 million from N660.37 million, attributed to financial loss and paid dividends. The loss impacted the shareholders’ fund, which dropped to N2.55 billion from N2.9 billion. Also, there was a basic loss per share of 11 kobo, from 12 kobo earnings in 2024. 

No new shares were issued during the year as share capital remained at N1 billion.

Also Read: Legend Internet to merge with Spectranet to reinforce broadband infrastructure.

Legend Internet: Rescue plans in the proposed Spectranet merger

In Legend Internet’s statement earlier this year, which disclosed the merger plans, it noted that the deal is to bring positive earnings and strengthen the capacity of the fibre and wireless infrastructure. 

The company projected that the deal will deliver improved operational efficiency and expand coverage across key urban markets. It comes when the Nigerian broadband internet space is experiencing stiff competition, with more internet users leaning toward mobile data than fibre or WiFi. 

But the leading cause of the merger is a rescue plan for both Legend Internet and Spectranet. While the proposed merger will combine resources and create a stronger broadband operator capable of competing more effectively in Nigeria’s internet market.

Although Spectranet remains Nigeria’s largest fixed wireless internet service provider with 99,520 subscribers as of the last industry update in Q2 2025, the position has been under competition threat, and it fell from 103,252 in Q1 2025. 

Legend Internet’s loss in 2025 is its nightmare. In fact, in the last 3 months (Nov – Jan) and 6 months (Aug to Jan) to the year ended 31st January 2026, the company recorded a N226.18 million loss and N199.34 million loss, respectively, signalling a company that needs a rescue.

The aim of the merger is clear for the company. In the statement released in March, it noted that

“The Board believes the Transaction will create sustainable long-term value for shareholders by strengthening the Company’s competitive position, supporting revenue growth, and improving earnings capacity through operational synergies and increased scale.”

While the merger is expected to be finalised before the end of Q2 2026, it remains subject to regulatory approval by the Federal Competition and Consumer Protection Commission (FCCPC) and the Nigerian Communications Commission (NCC).