Fishermen involved in marketing and distribution of their daily fish catch incur additional cost apart from fishing. This study analysed the costs and returns of artisanal fishing activity in Kebbi State, Nigeria. A multi-stage sampling method was used to select 82 fishermen which constituted the sample size for the study. Descriptive statistics and net return model were used to analyse data collected. Results revealed that 47.1% were within the age range of 25-40 years, 11.8% had formal education and 84.4% were engaged in fishing as their major occupation. The average investment of a fisherman in the study area was estimated at N64,267, while net returns from sales of fresh fish varied between N 58.22 and N 208.2 for whole sellers and retailers respectively. The study concludes that although fishing is profitable, the return on investment is low thereby leaving the operators vulnerable to loss in case of downward shift in market price of fish. The study recommends that more fishermen should be encouraged to seek for alternative sources of income, while others are provided with fishing inputs or trained on modern fishing techniques and fish farming. Inactive fishermen cooperatives should be strengthened for better bargaining power for higher returns.