Financial Energy Review
……….by Ben Ndubuwa……..
Transnational Corporation Plc (“Transcorp” or the “Group”), Nigeria’s leading, listed conglomerate with investment in the Power, Hospitality, and Energy sectors, has posted an impressive first quarter (Q1) financial results for the period ended March 31, 2024.with revenue of N88.6 billion about 173 percent higher than 2023 revenue of N32.4 billion
This impressive results are largely driven by a remarkable 209 percent year-on-year revenue growth within the power business, highlighting significant strategic progress as part of Transcorp Group’s implementation of its integrated power strategy.
The hospitality business recorded a 68 percent year-on-year growth in revenue, driven by an increase in occupancy rate from 75 percent to 82 percent compared to the previous year.
The results show substantial growth across all financial indicators, reinforcing its market leadership and strategic positioning.
Operating income increased by 479 percent from N8.5 billion in Q1 2023 to N49.1 billion in Q1 2024.
Operating expenses saw an increase of 40 percent year on year to N8.2 billion in Q1 2024, reflecting the impact of inflation and cost of operations.
Net finance cost increased by 14 percent to N3.7 billion in 2024 from N3.2 billion in 2023 due to a slightly higher interest rate review in line with MPR.
Profit before tax from ordinary business of the Group surged by 1110%, amounting to N34.7 billion in Q1 2024, compared to N2.9 billion in Q1 2023 in the same period last year.
Profit before tax inclusive of extraordinary income was N45.7 billion in 2024 compared to N2.9 billion in 2023.
The Group recorded extraordinary income of N11 billion during the period from the realised gain from the sale of shares.
Profit after Tax including the extra ordinary income improved 1832% year-on-year to N35.9 billion in Q1 2024, compared to N1.9 billion in Q1 2023 in the same period last year.
Earnings per share of the Group was N61.12k in Q1 2024, compared to N2.58k in Q1 2023.
On the balance sheet, total assets grew by 8.3 percent, from N530 billion in December 2023 to N574 billion in Q1 2024 due to the increase in operational activities.
Shareholders’ funds increased by 20 percent from N187 billion in December 2023 to N224 billion at the end of Q1 2024 due to profit accreted to retained earnings.
In response to the results, Dr. Owen D. Omogiafo, President/Group Chief Executive Officer of Transcorp, commented, “Our Q1 2024 results demonstrate Transcorp Group’s resilience and commitment to excellence.
Despite the challenges, we achieved growth across all major indices, focusing on operational efficiency at both our power plants and maximising opportunities within our hospitality business, showing our ability to adapt and succeed in changing markets. We will continue to deliver sustainable growth, operational efficiency, and value for our shareholders.”
This robust achievement is a further demonstration of the Group’s strategic focus and effective execution. Transcorp is dedicated to its transformation agenda, emphasising sustained growth and a relentless pursuit of long-term value for shareholders.
