Transnational Corporation (Transcorp) Plc has announced impressive financial results for the first quarter (Q1) of 2024, with profit before tax surging to N45 billion. This growth was propelled by robust performance across its power and hotel subsidiaries.
The conglomerate’s unaudited Q1 results for the period ended March 31, 2024, revealed a remarkable increase in revenue to N88.6 billion from N32.4 billion in 2023. This significant progress was attributed to the Group’s integrated power strategy in the power businesses and a rise in hotel occupancy rates from 75.0 per cent to 82.0 per cent.
The power businesses contributed a combined N74.7 billion (84 per cent of the Group’s total revenue), while operating income soared by 479 per cent from N8.5 billion in Q1 2023 to N49.1 billion in Q1 2024. Operating expenses saw a 40 per cent year-on-year increase to N8.2 billion in Q1 2024, reflecting the impact of inflation and operational costs.
Net finance cost rose by 14 per cent to N3.7 billion in 2024 from N3.2 billion in 2023, primarily due to a slightly higher interest rate review in line with the Monetary Policy Rate (MPR).
Profit before tax reached N45.7 billion in 2024 compared to N2.9 billion in 2023, while profit after tax witnessed a remarkable 1,832 per cent improvement to N35.9 billion in Q1 2024, compared to N1.9 billion in Q1 2023.
Total assets grew by 8.3 per cent from N530 billion in December 2023 to N574 billion in Q1 2024, while shareholders’ funds increased by 20 per cent from N187 billion in December 2023 to N224 billion at the end of Q1 2024 due to profit accretion to retained earnings.
Commenting on the results, Dr. Owen Omogiafo, President/Group CEO of Transcorp, expressed satisfaction, stating, “Our Q1 2024 results demonstrate Transcorp Group’s resilience and commitment to excellence. Despite challenges, we achieved growth across all major indices, focusing on operational efficiency in our power plants and maximizing opportunities within our hospitality business.”
Omogiafo emphasized the Group’s dedication to sustainable growth, operational efficiency, and value creation for shareholders, highlighting Transcorp’s strategic focus and effective execution.
Transnational Corporation is a listed African conglomerate with strategic investments in the power, hospitality, and energy sectors. With a mission to improve lives and transform Africa, Transcorp has built a reputation for sector transformation, operational excellence, and exceptional financial performance, delivering value to its shareholders.
