Transcorp Group’s Q1 2024 revenue grows by 173%, records N45bn profit before tax
Transcorp Group’s Q1 2024 revenue grows by 173%, records N45bn profit before tax
Transnational Corporation Plc says its first quarter 2024 financial results for the period ended March 31, 2024, showed a 173 per cent revenue increase from N32.4 billion in 2023 to N88.6 billion.
Details were contained in its Q1 2024 unaudited financial results which showed significant year-on-year growth, which the company attributed to its remarkable 209 per cent year-on-year revenue growth within the power business.
The company said the performance highlighted significant strategic progress as part of Transcorp Group’s implementation of its integrated power strategy.
“The hospitality business recorded a 68% year-on-year growth in revenue, driven by an increase in occupancy rate from 75% to 82% compared to the previous year,” the company reported, adding that the results showed substantial growth across all financial indicators, reinforcing its market leadership and strategic positioning.
Other highlights of Transcorp Group results showed operating income increased by 479 per cent, from N8.5 billion in the corresponding period in 2023 to N49.1 billion in 2024, while operating expenses increased by 40 per cent year-on-year to N8.2 billion in Q1 2024, reflecting the impact of inflation and cost of operations.
Also, the company said net finance cost increased by 14 per cent to N3.7 billion in 2024 from N3.2 billion in 2023 due to a slightly higher interest rate review in line with monetary policy rate MPR adjustments by the Central Bank of Nigeria (CBN).
In addition, the company said profit before tax from the ordinary business of the Group surged by 1110 per cent, amounting to N34.7 billion in Q1 2024, compared to N2.9 billion in Q1 2023 in the same period last year, while profit before tax, inclusive of extraordinary income, stood at N45.7 billion in 2024, compared to N2.9 billion in 2023.
Apart from profit before tax, the Group said it also recorded extraordinary income of N11 billion during the period from the realised gain from the sale of shares, with Profit after Tax, including the extraordinary income, improving by 1832 per cent year-on-year to N35.9 billion in Q1 2024, compared to N1.9 billion in Q1 2023 in the same period last year.
Besides, earnings per share of the Group was N61.12k in Q1 2024, compared to N2.58k in Q1 2023.
On the balance sheet, the Group said 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, whileshareholders’ 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.
Reacting to the results, President/Group Chief Executive Officer of Transcorp, Owen D. Omogiafo, said the Group’s Q1 2024 results demonstrate its 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,” he said.
“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,” he added.
Transnational Corporation Plc (Transcorp Group), which is a strategic investor in the power, hospitality, and energy sectors, is driven by its mission to improve lives and transform Africa.