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Nigeria’s leading conglomerate, Transnational Corporation Plc (Transcorp Group), has recorded a N142.1 billion revenue for 2023 financial year, up from N90.3 billion it recorded in 2022, representing a 57% revenue growth.
This was disclosed at the company’s 18th Annual General Meeting (AGM), held on Monday, May 27, at the Transcorp Hilton Hotel, Abuja.
The company’s outstanding financial results were driven by successful execution across all business lines and demonstrated Transcorp Group’s ability to deliver to all its stakeholders, including shareholders.
At the AGM, Transcorp confirmed that the Group’s total assets grew by 20%, up from N422.7 billion in 2022 to N529.9 billion in 2023; Profit Before Tax (PBT) grew from N30.3 billion in 2022 to N58.8 billion in 2023, while Profit After Tax (PAT) for the Group increased from N16.8 billion to N32.5 billion. The performance was due to the strong results across its subsidiaries– Transcorp Hotels Plc, Transcorp Power Plc, Transafam Power Ltd, and Transcorp Energy Ltd.
The Group’s power subsidiaries, which together with its strategic investment in OPL281, form the basis of its integrated energy strategy, also achieved significant growth, recording a 63% increase in profit, from N17.7 billion in 2022 to N28.9 billion in 2023.
Transcorp’s power businesses, Transcorp Power Plc and Transafam Power Ltd, provide over 20% of Nigeria’s installed power capacity, and the Group recently entered the distribution sector, through its investment in Abuja Electricity Distribution Plc.
The Group’s hospitality business recorded average occupancy of 81%, with profit increasing by 105% from N4.6 billion in 2022 to N9.5 billion in 2023; while revenue grew by 36% from N30.4 billion in 2022 to N41.5 billion in 2023.
President/Group CEO, Dr. Owen Omogiafo (OON), highlighted the Group’s strategic growth plans, including the multipurpose, world-class 5,000-capacity event centre at the Transcorp Hilton Hotel, Abuja, which is set to open later in the year, as well as the ambition to increase available power generation capacity.
“The reward for success is more work, and across our Group, we are not relenting. We are focused on maximising our strengths and opportunities for vertical growth, to deliver more value and achieve sustainable growth. We are confident that the coming year will bring even more value to our shareholders,” she said.
Speaking, Group Chairman, Tony Elumelu (CFR), said: “Transcorp Group has not only recorded unprecedented growth, the Group has demonstrated its potential to deliver much more value to stakeholders and to our country. The sustained success of all our businesses reflects our resolute stance on corporate governance, our commitment to improving lives and transforming communities, and the priority we place on our people. Despite the current macro-economic challenges, the future remains an exciting one.
“Government has a critical role to play. We remain committed to creating more value and appreciate the policies already implemented. However, we call on the Federal Government to prioritise the crippling issues in the power sector. The challenges in the power sector should be uppermost in our nation’s transformation agenda. The private sector cannot thrive without improved access to electricity. Fundamentally reforming the power sector is essential to our national economic transformation.”
Shareholders at the AGM approved a dividend of 10 kobo, a 100% increase over the previous year. The financial year 2023 is the 10th consecutive year Transcorp Group would be paying dividend to shareholders.
Shareholders also lauded Transcorp Group’s commitment to growing shareholder value and strong corporate governance, as well as its consistency in paying dividend year-on-year.
The Group’s commitment to community and social responsibility, inclusive of its sustainability and CSR projects, was also commended at the AGM.