Transcorp posts N3.32 billion profit

Transnational Corporation of Nigeria (Transcorp) has posted an after tax profit of N3.32 billion in the financial year ending December 31, 2015.

The Chairman of Transcorp, Tony Elumelu, who announced this on Friday at the company,s 10th yearly general meeting in Calabar, said the group “recorded N40.75 billion in gross earnings for the financial year 2015.

“Profit Before Tax (PBT) for the year ended 2015 was N3.32billion. The Group total asset was N202.9billion showing an increase of 19 per cent compared to N171billion in 2014”.

Following this performance, the Shareholders approved the Board’s proposed bonus issue of 1 ordinary share for 20 ordinary shares held by every shareholder, and also the Group’s annual report for 2015.

Elumelu, who was pleased with the results despite the very challenging operating environment in 2015, said, “the company remains steadfast in her efforts to consolidate on the significant achievements recorded to date and will continue to explore opportunities that will lead to the creation of significant value for all stakeholders in the coming years.”

He said Transcorp Power one of its subsidiaries increased the output of the plant from 610 megawatts in 2014 to 634 megawatts in 2015 and “the company is on track to deliver on its capacity targets for the year 2016. We are also poised to deliver about 895 megawatts to Nigeria’s, national grid by mid 2016, representing approximately 20 percent of Nigeria’s electricity output”.

Shareholders of Transcorp Plc at the meeting, lauded the conglomerate for its financial performance in 2015 despite the difficult operating environment globally and domestically.

However, he pointed out that the challenges in the power sector ranges from gas supply and evacuation difficulties to a compensatory tariff structure even though efforts are on to consolidate on the gains of the power sector privatisation programme.

On plans to restructure the issued and fully paid up shares of 50kobo each in the capital of the company even though opposed by some shareholders, Elumelu said decision on the matter has not been finalised by the board of directors but certainly whatever ratio arrived at will in the interest of all.

President/Chief Executive Officer of the group, Emmanuel Nnorom, said that “Transcorp Plc made good progress on delivering on our strategy in the period.

The Group continues to improve operational and cost effectiveness as well as explore opportunities to expand our product offering.