Tourist Company of Nigeria Plc, operators of Federal Palace Hotel & Casino, has reported a 35 per cent increase in turnover to N7.68 billion for the financial year ended December 31, 2025, from N5.69 billion recorded in the preceding year.

The company disclosed this at its 61st Annual General Meeting (AGM), held on Friday at the Federal Palace Hotel & Casino in Lagos, where shareholders considered the company’s 2025 audited financial statements and other resolutions.

According to the company’s 2025 Annual Report, the improved performance was driven largely by its hospitality segment, which recorded a 53 per cent increase in revenue, following stronger patronage of its new lifestyle and room offerings.

TCN also recorded earnings before interest, taxes, depreciation and amortisation (EBITDA) of N858 million during the year, which the board attributed to improved operational efficiency and resilience in its core business operations.

The company posted a Profit After Tax (PAT) of N3.4 billion, describing the result as its strongest performance in recent years.

A major contributor to the bottom line was a foreign exchange gain of approximately N3.9 billion, which the board said had a significant positive impact on the overall financial results.

In her statement contained in the annual report, Chair of the Board, Mrs Martina Ereomajuwa Gbadebo, said the 2025 performance represented the first fruits of the company’s transformation strategy.

She said while 2024 was characterised by resilience under pressure, 2025 marked a year in which the company “reclaimed our narrative” following its transition from its former technical partnership arrangement.

According to her, the company entered 2025 with a mandate to stabilise, build and expand, while deliberately developing the processes and structures required to support a world-class hospitality, lifestyle and gaming destination.

Gbadebo said the company achieved a historic milestone in October 2025 when it recorded its highest monthly revenue in its history.

“This was not a fluke of the market, but the direct result of a vision to expand our revenue streams and strengthen our core business,” she said.

Board approves leadership change

The board disclosed the conversion of Ms Eloho Anita Ibru’s position from Non-Executive Director to Executive Director.

The decision followed the departure of the Acting Managing Director, Mr Theophilus Eniola Netufo, with the board saying it had carefully considered the company’s leadership needs at a critical stage of its transformation.

The board said Ibru brought experience in marketing, human resources, partnership development and business execution, adding that her appointment had already produced tangible results and contributed to the company’s improved performance.

Forensic audit triggers accounts restatement

The company also disclosed that a forensic audit conducted during the year identified critical findings relating to alleged debts previously carried in its records in connection with Ikeja Hotel Plc and Sun International Limited.

According to the board, the findings necessitated the restatement of the company’s accounts.

The board urged shareholders to refer to the relevant notes to the 2025 audited financial statements for further details.

Shareholder raises concerns over losses, receivables

During the meeting, a shareholder, Eki Chibuzo, acknowledged the company’s 35 per cent revenue growth but urged the board and management to strengthen their financial and operational strategies to address accumulated losses and improve working capital.

Chibuzo noted that the company recorded earnings per share of 1.52 but said accumulated losses currently prevented the company from paying dividends, subject to applicable regulatory requirements.

The shareholder also raised concerns over the significant increase in trade and other receivables, urging management to intensify recovery efforts to improve the company’s working capital position.

Chibuzo further questioned an agreement requiring the payment of 1.5 per cent of revenue as basic fees to a competitor or affiliate. He formally requested that the board review and, where possible, renegotiate the arrangement to enable the company to retain a greater proportion of its earnings.

He also urged the board to develop a clear strategy for eliminating accumulated losses and prioritise employee welfare to sustain operational stability.

Shareholders elect audit committee members

At the AGM, shareholders approved the composition of the company’s Statutory Audit Committee, comprising five members—three shareholder representatives and two directors.

The board nominees were Mr Joseph Willie Duncan, Independent Non-Executive Director, and Mr Otoke Alexander Ibru, Non-Executive Director.

Following the required 21-day statutory notice period, three valid nominations were received from shareholders: Mr Aaron Adekunle Amusa-Oseni, Mr Salaou Mohamed Adebanjo and Mr Akinola Peter Soares.

With no opposing nominations, a motion for the appointment of the five nominees was moved and seconded by Engineer Victor. The resolution was subsequently carried by a majority vote.

Shareholders approve key resolutions

The AGM also considered the re-election of Mr Joseph Willie Kofi Duncan and Mr Andy Junior Akporugo, who retired by rotation and offered themselves for re-election.

Shareholders also approved the reappointment of BDO Professional Services as the company’s external auditors and authorised the directors to determine the auditors’ remuneration.

Other resolutions considered at the meeting included the disclosure of managers’ remuneration contained in the 2025 annual financial statements.

Under special business, shareholders considered and approved an ordinary resolution fixing the remuneration of the company’s Non-Executive Directors for the financial year ending December 31, 2026.

The approved remuneration is to take effect retrospectively from January 1, 2026, and remain applicable in subsequent years until reviewed by the company at an AGM.

The company’s board comprises Mrs Martina Ereomajuwa Gbadebo, Chair of the Board; Mr Otoke Alexander Ibru; Ms Eloho Anita Ibru, Executive Director; Mr Joseph Willie Kofi Duncan; and Mr Andy Junior Akporugo