Investment in power, hospitality, energy lifts Transcorp Q3 revenue to N128b

Amid harsh operating environment, Transnational Corporation Plc (Transcorp Group), has posted a revenue of N128 billion in its third quarter (Q3) operations 2023, against N96.2 billion recorded in the corresponding period in 2022.

Specifically, the group’s unaudited result for the period ended September 30, 2023 showed 33 per cent rise in revenue to N128 billion, compared to N96.2 billion posted in 2022, while operating income also grew by 36 per cent to close at N42.7 billion up from N31.5 billion posted within the same period in 2022.

The company attributed the improved performance to huge investments made in power, hospitality, and energy sectors, stating that these investments are currently yielding impressive results.

Its total assets also increased by eight per cent from N442.7 billion in December 2022 to N479.8 billion in Q3 2023.

The company disclosed that its power subsidiaries’ revenue grew by 33.4 per cent from N73.6 billion to N98.2 billion despite the challenges of gas and infrastructure in the sector, showcasing the group’s innovative and resilient business strategy.

President/Group Chief Executive Officer, Dr. (Mrs) Owen D. Omogiafo, expressed enthusiasm and confidence in the Group’s performance.

She said: “Our Group, with our diverse investment in power, hospitality, and energy sectors has reported remarkable results, demonstrating resilience and agility in the third quarter of 2023 amidst the prevailing economic headwinds, including forex challenges, Naira devaluation, gas challenges, and rising inflation.”

“We remain agile, constantly exploring dynamic ways to maintain value for all our stakeholders, and focused on driving sustainable growth, improving lives, and transforming Africa,” she said.

Also, Transcorp Hotels Plc recorded N5.5 billion profit and N29.9 billion revenue within the same period.

The company’s performance for third quarter 2023 showed 31.8 per cent growth in revenue to N29.9 billion from N22.7 billion achieved in the previous year while profit grew by 62 per cent from N3.4 billion to N5.5 billion. Its Average Daily Rate (ADR) increased by 38 per cent to N134, 739 from N99, 390 recorded during the same period in 2022.

Further, Revenue per Available Room (REVPAR) grew to N106, 244 by the end of September 2023 from N77, 428 at the end of September 2022, representing a 34 per cent increase.

Managing Director/Chief Executive Officer of Transcorp Hotels Plc Dupe Olusola, said: “This consistent financial upswing reinforces our dedication to excellence and resilience in the face of economic challenges. We have remained nimble, adapting quickly to meet the dynamic preferences of our guests.”

According to Olusola, the company had continued to experience strong performance in its International Business Travel segment, as it took advantage of renewed investor confidence in the Nigerian economy as a new government resumed office.