Dipo Olowookere
By Dipo Olowookere
President and Chief Executive Officer of Transnational Corporation of Nigeria (Transcorp) Plc, Mr Adim Jibunoh, has described the company’s 2017 half year performance highlights as a significant recovery from the financial year 2016.
While commenting on the firm’s recently released financial statements for the period ended June 30, 2017, Mr Jibunoh noted that Transcorp Plc was on track for strong performance in the third quarter of 2017, as it has already initiated the process of enhancing the available capacity of the power generating plant from 620MW to over 720MW to take advantage of improving gas supply.
“Our results show continued growth and a substantial step-up in profitability despite the volatile economic environment.
“It was achieved largely through increased power output following improved gas supply. Our power plant, Ughelli Transcorp Power Company, has consistently ranked as the number one power producer, contributing an average of between 13% -15% of total power exported to the national grid during the 2nd Quarter of 2017,” Mr Jibunoh said.
He stated that, “In addition, improvements in general economic activity in Abuja and return to operations of the newly upgraded rooms at the Transcorp Hilton Hotels Abuja will boost occupancy and top line performance for Transcorp Hotels in the 2nd half of 2017.
These changes are keeping us responsive to fast changing consumer trends and accelerating our drive to a stronger financial performance in the second half of the year. We see this as a proven way of delivering long-term shareholder value,”
During the period under review, Transcorp, Nigeria’s foremost conglomerate, showed significant growth in key financial indicators.
The firm recorded N4.2 billion as profit after tax (PAT), translating into 134 percent growth compared to the loss of N12.19 billion recorded in the corresponding period in 2016.
The conglomerate achieved the impressive growth in profit from a total comprehensive income of N6.22 billion, a 285 percent growth from the loss of N11.50 billion recorded in the second quarter of 2016.
While its total assets capped at N264 billion for the period under review from N232 billion attained as at December 31, 2016, the shareholders fund grew to N93 billion, up from N86 billion as at December 2016.
This was attributed to the improved earnings and profits to increased production in its power business, improvement of the economic climate, which has impacted positively on the operations of its hotel business, among other positive indicators.
