Transcorp Hotels Plc last week at the Nigerian Stock Exchange (NSE) released its financial results for the year ended December 31, 2005.
The group posted turnover of N13.9billion against N15.1billion in 2014. Profit before Tax rose to N5.4bn in 2015 from N4.5billion in 2014.
The group’s profit for the year stood at N3.49billion from N3.22billion in 2014. Earnings Per Share (EPS) dropped from 59kobo in 2014 to 46kobo in 2015.
The company also grew its balance sheet remarkably during the year. Total asset increased by about N20bn or 28percent from N69bn in 2014 to N88bn in 2015.
The asset growth was mainly due to the company’s expansion works in Abuja, Lagos and Port Harcourt. Transcorp Hotels Plc issued a total of N19.8billion in corporate bonds to fund these expansion works. The bond accounts for the massive growth in its liquidity position to N14bilion in 2015. This is on the back of the successful IPO in 2014. This is a demonstration of investors’ faith in the Company’s business as it continues to justify investors’ confidence through its leading performance.
As part of its corporate reward, Transcorp Hotels Plc proposed dividend of 40.85kobo per share in 2015 subject to shareholders which is still subject to approval at the annual general meeting of the company scheduled for April 15, 2015 in Transcorp Hilton, Abuja.
Commenting on the results, Valentine Ozigbo, Managing Director/Chief Executive Officer, Transcorp Hotels Plc said “Transcorp Hotels Plc delivered on a strong performance despite the challenges faced by both the domestic and international business environment. Our performance reflects the stability that has been injected into the Group’s corporate strategy.
“Our company successfully achieved a 100% subscription on its bond issued in the last quarter of the year and was honoured at the World Travellers Award ceremony with 5 awards making history, while emerging as Africa’s best. We were also recognized by the Kaizen Institute International as having the best case of the successful implementation of the Kaizen principles of executing operational excellence.
“With expansions plans in the wings the company will develop high end hotels in Ikoyi and Port Harcourt as well as a convention centre and apartment complex in Abuja. Renovation of the Transcorp Hilton Abuja is also ongoing. 2016 will usher in additional business lines, specifically food franchise business. Transcorp Hotels will continue to leverage on the Transcorp Hilton Brand and strong customer base to provide excellent guests experience and achieve superior returns from the new assets,” he stated.
Iheanyi Nwachukwu
