Transnational Corporation of Nigeria, Transcorp Plc, has assured its stakeholders of improved financial performance in 2015 given the results achieved by the company in the 2014 financial year.
According to the president/CEO, Mr. Emmanuel Nnorom, shareholders should expect even better performance across all the business focus areas, including the anticipated implementation of Transitional Electricity Market ,TEM, and an increasing stability in the economy and tourist environment.
The company had recorded N41.3 billion revenue in its audited full year financial results for period ended December 31, 2014, representing 120 percent growth over N18.8 billion posted in the corresponding period in 2013.
According to the company in a statement, the revenue growth was particularly impacted by strong contributions by its power business (Transcorp Ughelli Power Limited) and hospitality subsidiary (Transcorp Hotels Plc).
Highlights of the 2014 results released on the Nigerian Stock Exchange, NSE, showed that its gross profit increased by 92 percent to N27.6 billion as against N14.4 billion recorded in 2013.
Also, the group operating profit rose to N13.6 billion, an increase of 33 percent over the figure posted in 2013, while the total assets for the group grew by 14 percent from N149.6 billion in 2013 to N170.8 billion during the period. The group net finance cost at N7.8 billion, represents 208 percent increase compared to N2.5 billion reported in the same period in 2013, principally from foreign exchange losses and full year of debt service on acquisition finance loan for Transcorp Ughelli Power Limited.
However, profit before tax declined by 14 percent to N7.7 billion in 2014 from N9.0 billion in 2013.
Commenting on the results, the CEO said, ‘We are delighted to record an impressive performance, despite the challenges we experienced within our operating environment. We achieved significant growth in our top line and maintained our margins within acceptable limits despite the delayed implementation of the Transitional Electricity Market (TEM), exchange rate movement and reduced occupancy arriving from security challenges and the viral epidemic in West Africa.