Transnational Corporation Plc has announced its financial results for the year ended December 31, 2023, with inflation pushing the operating costs of the conglomerate to N26.9bn in 2023.
In recent times, the Nigerian economy has been battling with the issues of galloping inflation. Figures obtained from the National Bureau of Statistics showed that inflation had risen from 21.91 per cent as of February 2023 to 31.71 per cent in February 2024.
But despite the inflation, the Group achieved substantial growth in its financial indicators, reinforcing its market leadership and strategic positioning.
In its audited results, Transcorp reported significant year-on-year growth, with revenue rising to N197bn in the year 2023, from N134bn in 2022, representing a 47.3 per cent increase.
The strong performance is a further demonstration of the Group’s strategic focus and effective execution.
Highlights of Transcorp group results showed that operating expenses saw an increase of 22.6 per cent year on year, totalling N26.9bn in 2023, reflecting the impact of inflation.
The net finance cost increased by 46 per cent to N22.6bn, arising from interest on foreign currency loans, that has now been repaid.
The company said profit before tax surged by 93.5 per cent, amounting to N58.8bn in 2023, compared to N30.4bn in the same period last year.
Profit after tax improved 91 per cent year-on-year to N32.6bn in 2023, compared to N17.1bn in the same period last year.
Earnings per share of the Group were N40 compared to N19 in 2022, while total assets grew by 20 per cent, to N529.9bn in full year 2023, up from N442.7bn in December 2022.
Speaking on the results, the President/Group Chief Executive Officer of Transcorp, Dr. (Mrs) Owen D. Omogiafo, said the financial results for 2023 underscore the Group’s strong operational performance and the results of its strategic initiatives.
She said, “Notwithstanding the strong macroeconomic headwinds in the year, we achieved significant growth in revenue and profits, indicating our ability to navigate a dynamic market landscape effectively. Our primary objectives remain centered on achieving sustainable growth, enhanced operational and technical efficiency, and maximizing value for shareholders.”
Transnational Corporation Plc is one of Africa’s leading, listed Conglomerates, with strategic investments in the power, hospitality, and energy sectors, driven by its mission to improve lives and transform Africa.
Transcorp’s power businesses, Transcorp Power Plc and Transafam Power, provide over 15 per cent of Nigeria’s installed power capacity.
Transcorp is developing Nigeria’s domestic energy value chain, through its investments in OPL281.
The Group’s hospitality business, Transcorp Hotels Plc owns the Transcorp Hilton Abuja, and has launched the digital platform Aura by Transcorp Hotels.