WED, 09 NOV, 2022-theGBJournal| At the presentation of “Facts Behind the Figures” to capital market operators at the trading floor of Nigerian Exchange in Lagos on Tuesday, the Transnational Corporation Group told capital market community that they will remain resolute as they execute their strategic priorities in 2022, adding that their key priority is to achieve set targets for the year across the various operating segments.
The Corporation said it is looking to deliver consistently, impressive returns to all stakeholders on the back of massive investments in power generation, existing assets in hospitality industry, and other assets across various operating segments.
The Transcorp Group led by the President, Owen Omogiafo, said the company’s overall strategic objective is to fully optimize its existing assets to ensure it consistently delivers value and high returns to stakeholders.
Citing increased generation of power by one of its subsidiaries, Transcorp Power Limited, Omogiafo said the company targets to further increase Average Available Capacity to 690 MW, above this year’s target generating capacity of 553 MW.
We successfully increased and maintained the available plant capacity from 48MW at the time of takeover to 188MW with minimum CAPEX requirements between time of administrative handover in March 2021 and September 2022,” the Group President told stockbrokers.
Going forward, she highlighted efforts to improve performance of otherwise non-operational power generation facility, citing the commissioning of GT20 with an additional capacity of 138MW in September, as well as gas supply facilities.
She said “We revived the GT20 which has been non-operational for 15 years; and our execution of a gas supply agreement with AccuGas and HHOG, discussion with other gas supply channels to ensure we have a steady gas supply are part of our strategies to deliver impressive returns. With the improvement in installed capacity and gas supply, we are looking forward to finishing strong in 2022 and a solid start in 2023.”
She said that despite ravaging inflation, foreign exchange volatilities and insecurities, the management has ensured maximum efficiency and consistently delivered superior services to guests, maximised revenue and creatively explored ways to optimise key business segments to drive consistent growth.
According to her “Our key focus will be a continued investment in innovation that allows us to be dynamic and agile whilst delivering superior offerings and service,” adding that the Ikoyi-Lagos branch of Transcorp Hotel would come into operation by 2023 to add more value to their earnings.
She expressed hope that that company would continue to surpass industry benchmarks and targets across key performance indicators, stressing that the 2022 strategic target for Transcorp Hilton Abuja is pegged at 73 per cent, while that of Transcorp Hotels Calabar at 53 per cent.
Despite the extremely challenging business environment, the conglomerate with investments in the hospitality, power and oil & gas sectors, recorded impressive growth in its profit after tax which rose by 41.4 per cent to N19 billion up from N13.3 billion recorded the previous year in September 2021; while profit before tax grew by 47.7 per cent to NN20.9 billion in September 2022, higher than N14.1 billion recorded in the similar period of 2021.
Operating Income also grew by 14.5 per cent from N27.5 billion in September 2021 to N31.5 billion in September 2022, while Operating expenses for the quarter ended September 2022, stood at N16.0 billion, representing an increase of 30.9 per cent compared to N12.2 billion recorded in the same period of 2021.
Total assets increased by 1.3 per cent from N416.0 billion in December 2021 to N421.2 billion in Q3 2022 just as shareholders’ funds rose to N161.8 billion, representing an 11 per cent year-on-year increase from N146.3 billion.
Fielding question on the company’s free float deficit, the Group President, Omogiafo promised that going forward part of Transcorp Hotels’ focus will be to achieve the required 20 percent issued shares free float percentage and continuous quarterly engagement with capital market community and investors showcasing its business initiatives and plans.
“We continue to build stakeholder interest through product innovation, good corporate governance practices, and awards to ensure strong patronage and buy when we do go to the market,” Omogiafo, the Group President promised.
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