Transcorp Power Limited Revenue Improved by 14 Per cent from N65.1bn to N74.3bn

Transnational Corporation of Nigeria Plc (Transcorp) has released financial statements of the conglomerate, which shows that its gross earnings increased to N111.2 billion in 2021 from N75.3 billion in 2020. Similarly, gross earnings for the company almost doubled to N5.13 billion in 2021 from N2.7 billion in 2020.

In a major change, shareholders of the diversified conglomerate yesterday, approved the change in the official group name from Transnational Corporation of Nigeria Plc to Transcorp Transnational Plc.

Chairman of the group, Mr Tony Elumelu said the change in the name is a reflection of the multinational expansion of a company that has extended its business activities, especially in power and hospitality beyond the shores of Nigeria.

According to annual financial report of the group that was released at its Annual General Meeting yesterday, profit before tax for the group increased to N28 billion in 2021, from N1.6 billion in 2020. Profit before tax for the company increased to N4.02 billion in 2021 from N2.7 billion in 2020.

Similarly, profit after tax of the group increased to N23.8 billion in 2021 from N3.8 billion in 2020, while the profit after tax for the company increased to N3.4 billion in 2021 from N2.4 billion in 2020.

Based on that, shareholders approved the payment of 2kobo dividend per share to ordinary shareholders of the group.

The group’s total assets grew to N416 billion in 2021 from N319.2 billion in 2020 while the Company’s total asset declined to N89.7 billion from N90.5 billion in 2021.

The group saw good performance across all sectors in 2021. Transcorp Power Limited’s revenue improved by 14 per cent from N65.1bn to N74.3bn, accounting for around 70 per cent of the group revenue. Profit before tax of the power company increased by 92 per cent, from N12bn to N23.1bn. “This excellent return again validates investment and commitment to this critical sector,” Mr Elumelu said while addressing the shareholders in Abuja yesterday.

Also, its investment in Trans Afam Power limited was consolidated in the group financials in 2021, accounting for 15 per cent of revenue and 25 per cent of the group’s total assets as at December 2021.

The hospitality business returned to profitability, which enhanced further the group and Company’s performance during the year under review.

Before its divestment into power sector in recent years, Transcorp Hotels accounted for the largest revenue to the group.

“Shareholders, I am sure you will share with me the considerable satisfaction of knowing that our company has continued to surpass its past performance, despite macroeconomic difficulties. Our priority going into the next financial year would be to continue optimising our existing assets and pursuing growth opportunities. This is important to ensure sustainable growth in an ever-changing operating landscape,” Elumelu stated.

For the year ahead, Transcorp said the company’s purpose is a commitment to building socially responsible and impactful businesses in key strategic economic sectors that serve its diverse stakeholders.

April 23, 2022