• Revenue: N12.59 billion, an increase of 63.7%
  • Cost of sales: N7.83 billion, up by 97.8%
  • Gross Profit: N4.76 billion, a rise of 77.6%
  • Sales and distribution expenses: N483.5 million, an increase of 79.8%
  • Administrative and General Expenses: N1.26 billion, up by 33%
  • Operating profit: N3.20 billion, an increase of 97.8%
  • Finance income: N878.8 million, up by 159%
  • Finance cost: N994.9 million, an increase of 11.9%
  • Profit Before Tax: N3.08 billion, a rise of 188%
  • Tax expense: N1.08 billion, up by 124%
  • Profit After Tax: N2.004 billion, an increase of 241%
  • Earnings Per Share (EPS): N93, up by 232%

Ikeja Hotel Plc to announce an impressive 188% growth in pre-tax profit for the nine-month period ending September 2024.

The company's pre-tax profit reached N3.089 billion during this period, representing a substantial increase compared to the N1.07 billion achieved in the corresponding period of 2023.

This information is derived from the company’s unaudited financial report for the first three quarters of the year, which was released on the Nigerian Exchange (NGX).

The report indicates that revenues for this period rose by 63.78%, increasing from N7.69 billion in the first nine months of 2023 to N12.59 billion in 2024.

In the third quarter of the reviewed year, the company’s revenues increased to N4.39 billion, compared to N3.12 billion in the same quarter of 2023.

During this quarter, the cost of sales accounted for N2.85 billion of the revenues, resulting in a gross profit of N1.53 billion.

From July to September 2024, the company’s finance cost rose from N299.1 million in 2023 to N334.08 million. Nevertheless, its pre-tax profit for this period nearly doubled, increasing from N529.09 million to N1.03 billion.

The company's performance over the reviewed period appears commendable, especially in light of the prevailing macroeconomic challenges in the country, where inflation has significantly reduced the disposable income of numerous individuals, households, and organizations. 

During the nine-month period analyzed, the majority of the company's revenue was derived from room bookings, followed by food and beverage sales. Specifically, the company earned N8.57 billion from room services between January and September 2024, a notable increase from N4.97 billion during the same timeframe last year. 

Additionally, food and beverage sales contributed N3.5 billion to the company's revenue in the first nine months of the year, compared to N2.30 billion in the corresponding period of 2023. 

The company incurred expenses of N1.14 billion for room maintenance during this period, alongside N2.07 billion in food and beverage costs for the first nine months of 2024. In contrast, the costs for rooms and food and beverage in the same period of 2023 were N844.4 million and N1.14 billion, respectively. 

Moreover, the company allocated approximately N1.91 billion for administrative expenses and N227.2 million for information and telecommunications systems.

Ikeja Hotels provides an extensive selection of both continental and intercontinental cuisine, all served with exceptional customer service standards.