Transcorp Plc has reported a 352% year-on-year (YoY) increase in profit before tax (PBT), reaching ₦34.566 billion in Q3 2024. This strong quarterly result brings the nine-month PBT to ₦105.485 billion, marking a 303% YoY growth, surpassing the 2023 full-year pre-tax profit by 79%.
Revenue for Q3 2024 surged by 166% to ₦122.327 billion, up from ₦45.903 billion in Q3 2023, while the nine-month period saw revenue climb to ₦297.664 billion, representing a 133% YoY increase.
Key Financial Highlights (Q3 2024 vs Q3 2023):
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Gross earnings: ₦122.237 billion (+166.29% YoY)
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Cost of sales: ₦74.864 billion (+200.87% YoY)
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Gross profit: ₦47.373 billion (+125.37% YoY)
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Administrative expenses: ₦10.959 billion (+20.21% YoY)
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Operating profit: ₦36.773 billion (+187.35% YoY)
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Profit after tax: ₦23.121 billion (+248.50% YoY)
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Earnings per share: ₦0.49 (+435.65% YoY)
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Total Assets: ₦687.758 billion (+29.03%)
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Total Equity: ₦250.594 billion (+33.79%)
Performance Drivers:
The surge in profit is primarily due to the strong growth in revenue, driven largely by energy sent out, which contributed 58% of total revenue. Despite increased cost pressures from rising natural gas and fuel prices (cost of sales rose 201%), Transcorp maintained healthy profit margins, with pre-tax profit margin remaining above 30% for 2024.
Balance Sheet Strength:
Transcorp’s assets grew by 29%, reaching ₦684 billion, while shareholders’ funds expanded by 34%, from ₦187 billion to ₦251 billion. This growth reflects the company’s strategic focus on innovation, operational excellence, and long-term investments.
President and CEO Owen Omogiafo emphasized the company’s commitment to enhancing operational efficiency and investing in sectors with high growth potential.
Credit: Nairametrics (Text Excluding Headline)
