SAHCO records N16.5bn revenue in 2023, mulls investment in equipment

The Skyway Aviation Handling Company (SAHCO) PLC has announced significant growth in revenue with a 49 per cent increase from N11.1 billion in 2022 to N16.5 billion in 2023.

Taiwo Afolabi, the chairman of the company disclosed this at the 14th Annual General Meeting held in Lagos on Thursday.

He also approved a sum of N406,74,00 million dividend, representing N30,000 per ordinary share to shareholders,

This is also an increase from N223 million paid in the 2022 financial year.

SAHCO’s total assets stood at N34 billion during the period under review compared to N29.22 billion in 2022.

Speaking at the AGM, Afolabi, said SAHCO made massive investments in 2023, including investing in eco-friendly equipment, a new trend in the industry which he said has kept the company at par with other renowned international ground handling and aviation cargo companies.

“Regardless of the challenges we faced during the year in review, we were able to record some positive points in our performance. Our total assets base currently stands at N34 billion, a massive leap from the N29.2 billion we recorded in 2022.”

He revealed also that the company’s massive investments in training for capacity enhancement also contributed to the growth and profitability of the company.

“We also improved our stakeholders’ engagement strategy as we forged partnerships and relationships with regulators, customers and, agents and unions.

“We won’t relent in investing in state-of-the-art equipment to help meet our customers ‘ needs. That has been one of our unique selling points over the years and 2024 will not be any different “, Afolabi said.

Also speaking, Basil Agboarumi, the Immediate past managing director of SAHCO, noted in the annual report that the recorded growth was achieved as a result of the company’s staff and resolve to always offer the best aviation ground handling services to the client across all the commercially operated airports in Nigeria.

“We have also gone green by acquiring more eco-friendly electric powered baggage Tow Tractors, Forklifts, among others. I am happy to report that we have sustained that trajectory by investing N2.282 billion in equipment in 2023”, he said.

Some of the shareholders commended the company for giving out dividends despite operating in a turbulent environment.

Afolabi disclosed that clients are indebted to SAHCO to the tune of N6 billion adding that there is hope of recovering all debts in the next three months.

He also revealed that the new handling rates would soon be approved.

“Our airlines and clients owe us about N6 billion. We have to set up a committee for that because we know our clients like to owe and for that not to affect our profitability, we just have to set up a committee for that and they doing wonderfully well and they are recovering them, we believe that within the next three months, we will recover all the debts fully.

“We have already gone far on that, what we are doing now is that all ground handling g companies held a meeting successfully so we are waiting for the airlines to subscribe to the new plan and very soon you will hear from us that the rates have been approved.”, he added.