Transcorp Power reports N142bn revenue

… declares N23.46bn dividend, targets 700mw electricity generation

Transcorp Power Plc, a subsidiary of Transnational Corporation Plc (Transcorp Group), on Monday, reported an impressive 2023 financial performance, including gross earnings of N142.1 billion, a 57.3 percent increase from the previous year.

The company also reported a profit before tax which showed an impressive year-on-year growth of 84.4 percent, to N52.8 billion, from N28.6 billion also reported in 2022.

Read also: Transcorp Power grows first quarter PBT by 775%

Emmanuel Nnorom, chairman, Transcorp Power announced this at the company’s 11th annual general meeting (AGM), the first since the Company went public, through a listing of its shares on March 4, 2024.

“It is with great delight that | present the full year results for your review which showed the resilience of the business in what has been a very challenging period. Your company posted an impressive revenue of N142.1 billion in 2023 compared to N90.3 billion in 2022.

The operating profit of your company for the year under review was N64.63 billion compared to N35.87 billion in 2022. Your company’s profit before tax increased from N28.6 billion in 2022 to N52.8 billion in 2023 representing an 84 percent growth,” Nnorom told the shareholders.

Also, the company declared a final dividend of N3.13k per share which accumulated to N23.46bn and was approved at the meeting.

Nnorom further announced that in addition to the profit, another major achievement of the company was a significant paydown of its foreign exchange (FX) acquisition loan from $215 million in 2014 to $1.6 million at the end of FY 2023, but fully paid on January 9, 2024.

He assured the shareholders of the company’s commitment to maintaining its exceptional financial results and improving the lives of Nigerians.

He said: “Last year’s strong performance is a testament to the resilience of our business strategies, underpinned by a culture of strong corporate governance. We know that with our strategy and the dedication of our team, we will continue to deliver exceptional value to all stakeholders.”

Meanwhile, Transcorp Power is targeting to generate up to 700mw electricity by year-end and has already put in place structures to achieve this, according to Peter Ikenga, who is the company’s managing director/CEO.

The company at the moment has a generation capacity of about 650 megawatts today, and most days could produce between up to 500 megawatts of power, though often constrained by the transmission challenge to wheel it out.

“We already have programs in place, so as we speak, we are recovering additional capacity by the end of this month, we hope to bring in another 125 megawatts to our existing capacity. And by the end of the year, we hope to bring in another 125 making a total of about 250 megawatts.

“The investments are already ongoing, the execution is ongoing and we have our teams working day and night to ensure that we meet the objectives that we set for ourselves for 2024,” the MD/CEO told journalists after the meeting.

But in his opening message earlier, he had attributed the Company’s success to the rigorous execution of strategies and deliberate focus on enhancing operational efficiency.

“As we celebrate last year’s achievements, we remain committed to continuous improvement.

“This year, our strategic focus is on recovering plant available capacity, enhancing operational excellence and efficiency, and rigorously implementing our plant maintenance schedule.

“We will continue prioritising and investing in human capital, aiming to enhance in-house capabilities.

“Our commitment to incident and injury-free operations remains strong, as we leverage our talent, foster ingenuity, and nurture teamwork.

“We are determined to build on our successes and leverage strategic investment opportunities to deliver even greater performance and sustainable growth for our stakeholders.”

Shareholders at the AGM lauded the Company’s professionalism and commitment to growing value for shareholders.

Bisi Bakare, one of the company’s shareholders, commended Transcorp Power for continuously exceeding shareholder expectations, which according to her, demonstrates their commitment to creating value for shareholders, “which is what we are all here for.”

Transcorp Power’s social responsibility activities were also lauded at the AGM, having contributed to Nigeria’s sustainable development, particularly in the areas of education, community development, and environmental sustainability.

Operationally, the company’s focus on excellence and optimisation has contributed to its position as a market leader in the power sector, and through strategic investments and operational strategies, it has continued to enhance its generation capacity and optimise plant performance.