Transcorp Power grows profit by 775% in 1Q 2024

Transcorp Power Plc (Transcorp Power), one of the electricity generating subsidiaries of Transnational Corporation Plc (Transcorp Group), has recorded gross earnings of N67.86 billion for the first quarter ended March 31, 2024.

The amount represents a significant increase of 223 per cent compared to N21.04 billion reported in the same period of 2023

Highlights of the Transcorps group result showed that Profit before Tax (PBT) rose by 775 per cent, amounting to N28.77 billion in the first quarter of 2024, compared to N3.29 billion in the same period last year.

Profit after Tax grew by 665 per cent year-on-year to N20.1 billion within the period under review, against N2.6 billion in the same period last year.

Also, total assets grew to N276.2 billion in the first quarter of 2024, up from N223.3 billion in the fourth quarter of 2023.

The strong performance is further demonstration of the Company’s strategic focus and effective execution, as part of Transcorp Group’s implementation of its integrated power strategy.

Commenting on the financial highlights, Evans Okpogoro, the chief financial officer said, “The Q1 2024 results saw a gross margin of 51 per cent, a cost to income ratio of 70 per cent and net profit margin of 30% compared to Q1 2023 gross margin of 37 per cent, cost to income ratio of 87 per cent and net profit margin of 13 per cent. 

“This highlights the remarkable operational efficiency gains of the Company. Transcorp Power has continued to grow its revenue aggressively and consistently over the last five years.  We expect that by year end 2024, we will see a similar growth trajectory recorded between financial year 2022 and financial year 2023.”

The managing director /chief executive officer, Transcorp Power, Peter Ikenga, commented on the results, saying, “We are pleased to report further robust financial performance, despite sectoral challenges such as gas supply issues and macroeconomic challenges. Our ability to sustain growth amidst this environment shows the resilience of our business model and the efficient execution of our strategic initiatives.”