Wednesday, July 03, 2019 / 7.00AM /
Ottoabasi Abasiekong for Proshare WebTV / Header Image Credit: NSE
The Nigerian Aviation Holding Company Plc is projecting a profit before tax of N2.13bn for the year 2019, even as it plans to diversify its revenue base and will also consider accessing the capital market to raise long-term funds for its operations.
This was disclosed by the Group Managing Director Mrs Olatokunboh Fagbemi at the Facts Behind the Operations of the Company, at the Nigeria Stock Exchange house in Lagos.
According to Mrs Fagbemi "We are deliberate and focused on improving and turning around the company. We will focus majorly on strategic initiatives that will deliver operational efficiency and impact the bottom-line".
The GMD projected that the company will achieve a turnover of N13.27bn in 2019 as against N9.88bn in 2018, while profit before tax is expected to rise from N503 million in 2018 to N2.13bn in 2019. NAHCO is also projecting a profit after tax of N1.81bn.
She informed the investing public and market stakeholders, that in the next five years the company is looking at a steady rise in revenue from N9.8bn in 2018 to N13.269bn in 2019.
Mrs Fagbemi asserted that the NAHCO Aviance management had also projected the following revenue figures; N16.916bn(2020), N21.56bn (2021), N27.49bn (2022) and N35.05bn (2023).
In driving efficiency in the NAHCO operations, the GMD said N2bn has already been invested on new equipments, with plans to invest more funds to the tune of over N3bn at the end of 2019 financial year.
Speaking further on NAHCO's strategic operations, Fagbemi noted that the company has continued to invest in various businesses to expand and diversify it's revenue base and deliver improved return to shareholders.
Some of the investments and strategies include; The Establishment of NAHCO Free Trade Zone Limited, NAHCO Energy and Infrastructure Limited and the Mainland Cargo Options Limited.
In terms of financing she informed me that stakeholders that the company will support it's growth with long-term loans, and may consider accessing the capital market to raise funds for it's long-term growth.
Giving his remarks at the event the CEO of the Nigeria Stock Exchange Mr Oscar N Onyem, OON commended NAHCO management for recording a 24% growth in revenue from N7.9bn in 2017, to N9.8bn in 2018.
Mr Onyema also lauded NAHCO for it's positive Q1,2019 results which showed a 20% increase in revenue from N2.1bn to N2.6bn and 88% increase in PAT from N97.5million to N183.5million.
The NSE CEO described as remarkable the NAHCO transformation agenda, which commenced in 2018 with an upgrade in the company's facilities and purchasing of new ground handling and service equipment for business efficiency.
Onyema also encouraged NAHCO Plc to continuously adhere to high standards of corporate governance.