Abuja
Transcorp Hotels Plc has reported ₦97 billion in revenue for the 2025 financial year, representing a 38 per cent increase compared to the previous year, as the hospitality group declared a final dividend of ₦1.30 per share for shareholders.
Speaking at the company’s 12th Annual General Meeting (AGM) in Abuja on Thursday, Chairman Awele Elumelu described 2025 as a strong year for the company, noting that it has entered 2026 on a solid footing.
“For Transcorp Hotels PLC, 2025 was actually a good year. We’ve entered 2026 quite strongly. We ended the year with revenue of ₦97 billion, which was a 38 per cent increase on the preceding year,” she said.
The improved performance, she added, enabled the board to reward shareholders with a higher payout. “We’re very pleased that this year we’ve been able to give our shareholders ₦1.30 per share as the final dividend,” Elumelu stated.
Managing Director Uzoamaka Oshogwe said the total dividend payout for the year stood at about ₦13 billion.
“Dividend in total is ₦13 billion. Because last year we paid 10 kobo, and then this year, that final dividend was ₦1.20. So in total that was just slightly over ₦13 billion,” she explained.
She noted that while January is traditionally a slow period in the hospitality business, occupancy levels have strengthened significantly in recent weeks.
“January is kind of slow, but it’s been good. Our occupancy since the middle of January has been about 100 per cent,” Oshogwe added.
Elumelu attributed the company’s performance to strong brand recognition, improved operational efficiency and diversification efforts.
“We have a strong brand, and this has worked very well for us. Our management team has increased operational efficiency,” she said.
One of the standout milestones in 2025 was the launch of the Transcorp Event Centre, a multifunctional facility with a 5,000-seat capacity. The venue has already hosted major gatherings, including the Afrexim event, which drew thousands of international delegates to Abuja.
“We’ve had lots of big events in 2025, including the Afrexim event, which brought up to 4,000 dignitaries from outside the state. So that has played a major role,” she noted.
Beyond physical expansion, the company also invested in digital upgrades across its operations, improving check-in systems, room service technology and overall customer experience.
Despite the strong revenue growth, Transcorp Hotels faced rising operating expenses, particularly energy costs, which increased from ₦2.425 billion in 2023 to ₦4.763 billion in 2024.
To mitigate the impact, Oshogwe said the company is working closely with sister companies, Transcorp Power and Transcorp Energy, to reduce costs and improve sustainability.
One key initiative already in place is the deployment of dual gas burners to power boilers across its 667 rooms.
“That not just saves us costs, it’s also very friendly to the environment,” she said, adding that renewable energy options are also being explored in line with the company’s sustainability and ESG goals.
For the year ended December 31, 2024, the company recorded a profit before tax of ₦22.613 billion, representing a 138.48 per cent year-on-year increase. Gross profit margin remained strong at 70.89 per cent, despite cost pressures.
Room sales continued to be the most profitable segment, posting an 84.5 per cent margin, while food and beverages recorded a 42.9 per cent margin.
On the balance sheet, total assets rose by 11.58 per cent to ₦140.696 billion. Total borrowings declined by 22.12 per cent, while interest expenses fell by 10.21 per cent to ₦2.798 billion. The company’s interest coverage ratio improved significantly to 9.30 times from 4.22 times in 2023, indicating that operating profits comfortably covered its debt obligations. Shareholders’ funds also increased by 20.54 per cent year-on-year.
Looking ahead, the board expressed confidence that performance will strengthen further in 2026, with plans to expand operations, including a proposed branch in Lagos.
Elumelu said the company will continue to focus on infrastructure investment, technology upgrades, diversification and corporate governance, while Oshogwe added that the 2026 strategy will centre on three pillars: operational excellence, technology investment and brand relevance.
“With strong earnings growth, reduced debt exposure and expansion plans underway, we are positioning Transcorp Hotels to sustain revenue growth and deliver higher value to shareholders,” Oshogwe said.