Transcorp Hotels Plc (NGX: TRANSCOHOT), the hospitality arm of Transnational Corporation Plc (Transcorp Group), has reported a robust financial performance for the first quarter ended March 31, 2025, with a staggering 52% year-on-year (YoY) jump in revenue, from ₦13.8 billion in Q1 2024 to ₦21.0 billion in Q1 2025.
The hospitality giant attributed the strong showing to enhanced operational efficiency and strategic asset expansion, including the recent completion of a 5,000-capacity event venue, Transcorp Centre, aimed at unlocking new revenue streams.
Despite Nigeria’s challenging macroeconomic terrain, characterised by soaring inflation and rising operational costs, Transcorp Hotels improved its gross profit margin. The company slashed its cost of sales margin from 28% to 25%, driving its gross profit margin to an impressive 75% for the quarter.
Gross profit surged by 59.6% to ₦15.84 billion, up from ₦9.92 billion recorded in the same period last year. Profit before tax stood at ₦6.16 billion, slightly higher than last year’s ₦6.09 billion, and notably achieved without the exceptional ₦2.9 billion foreign exchange gain that boosted 2024’s figures.
Commenting on the performance, Transcorp Hotels MD/CEO, Uzo Oshogwe, said: “Our Q1 2025 results demonstrate the underlying strength of our business and the effectiveness of our strategic focus on driving revenue growth. The significant increase in revenue and profit margin growth are clear indicators of the hard work and dedication of our team.”
She highlighted the company’s latest addition, the Transcorp Centre, alongside established assets like the iconic Transcorp Hilton Abuja, as evidence of its firm grip on the hospitality sector in Nigeria and growing influence across Africa.
For the sake of clarity, Transcorp Hotels Plc is a subsidiary of Transcorp Group, and it is a major player in Africa’s hospitality space. Its portfolio includes the iconic Transcorp Hilton Abuja and Aura by Transcorp Hotels, a digital platform for accommodation, food, and experience booking.