Transcorp Hotel Grows Profit Before Tax by 0.55% in Q3

**Kayode Tokede **

Despite a drop in revenue, Transcorp Hotels Plc has announced a profit before tax of N22.53 billion, for the third quarter ended September 30, 2026, a growth of 0.55 per cent from N22.4 billion reported in 2025.

The company posted N69.46 billion revenue in Q3 2026, a 2.66 per cent drop from N71.3 billion reported in Q3 2025.

The company’s operating segment, hospitality, with its operations located in Nigeria. Room revenue remained the largest contributor, generating N46.29 billion, equivalent to approximately 66.6per cent of total revenue. This was down from N46.65 billion a year earlier.

Food and beverage revenue declined to N19.27 billion from N21.02 billion, a decrease of approximately 8.32per cent . It accounted for about 27.7pe cent of total revenue.

Event-centre hall rental revenue fell to N981.52 million from N1.15 billion, while shop rental revenue was broadly flat at N1.36 billion.

One of the subsidiaries of Transcorp Incorporated listed on the Nigerian Exchange Limited (NGX) declared N15.5 billion in Q3 2026, about 4.8 per cent increase over N14.8 billion reported in Q3 2025.

In the period under review, the company’s finance income stood at N4.46 billion, a growth of 756.2 per cent from N520.68 million in the corresponding period,

The breakdown of finance income showed that interest on bank deposits closed Q3 2026 at N269.89million from N18.1million in Q3 2025, while interest on intercompany loan receivables moved significantly from N502.6 million in Q3 2025 to N4.2 billion in Q3 2026.

The growth in profit was also driven by cost of sales that dropped to N16.15 billion in Q3 2026, a decline of 6.4 per cent from N17.3 billion reported in Q3 2026.

The balance sheet expanded during the period, with total assets rising to N206.82 billion from N159.91 billion at the end of 2025.

Current trade and other receivables increased to N50.53 billion from N11.00 billion, while cash and bank balances reached N20.34 billion.

Cash and bank balances reached N20.34 billion, up 19.94per cent from N16.96 billion at 31 December 2025.

Total borrowings also increased substantially, reaching N54.96 billion compared with N10.52 billion at the end of December 2025.

Cash flow provided a further point of attention. Net cash from operating activities was negative N15.93 billion, compared with positive N18.82 billion in the corresponding 2025 period.

While commenting on the company’s 2025FY performance, the Managing Director/CEO, Transcorp Hotels, Uzoamaka Oshogwe, said, “Our success results from disciplined operational efficiency, strong cost management, and most importantly, our exceptional team’s commitment to service excellence.”

“Guided by a bold, future-focused vision, we continue to invest in transformative infrastructure, notably the 5,000-seat world-class Transcorp Centre, positioning Nigeria as a premier global convening destination for high-profile events, including the Afreximbank Annual Meetings, ECOWAS Summits and many more. Looking ahead, we will continue to innovate and leverage cutting-edge technology to strengthen our brand and redefine hospitality standards across Africa.”