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By Chukwuma Umeorah
The Nigerian Aviation Handling Company (NAHCO) Plc has outlined a plan to achieve N300 billion in group revenue over the next five years. This was disclosed by the Group Executive Director, International Business and Corporate Services, Sola Obabori, during the company’s ‘Bell Ringing and Facts Behind the Figures’ on the floor of the Nigerian Exchange (NGX) in Lagos.
In achieving this, Obabori said, “We are embarking on a five-year transformation journey to build a new NAHCO, centered around four key pillars; accelerate growth in business, differentiate with operational excellence, lead with digital and deliver a transformed people and culture. We are committed to achieving specific performance goals by 2029, while simultaneously expanding our service offerings.”
For revenue projection, he said, “The company will achieve N38.49 billion at the end of 2024, N71.12 in 2025, N101.93 billion in 2026, N146.07 billion in 2027, N209.34 billion in 2028 and N300 billion in 2029.”
On the contribution of subsidiaries to the company’s revenue, Obabori explained that ground handling will account for N120 billion, while cargo handling is expected to contribute N40 billion. Its logistics services will add N36 billion, with NAHCO free zone contributing N15 billion. Other subsidiaries, including NAHCO Commodities, NAHCO Travel and Hospitality, and the Aviation Academy, are projected to contribute N80 billion, N7 billion, and N2 billion, respectively.
He noted that this projected growth trajectory compels the company to prioritise operational efficiency and performance improvement. Obabori pointed out that the African aviation industry has shown remarkable resilience in recovering from the challenges posed by the COVID-19 pandemic, experiencing steady growth in recent year, saying that the Nigerian market has exhibited resilience and growth, even amidst a challenging economic landscape.
“We has consistently demonstrated its ability to capitalize on expanding markets through innovation and adaptation,” he stated, noting that the company was actively taking steps to enhance its performance and operations.
The chairman of NAHCO, Seinde Fadeni stated that the company will continue to pay higher dividend to shareholders while delivering value. “To do that, we have to increase profitability by making huge investments in manpower and equipment.”
This is even as he disclosed that NAHCO have been taking delivery of brand new ground support equipment (GSE) to further enhance our service delivery.
“We have a broad plan to replace the few ageing equipment in our fleet by 2025. NAHCO will continually create and take advantage of opportunities to increase shareholders’ value.”
Meanwhile the CEO of Nigerian Exchange, Jude Chiemeka said that NAHCO had leveraged NGX platform to share its financial performance, operational development, strategic initiatives as well as providing timely and accurate information to enhance trust.
“NAHCO had contributed N3.1 billion in taxes in 2023. Today, the company operates within the services sector which pulls a shareholder base and plays a pivotal role in the aviation industry,” he said, highlighting its pivotal role in bolstering government revenue and supporting Nigeria’s economic growth.
