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In the next four years, the Nigerian Aviation Handling Company (NAHCO aviance) Plc plans to grow its turnover to N35 billion just as it equally targets 323.3 per cent rise in its profit to N2.13 billion this year.
Presenting the underlying facts behind the operations of the company to capital market stakeholders at the Nigerian Stock Exchange (NSE), its Group Managing Director, Olatokunbo Fagbemi, said new investment in ground support equipment, strategic investments in infrastructure and human capital development and improving operational efficiency at the airports would drive considerable growth this year and the years ahead.
Fagbemi stated that the company would achieve a turnover of N13.27 billion in 2019 as against N9.88 billion in 2018 while profit before tax is expected to rise from N503 million in 2018 to N2.13 billion in 2019. Profit after tax is projected to rise to N1.81 billion.
Over the next five years, the company expects its revenue to rise steadily from N9.8 billion in 2018 to N13.269 in 2019. From 2020 to 2023, the company’s revenue projections stood at N16.916 billion, N21.567 billion, N27.495 billion and N35.054 billion respectively. Fagbemi assured the investing public that the company would pay 25 kobo dividend per share, noting that the company expects to see significant impact of its transformation agenda on its performance as from the third quarter given the seasonal nature of the aviation business.
“We can assure you that we will achieve our targets in 2019. We believe we can achieve our forecasts. We had thought deeply about the figures and put everything in place to ensure we achieve the forecasts. We stand by the forecasts that we have and we believe we will achieve them,” Fagbemi said. She pointed out that the company has already invested about N2 billion on new equipment and plans to increase such investment to more than N3 billion by the end of this year.
She noted that new investments in equipment will particularly help to reduced operations cost, which were largely due to infrastructure failure at the airport and aging equipment that leads to increased maintenance cost.
