Transcorp MD Obinna Ufudo was on CNBC Africa today discussing the company’s 2014 Half year results. He took questions from Wole who probed him on the strategic role the Power business plays in its (Transcorp) business going forward, the impact of gas shortages on the power generation business etc. He also went on about the hospitality business, Agric (juice concentrate) business etc. It was an interview that was all about future “grandiose” plans but lacked details on the numbers.
I hoped to hear questions and responses such as the substance of the high growth in earnings per share, if it’s sustainable, as well as specifics on the high receivables recorded in the first half of this year. It would have been nice to also know where the funding for the hotel expansion plans will come form considering that it is already N38billion in debt. I guess, some of these questions are better of answered to in an earnings call considering the 6 minutes time allocated. I even wonder why a network like CNBC Africa will allocate just 6 minutes to an MD of a company like Transcorp.
The interview had little impact on the company’s share price today as the chart below suggest. The price opened lower at N5.56 went up to N5.8 and then closed trading at N5.47.
Follow the link below for the video interview