Transcorp Hotels Plc has published its financial results for the second quarter of 2025, posting a pre-tax profit of N6.07 billion, an improvement from the N4.3 billion recorded in the same period of 2024.
With this performance, the group’s pre-tax profit for the first half of the year rose to N12.2 billion, representing a 16.7% increase compared to the N10.4 billion reported in the corresponding period last year.
A strong surge in revenue largely powered this growth, with second quarter revenue rising to N26.5 billion, up 67.2% from the same period last year.
This pushed the group’s half-year revenue to N47.5 billion, a 60% increase from the previous year.
- For the six-month period, revenue from rooms contributed N31.3 billion, while food and beverages accounted for N13.6 billion, with other sources making up the rest.
In the second quarter, the cost of sales rose to N6.1 billion, up 33.95% from the previous year.
- Despite this increase, gross profit for the quarter climbed to N20.3 billion, compared to N11.2 billion reported in Q2 2024.
Operating expenses, mainly made up of employee costs and management fees, also rose sharply to N13.7 billion, up 91.33%, reducing the potential impact of gross profit on operating profit.
- Still, operating profit grew to N6.8 billion, up from N5.2 billion in the same quarter last year.
For the quarter, the group reduced its finance costs slightly by 2.57% to N951.7 million, while finance income grew to N172.8 million, up 18.53%.
On the balance sheet, total assets stood at N153.4 billion, an increase from N140.6 billion as of December 2024. Retained earnings also grew by 3.37% to N65.3 billion.
Key Highlights (Q2 2025 vs Q2 2024)
- Revenue: N26.5 billion, +67.20% YoY
- Cost of Sales: N6.1 billion, +33.95% YoY
- Gross Profit: N20.3 billion, +80.85% YoY
- Operating Expenses: N13.7 billion, +91.33% YoY
- Operating Profit: N6.8 billion, +31.24% YoY
- Pre-tax Profit: N6.07 billion, +38.34% YoY
- Total Assets: N153.4 billion, +9.07% YoY
As of the trading day ended July 24, 2025, shares of the company were priced at N142.40, with a year-to-date performance of 22.8%.
