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Nigerian Aviation Handling Company (NAHCO) Plc sustained its growth trajectory, with double-digit growths across key performance indices in the third quarter highlighting the continuing brand preference and operation efficiency of West Africa’s leading aviation handling and logistics group.
Interim report and accounts of NAHCO for the nine-month period ended September 30, 2026 released at the Nigerian Exchange (NGX) showed that total revenue rose by 16.51 per cent, combining with higher operating margin to expand operating profit by 19.5 per cent. A 19.7 per cent decline in finance costs moderated 39.1 per cent drop in finance income, leaving pre-tax profit higher by 18.39 per cent. After taxes, net profit rose by 19.2 per cent. Earnings per share consequently increased by 19.2 per cent.
The report showed that total revenue rose to N55.64 billion in third quarter 2026 as against N47.76 billion recorded in comparable period of 2025. Gross profit increased by 8.5 per cent from N25.97 billion to N28.17 billion. Operating profit improved from N18.14 billion to N21.66 billion. Finance costs declined from N1.57 billion to N1.26 billion. However, finance income also dropped substantially from N1.37 billion to N834 million.
With increasingly efficient cost management, profit before tax rose to N21.24 billion in third quarter 2026 as against N17.94 billion in comparable period of 2025. After taxes, net profit increased from N13.46 billion to N16.04 billion. With these, earnings per share stood at N7.20 in third quarter 2026 compared with N6.04 in third quarter 2025.
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The strong third quarter performance places NAHCO on firm trajectory to sustain its much-applauded consecutive improvements in dividend to shareholders over the past five years. Despite the increase in outstanding shares due to bonus issue for the 2025 business year, third quarter 2026 dividend cover stands at 1.15 times as against 0.97 times for same period in 2025, providing enough headroom for the company to consider higher dividend payouts.
Shareholders of NAHCO had at their annual general meeting in May 2026, approved combined dividend of cash and bonus shares. The company increased cash dividend to N12.18 billion for the 2025 business year as against N11.58 billion paid for the 2024 business year. Shareholders received a dividend per share of N6.25 for the 2025 business year compared with N5.94 paid for the previous year.
Shareholders also received one ordinary share of 50 kobo each as bonus share for every seven ordinary shares held, automatically increasing the number of shares held by each shareholder by 14.3 per cent. The company’s outstanding paid up shares thus increased from 1.949 billion ordinary shares of 50 kobo each to 2.228 billion ordinary shares of 50 kobo each.
The balance sheet of the group also emerged stronger, underlining the strong operational foundation driving the activities of the group. Total assets rose from N55.12 billion in December 2025 to N58.85 billion in September 2026. With the bonus issue, paid up share capital increased from N974.53 million to N1.114 billion. Shareholders’ funds rose from N26 billion to N29.86 billion.
Underlying performance ratios showed that the overall performance of the group was driven by business growth and operational efficiency. While gross margin compressed from 54.38 per cent to 50.63 per cent due to the inflationary environment, operating profit margin improved from 37.98 per cent to 38.9 per cent. Pre-tax profit margin also increased from 37.56 per cent to 38.17 per cent. Return on equity (ROE) stood higher at 53.72 per cent, compared with 51.77 per cent. Return on total assets (ROA) rose from 24.42 per cent to 27.26 per cent.
Chairman, Nigerian Aviation Handling Company (NAHCO) Plc, Dr Seinde Fadeni, said the third quarter 2026 performance demonstrated the group’s leadership in the aviation services industry and the resilience of its business strategy.
According to him, NAHCO has continued to invest in human, technical and infrastructural capabilities that have sustained its leadership as the most-preferred and largest aviation handling and logistics group in West Africa.
He assured that the board remains committed to ensuring that corporate growth translates into bigger returns to shareholders, who have continued to demonstrate confidence in the board and management of the group.
“We are confident about the outlook for the aviation industry and our business. We remain focused on our strategic plan on sustainability and diversification. We will continue to explore opportunities to grow the business and deliver competitive returns to our stakeholders,” Fadeni said.
Group Managing Director, Nigerian Aviation Handling Company (NAHCO) Plc, Mr Olumuyiwa Olumekun said the third quarter 2026 performance showed the results of management’s emphasis on quality growth, expanding the business with a focus on costs and returns.
He attributed the growth in revenue to improvements across the businesses, from aircraft handling, to cargo operations and related businesses, supported by lower administrative expenses and finance costs.
A breakdown of the revenue showed that while aircraft handling remains the core, cargo handling grew by about 31 per cent, reflecting increased trade and e-commerce volumes. Revenue from free zone, transhipment, logistics, ticketing and lounge services jumped 47.17 per cent to N2.91 billion while equipment rental and maintenance generated N4.45 billion.
“Our performance highlights the quality of service and facilities that NAHCO has come to be known for. We remain committed to sustaining this growth trajectory and in ensuring that our shareholders continue to enjoy the benefit of their investments,” Olumekun said.
