NIGERIAN Aviation Handling Company (nahcoaviance) has said its Profit Before Tax (PBT) has grown to N1.34 bilÂlion in the year endÂed December 31, 2019, representing 166 per cent increase when compared to the saÂme period in 2018.
This is just as the Group explained that it has upgraded its warehouses in Lagos, Kano and Abuja airpÂorts, and has began the implÂementation of the new staff condition of service, which enhaÂnced workers’ welfare and promoted indusÂtrial harmony in the group.
Chairman of NAHCO Dr. Seinde Fadeni, stated this on ThurÂsday in Lagos at the 2019 Annual Reports and Accounts of its Annual General MeetÂing (AGM), said ground handling company also paid N4Â87 million as divideÂnds at 30 kobo per ordinary share of 50 kobo each, as approvÂed by its shareholdeÂrs.
Fadeni in his speech, which was transmitted virtualÂly to shareholdeÂrs in compliance with the World Health Organisation (W.H.O) and Presidential TasÂkforce (PTF) on CoviÂd-19 pandemic disclosed that NAHCO in its PBT 2018, had N503.237 million, but grew to N1.34 billion in 2019.
He attributed this growth to the several measures put in place during the financial year to control costs and income revenue by the company.
According to him, PrÂofit After Tax (PAT) increased significaÂntly from N196.8 milÂlion in 2018 to N717Â.2 million in 2019, representing 264 per cent increase within the period.
Also, Fadeni added that the group closed the year ended DeceÂmber 31, 2019 with total revenue of about N9.99 billion, a marginal increase of 2.3 per cent over the 2018 figures of abÂout N9.8 billion.
He, however, expressÂed that the year wouÂld have ended on a better note, but the United States – China trade issues and the virus in the Asian country affected importation and reducÂed flight frequencies at the tail end of 2019.
He added: “In line with our business strÂategies, the initial problems of increasÂed costs of operatioÂns and administrative expenses have been taken on board by management and are beÂing released.
“The transformation agenda, being faciliÂtated by KPMG, is on course. This transfÂormation agenda inclÂudes our five-year strategic plan and thÂis plan is anchored on five strategic piÂllars and three key enablers.
“The strategic transÂformation pillars arÂe; operational excelÂlence, digital transÂformation, people and culture transformaÂtion, organic and inÂorganic growth, and diversification and the key enablers are: adequate funding and capitalisation, financial grip and enÂhanced risk managemeÂnt.â€
Fadeni added that the year 2019 was fairÂly good to the compaÂny, adding that the management was workiÂng to win more clienÂts, while it renewed it a number of its existing contracts within the past year.
Also speaking, Mrs. Olatokunbo Fagbemi, the Group Managing Director, NAHCO, said that in the year unÂder review, the grouÂp’s PBT increased to N1.340 billion, whiÂle group’s operating cost decreased by 1.4 per cent and admiÂnistrative expenses decreased by 12.1 per cent.
Within the year, FagÂbemi explained that the group expended resources into re-fleÂeting, which produced immediate result as the company was abÂle to provide a more efficient service, reduced degreasing and cost of maintenanÂce.
She added that the company upgraded the warehouses in Lagos, Kano and Abuja airpÂorts, adding that it also began the implÂementation of the new staff condition of service, which enhaÂnced workers’ welfare and promoted indusÂtrial harmony in the group.
She added: “In 2019, the implementation of the five-year 2019 to 2023 transformaÂtion plan, which was developed in 2018 after a business reviÂew of your company by board and managemeÂnt, commenced with a 12-month programme code named Project Falcon.
“NAHCO staff and manÂagement are working with KPMG in the impÂlementation and this has started with foÂcus on operational excellence, culture transformation and opÂtimising technology within your company.
‘Last year, we annouÂnced an asset acquisÂition plan of over N3 billion. Management is grateful to the board fir its timely approval of this asset renewal plan and the aggressive purÂchase of ground suppÂort equipment