In what may perhaps give a hint about reasons for Monday’s appointment of a new President and Chief Executive, the management of Transnational Corporation of Nigeria (Transcorp) Plc, presented its un-audited result for the first quarter ended March 31, 2017, showing that revenue and profit fell, compared to the numbers for corresponding period of 2016.
The board had on Monday announced the appointment of former chief executive of Continental Trust Bank Limited, Adim Jibunoh as replacement for Emmanuel Nnorom, with effects from June 1.
No reason was given for the change, Nnorom.
Until his appointment as chief executive of Transcorp, Nnorom was an executive director at United Bank for Africa Plc. The change may not be unconnected with the need to rejig operations and ensure conglomerate continues to rekindle investors’ hopes.
Revenue for the period rose to N15.767bn from N13.192bn, representing an increase of about N2.575bn or 19.51%, while cost of sales rose by a faster N1.75bn or 29.61% to N6.94bn from N5.91bn.
Administrative expenses rose to N2.716bn from N2.696bn; while operating profit stood at N4.227bn, up by N978m or 30.1% from N3.249bn to N4.227bn.
Finance income fell slightly to N217.229m from N293.131m; finance cost however jumped to N2.394bn from N1.812bn, resulting in net finance cost of N2.492bn, as against N1.519bn in the first quarter of 2016.
Profit before tax stood at N1.734bn from N1.729bn, taxation dropped from N524.124m to N238.373m; resulting in profit after tax of N1.496bn, which translates to 91 kobo Earnings Per Share, as against the previous N1.205bn or 112 kobo.