NAHCO Reports 19% Profit Surge, Hits N16bn in Nine Months

The Nigerian Aviation Handling Company Plc (NAHCO) has reported a 19.2 per cent increase in net profit to N16.04bn for the nine months ended 30 September 2026, up from N13.46bn in the corresponding period of 2025.

According to the company’s interim report filed with the Nigerian Exchange, total revenue grew 16.51 per cent to N55.64bn from N47.76bn, driven by broad-based improvements across core operations, cargo handling, and ancillary services.

Operating profit rose 19.5 per cent to N21.66bn from N18.14bn, while gross profit increased 8.5 per cent to N28.17bn from N25.97bn. Despite inflationary pressures that compressed the gross margin from 54.38 per cent to 50.63 per cent, operating profit margin improved to 38.9 per cent.

A 19.7 per cent decline in finance costs to N1.26bn helped offset a 39.1 per cent drop in finance income to N834m, pushing profit before tax up 18.39 per cent to N21.24bn from N17.94bn. Earnings per share rose to N7.20 from N6.04.

The results place the aviation handling firm on track to sustain its consecutive dividend increases over the past five years. Following a one-for-seven bonus issue approved at the May 2026 Annual General Meeting, outstanding shares rose from 1.949 billion to 2.228 billion units. The third-quarter dividend cover stood at 1.15 times, up from 0.97 times in the prior period, providing headroom for higher payouts. Shareholders had approved a total cash dividend of N12.18bn (N6.25 per share) for the 2025 financial year.

The balance sheet strengthened over the period, with total assets rising from N55.12bn in December 2025 to N58.85bn by September 2026. Shareholders’ funds rose to N29.86bn, while paid-up share capital grew to N1.114bn.

Return on equity improved to 53.72 per cent from 51.77 per cent, while return on total assets advanced to 27.26 per cent from 24.42 per cent.

Cargo handling revenue grew by approximately 31 per cent, reflecting rising trade and e-commerce volumes. Revenue from free zone, trans-shipment, logistics, ticketing, and lounge services surged 47.17 per cent to N2.91bn, while equipment rental and maintenance generated N4.45bn.

Commenting on the results, NAHCO Chairman Dr Seinde Fadeni attributed the performance to the group’s sector leadership and the resilience of its business strategy, noting continued investment in human, technical, and infrastructural capabilities.

“We are confident about the outlook for the aviation industry and our business. We remain focused on our strategic plan on sustainability and diversification,” Fadeni said.

Group Managing Director Mr Olumuyiwa Olumekun credited the revenue growth to operational improvements and disciplined cost management.

“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,” he said.