TRANSCORP NIGERIA PLC FINANCIAL RESULT DECEMBER 2016

12 Months Report TRANSCORP NIGERIA PLC
	2016 N'000	2015 N'000	change	Year End
Revenue	59,424,619	40,753,506	46%	December
Profit before taxation	-5,928,348	3,319,529	-279%
Profit for the period	-1,126,998	2,031,557	-155%
Issued Shares (Units)	40,647,990,292	38,720,997,425
Basic Earnings Per Shares (Kobo)	-0.29	0.96	-130%
Last total dividend paid (Kobo)

Transcorp made a whopping #13,081,130,000 p[rofit in Q4 2016 but that was not enough to save the company from declaring loss at the end of the year. As it was last year, the company did not declare any benefit.

A closer examination of the result shows that, the company dismal performance on the following two heads was the last straw that broke the camel's back: Foreign Exchange Loss and Finance Income.

Foreign Exchange Loss, the company lost #18,703,912,000 in 2016 compared to #6,061,132,000 in 2015. This represents  208.59% from 2015. In the same vein Finance Income came down to #363,016,000 in 2016 from #1,165,227,000 in 2015. This (68.85%) down from last year.

It should be noted also that the Company enjoyed a tax write back that resulted into income for 2016 compare to expense in 2015. Tax 2016 #4,801,350,000 against (#1,287,972,000) in 2015. This represents an income of 472.78% benefit compare to 2015. However, this was a little too little to salvage the situation.

Find below the Quarter on Quarter Performance:

Revenue

Q1: 13,192,829,000

Q2: 11,586,672,000

Q3: 17,141,549,000

Q4: 17,503,569,000

With an average of #14,856,154,750 per quarter in terms of revenue

PAT

Q1: 1,205,811,000

Q2: (13,396,677,000)

Q3: (2,017,262,000)

Q4: 13,081,130,000

 It is expected that the Market will not smile at this kind of result. We expect the stock to declined as much as 20% until the Q1 2017 result hit the market. This is expected to calm the Market if they continue from where they closed in 2016. Until then, Transcorp would see RED.