Video: SAHCO’s revenue rose by 74.8% to N28bn in 2024
Abdullateef Fowewe
A leading aviation services company, Skyway Aviation Handling CO. PLC (SAHCO), has announced outstanding operational and financial performance for the year ending December 2024, demonstrating remarkable resilience and strategic agility despite a challenging economic environment.
Video link: https://x.com/dailyeconews/status/1938274514346868936?s=61
This was revealed during the SAHCO’s 15th annual general meeting held on Thursday at the Marriot Hotel in Ikeja, Lagos State.
In his address, the SAHCO Chairman, Dr Taiwo Afolabi, revealed that SAHCO recorded a remarkable 74.8% increase in revenue, noting that the outstanding growth was fueled by the acquisition of new contracts and enhanced operational efficiency.
Profitability also saw a sharp rise, with net profit soaring to ₦6.48 billion compared to ₦2.63 billion the previous year.
The company’s total assets grew to ₦41.79 billion from ₦34.07 billion, reflecting a robust financial position.
Key financial ratios improved significantly, including a gross profit margin of 57%, a net profit ratio of 22%, and a current ratio of 17%, indicating strong liquidity.
Return on capital employed (ROCE) increased to 2.94%, while the gearing ratio decreased to 15%, highlighting a balanced and healthy capital structure.
Earnings per share (EPS) jumped to ₦3.57 from ₦1.46, and dividends per share doubled to 60.00 kobo, delivering substantial returns to shareholders.
“To our clients and business partners, we appreciate your trust and collaboration.
Together, we have navigated the complexities of 2024 and emerged stronger. As we move forward, we remain steadfast in our mission to deliver exceptional service, drive sustainable growth, and create value for all our stakeholders,” said the Chairman.
However, Afolabi highlighted several key contract renewals and new partnerships that have been instrumental to SAHCO’s growth.
The company renewed its 5-year ground handling contract with British Airways and secured a similar agreement with South African Airways.
Additional partnerships were signed with Bristow Airlines, Value Jet, Ibom Air, Green Africa, and Air Cote D’Ivoire. SAHCO also expanded its operational footprint by adding new routes, including Air Peace’s London service, Ibom Air’s regional flights to Accra, and Uganda Airlines’ extended services to Abuja. The company ventured into new sectors such as religious tourism by handling Hajj flights for Flynas and Umza Air, and revived the Nigerian-Italian route through a full handling contract with Neos Air.
He further disclosed that new domestic contracts were secured with Umza Aviation, LTT Cargo, and ASTRA Aviation, further diversifying SAHCO’s portfolio.
Demonstrating operational efficiency, SAHCO set a record turnaround time of 37 minutes to offload 37 pallets from an Ethiopian Airlines Boeing 777 cargo flight. The company maintained top-tier safety standards, renewing its ISAGO and RA3 certifications.
According to the Chairman, SAHCO’s commitment to safety and punctuality was recognised with multiple British Airways Safety & Punctuality Awards, including Bronze, Silver, Gold, and Platinum awards at its Lagos station, and a Bronze Award for its Abuja operations.
Looking ahead, Afolabi emphasised SAHCO’s strategic focus on expanding its presence across the African continent. The company plans to invest heavily in technology and sustainability initiatives while strengthening corporate governance frameworks to ensure sustainable growth and long-term value creation for stakeholders.
“Our vision is to be the premier aviation services provider in Africa, delivering excellence through innovation, safety, and strategic partnerships,” Dr Afolabi stated.
In conclusion, he noted, “I extend my deepest gratitude to our esteemed shareholders for your unwavering support and confidence in our vision.
“To my fellow Board members, your strategic insights and leadership have been invaluable.
To our dedicated staff, your commitment and hard work are the driving force behind our success.”
Speaking to journalists at the conclusion of the meeting, Managing Director of SAHCO, Adenike Aboderin, emphasised the company’s commitment to improving operational efficiencies and strengthening key areas such as risk analysis, compliance, corporate governance, and staff training.
“When improving operational efficiencies and strengthening our risk analysis, compliance, corporate governance, training and retraining, buying state-of-the-art technology and equipment, and bringing fresh faces in, I think that has been able to help us with improving our personal performance,” Aboderin stated.
She further underscored the company’s dedication to best practices, “Our brand is for operational efficiency and best practices, and I think that’s what we’re known for. We’re ensuring that it is embedded in our system, in all our policies and procedures. They trust us. We are ethical, we believe in operational performance, and I think we’ve been delivering and winning awards along that line.”
Expressing gratitude, Aboderin added, “I want to express my sincere gratitude to our shareholders, clients, employees, and partners for their unwavering support in 2024. This has been a year of growth, and we look forward to building on this success in the years ahead.”
