SAHCO Soars with 74.8% Revenue Surge in 2024, Declares Over N6 Billion Profit Before Tax

…Secures major contracts with global airlines, delivers swift cargo handling milestones, and rewards shareholders with 60 kobo dividend

Skyway Aviation Handling Company PLC (SAHCO) has announced a resounding financial performance for the 2024 fiscal year, posting a remarkable 74.8 percent revenue increase and declaring a profit before tax of over N6.48 billion.

This impressive feat was unveiled at the company’s 15th Annual General Meeting (AGM), held on Thursday at the prestigious Marriott Hotel in Ikeja, Lagos.

The Chairman of SAHCO, Dr. Taiwo Afolabi, CON, who addressed shareholders at the AGM, attributed the success to strategic agility, operational efficiency, and renewed contracts with major international and regional carriers despite a turbulent economic landscape.

“Despite the prevailing challenges in the business environment, including inflationary pressures, foreign exchange constraints, and infrastructural gaps, SAHCO has continued to demonstrate resilience and innovation,” Afolabi stated. “We achieved a 74.8% increase in revenue compared to the previous year, driven by new contracts and enhanced operational performance.”

According to the financial results presented at the AGM, SAHCO posted a profit before income tax of N6,486,469,000 in 2024, a massive leap from N2,630,287,000 recorded in 2023.

In a show of strategic expansion and trust by global carriers, SAHCO secured and renewed several high-profile contracts in the year under review. These include the renewal of a 5-year ground handling agreement with British Airways and a fresh 5-year deal with South African Airways.

Other notable partnerships were sealed with Bristow Airlines, ValueJet, Ilyin Air, Green Africa, and Air Côte d’Ivoire.

SAHCO also expanded its footprint by taking on ground handling services for Air Peace’s new London route, Ibom Air’s regional services to Accra, and Uganda Airlines’ extended operations into Abuja.

Additionally, the company signed a full ground handling contract with Neos Air, effectively reviving the long-dormant Nigerian-Italian route after nearly two decades.

In terms of operational delivery, SAHCO set a record in ground handling by completing the offloading of 37 pallets from an Ethiopian Airlines Boeing 777 cargo aircraft in just 37 minutes. This achievement underscores its investment in efficiency and cutting-edge processes.

Dr. Afolabi announced the company’s successful renewal of both the IATA Safety Audit for Ground Operations (ISAGO) and RA3 certifications, further cementing SAHCO’s commitment to global safety and operational standards.

This operational excellence earned the company numerous accolades in 2024, including the prestigious British Airways Safety & Punctuality Award at its Lagos station.

In a move that reflects the company’s solid financial position, the SAHCO Board of Directors has recommended a dividend of 60 kobo per share to shareholders, a gesture that was warmly received at the AGM.

While lauding the achievements, Dr. Afolabi provided a sobering overview of the economic terrain. He noted that Nigeria’s inflation surged to a 28-year high of 34.6%, fuelled by escalating food and energy costs.

The naira’s steep depreciation also posed significant challenges, closing the year at N1,535/$1, marking a 40.9% decline from the previous year.

He acknowledged that Nigeria remains one of Africa’s largest and most competitive aviation markets, buoyed by growing passenger demand and route expansion, but lamented the burden of high operational costs and foreign exchange volatility.

Despite these challenges, Afolabi expressed optimism about the aviation sector’s resilience. “Nigeria’s aviation sector continues to thrive, and SAHCO is well-positioned to leverage the ongoing rebound in global air travel, regional partnerships, and technological innovation,” he affirmed.

SAHCO’s outlook remains strong, with the company poised to further invest in technology, expand its market share across Africa, and improve service delivery through digital transformation.

According to Afolabi, the firm is already capitalising on the booming technology sector and intends to deepen its involvement in Nigeria’s emerging innovation landscape.