Transcorp Power Plc has reported a pre-tax profit of N54.99 billion, representing a 6.37% YoY decline from N58.73 billion in H1 2025, according to its 2026 half-year result period ending June 30.
Weaker second-half performance typified by pre-tax profit that fell 61.11% quarter-on-quarter to N15.40 billion from N39.59 billion in Q1 2026, also marginally lower than the N15.44 billion recorded in Q2 2025, were cited as major reasons for the decline.
However, despite the weaker earnings performance, the company declared an interim dividend of N1.50 per ordinary share, subject to appropriate withholding tax deduction and approval.
But the management said recurring transmission line vandalism constrained the evacuation of available generation capacity during H1 2026.
Peter Ikenga, ND/CEO said despite the challenges, the company maintained profitability and operational efficiency, expressing confidence that it would recover the ground lost in H1 and finish FY 2026 stronger than FY 2025.
CFO Evans Okpogoro also highlighted improved efficiency metrics, noting that gross margin rose to 38.4%, operating margin to 30.6% and pre-tax profit margin to 30.2%, which he attributed to cost optimisation and disciplined financial management.
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Specifically, it was gathered that revenue from energy delivered, the company’s largest revenue source, and this fell to N138.94 billion from N150.80 billion, while capacity-charge revenue declined to N43.02 billion from N55.00 billion.
Energy delivered accounted for about 76.4% of total H1 2026 revenue, while capacity charges contributed about 23.6%.
Revenue from local customers fell to N116.66 billion from N146.77 billion, although revenue from international customers increased to N65.30 billion from N59.04 billion.
The decline in revenue was partly cushioned by a lower cost base. Cost of sales dropped to N112.15 billion from N128.18 billion, with natural gas and fuel costs, the largest component, declining to N102.33 billion from N109.17 billion.
On the whole, the balance sheet expanded during the period, but this was accompanied by a significant build-up in receivables and borrowings.
Trade and other receivables rose to about N529.42 billion from N468.57 billion, while total interest-bearing borrowings increased to N63.63 billion from N30.69 billion.
At the same time, cash and cash equivalents fell to N667.93 million.
Market reaction
Transcorp Power is currently valued at a market capitalization of N1.84 trillion. The stock began 2026 at N307.00 per share and has since recorded a 20% YTD decline closing at N245.50 on July 17, 2026
