Tourist Company of Nigeria

[hispy99]

COMPANY RESULTS
TURNOVER PBT TAX PAT
N'000 N'000 N'000 N'000
31-Dec-07 12 Mths N1,458,000 N217,474 (N93,701) N123,773
31-Dec-06 12 Mths N1,230,000 (N169,448) (N127,168) (N296,616)

[hispy99]

Federal Palace records N1.4b turnover
Posted Tuesday, December 2, 2008

Helen Oji

Tourist Company of Nigeria, owners of Federal Palace Hotel, has posted a turnover of N1.4 billion for 2007 operations, as against N1.2 billion recorded in 2006. The profit after tax stood at N123 million in contrast to a loss of N296.6million achieved in 2006.

The chairman of the company, Mr. Goodie Ibru, while addressing shareholders at the 44th yearly general meeting of the company held in Lagos yesterday, explained that the company's shareholders' fund increased from N680.8 million in 2006 to N804.6 million, while earnings per share stood at 11 kobo as against a loss of 26 kobo recorded in 2006.

Ibru attributed the tremendous success to improved sales and marketing efforts made by the management of the company, which according to him, resulted in high-room occupancy level and significant costs reduction.

"The positive result achieved during the year was made possible by a combination of factors. While improved sales and marketing efforts by management brought about high room-occupancy levels, cost control measures instituted by management resulted in significant cost reduction during the year, while another factor was the waiver of interests by the company's lenders."

He announced to shareholders that refurbishment for the phase one of the project had been completed, adding that the phase two of the project which, comprises 224-room Towers Hotel and Casino facility would commence at the beginning of next year with a completion time frame of 24 months.

He said fund for the new project, which is estimated at $150 million would be generated by way of rights issue.

"The second phase of the project would not take long to be completed. I informed you of the partnership agreement with Sun International Limited, a South African company with strong presence in the hospitality and tourism industry within African continent and beyond. This new partnership has contributed immensely to the completion of the phase one of the refurbishment project by bringing in their expertise and knowledge into the project."

Speaking further, the chairman explained that the new project would not be completely demolished, rather, it would be kept as it were to reduce cost and "maintain the face of the history of Nigeria in the building."

He urged shareholders to learn to invest on long term basis, while assuring them of good returns on investments.

"The hotel, when completed would be the best hotel in West Africa and we will be tapping into entertainment and that is why we are increasing our share capital. The newly refurbished 150-room hotel will be fully operational and should make up for the revenue loss arising from the closure of the Towers Hotel for refurbishment. It is also possible that the casino operations could start generating revenue for the company in 2009," Ibru noted. -Guardian

[Michael]

Originally Posted by hispy99

Federal Palace records N1.4b turnover
Posted Tuesday, December 2, 2008

Helen Oji

Tourist Company of Nigeria, owners of Federal Palace Hotel, has posted a turnover of N1.4 billion for 2007 operations, as against N1.2 billion recorded in 2006. The profit after tax stood at N123 million in contrast to a loss of N296.6million achieved in 2006.

The chairman of the company, Mr. Goodie Ibru, while addressing shareholders at the 44th yearly general meeting of the company held in Lagos yesterday, explained that the company's shareholders' fund increased from N680.8 million in 2006 to N804.6 million, while earnings per share stood at 11 kobo as against a loss of 26 kobo recorded in 2006.

Ibru attributed the tremendous success to improved sales and marketing efforts made by the management of the company, which according to him, resulted in high-room occupancy level and significant costs reduction.

"The positive result achieved during the year was made possible by a combination of factors. While improved sales and marketing efforts by management brought about high room-occupancy levels, cost control measures instituted by management resulted in significant cost reduction during the year, while another factor was the waiver of interests by the company's lenders."

He announced to shareholders that refurbishment for the phase one of the project had been completed, adding that the phase two of the project which, comprises 224-room Towers Hotel and Casino facility would commence at the beginning of next year with a completion time frame of 24 months.

He said fund for the new project, which is estimated at $150 million would be generated by way of rights issue.

"The second phase of the project would not take long to be completed. I informed you of the partnership agreement with Sun International Limited, a South African company with strong presence in the hospitality and tourism industry within African continent and beyond. This new partnership has contributed immensely to the completion of the phase one of the refurbishment project by bringing in their expertise and knowledge into the project."

Speaking further, the chairman explained that the new project would not be completely demolished, rather, it would be kept as it were to reduce cost and "maintain the face of the history of Nigeria in the building."

He urged shareholders to learn to invest on long term basis, while assuring them of good returns on investments.

"The hotel, when completed would be the best hotel in West Africa and we will be tapping into entertainment and that is why we are increasing our share capital. The newly refurbished 150-room hotel will be fully operational and should make up for the revenue loss arising from the closure of the Towers Hotel for refurbishment. It is also possible that the casino operations could start generating revenue for the company in 2009," Ibru noted. -Guardian

Hmmm, I thought Federal Palace was owned by Ikeja Hotels! Are we sure these guys know. Who owns what?

[moneymoney]

Originally Posted by Michael

Hmmm, I thought Federal Palace was owned by Ikeja Hotels! Are we sure these guys know. Who owns what?

I think Ikeja Hotel is majority share holder in Tourist Company and Tourist Company owns Federal Palace...so you see avenue for related party transactions!

[hispy99]

Latest Market Info
TOURIST: 3RD SEPT 2009
THE TOURIST COY OF NIG. PLC. 3RD QUARTER ENDED 30/09/08.



TURNOVER 08 N980.8M 07 N1,106M

PBT 08 (N86.1M) 07 N65.8M

TAXATION 08 (N25.8M) 07 (N19.7M)

PAT 08 (N112.0M) 07 N46.0M


NOTE: THE DECLINE IN TURNOVER WAS DUE TO THE REDUCED NO OF ROOMS AVAILABLE FOR SALE AS SOME ROOMS IN THE TOPWERS WING OF FEDERAL PALACE HOTEL WERE SHUT DOWN IN PREPARATION FOR PLANNED RENOVATION.HOWEVER, THE NEWLY REFURBISHED WING OF THE HOTEL HAS COMMENCED OPERATION AND IS EXPECTED TO MAKE FOR SOME OF THE LOSS IN REVENUE.