-Transcorp, Ikeja Hotels in all time profit
Nigeria’s tourism and hospitality is on its strongest footing in more than a decade with operators declaring impressive revenues, and new hotel projects surging to record high, Business Hallmark can report.
While big hotel chains operating in the country like Transcorp and Sheraton Hotels wrapped up 2025 with impressive results, medium and smaller hotels also recorded unprecedented surge with revenue and income more than doubling in some instances.
In a bid to maximize the growing opportunities from the surge in the demand for their services, hoteliers have embarked on a construction binge, a situation that has pushed new hotel projects currently under construction to record high.
According to the audited financial reports of the company filed with the Nigerian Exchange Limited (NGX) on January 30, 2026, the hospitality subsidiary of Transnational Corporation Plc (Transcorp) reported a historic revenue of N97.04 billion in 2025, which is 38 per cent higher than the N70.13 billion it earned in 2024.
The company stated in the report it filed with the NGX that it’s record revenue of N97.04 billion in the period under review was driven by robust demand in room bookings, conferencing, food and beverage services, and other ancillary service offerings.
Further analysis of the report showed that Transcorp Hotels gross profit margin expanded to 77 per cent in FY 2025 from 71 per cent in FY 2024, driven by increased volumes, effective cost management and operational efficiencies.
Boost in Performance
Likewise, the company’s operating profit ballooned to N35.24 billion in 2025, about 35 per cent increase from the N26.03 billion figure in the previous year.
While the firm’s profit before tax (PBT) rose by 45 per cent to N32.82billion from N22.61 billion in Full Year 2024, profit after tax (PAT) rose to N21.85 billion from N14.90 billion. The increase represents a 47 per cent year-on-year.
The company also recorded massive improvement in its balance sheet. For instance, Transcorp Hotels total assets hit N159.91 billion in 2025, representing a 14 per cent increase from N140.70 billion in 2024, reflecting substantial investments in physical facilities supporting its future growth trajectory.
“I am delighted with the FY 2025 performance of Transcorp Hotels Plc, led by Mrs. Uzoamaka Oshogwe. We have continued to strengthen the foundation of our company, with our growing asset base and equity—increasing by 14 per cent and 18 per cent, respectively—positioning us for the future.
“We will continue to be focused on driving operational excellence and business growth, whilst exploring new avenues for sustainable long-term value creation for all, the Board Chair, Transcorp Hotels Plc, Dr. Awele Elumelu, said in a statement accompanying the report.
In the same vein, the Managing Director/Chief Executive Officer of Transcorp Hotels Plc, Oshogwe, said the hotel’s full-year 2025 performance represents a major milestone.
“The record revenue of N97.04 billion and retained earnings rising sharply from N63.23 billion in FY 2024 to N77.53 billion further enhanced our financial resilience and long-term growth capacity.
“Our success results from disciplined operational efficiency, strong cost management, and most importantly, our exceptional team’s commitment to service excellence.
“Guided by a bold, future-focused vision, we continue to invest in transformative infrastructure, notably the 5,000-seat world-class Transcorp Centre, positioning Nigeria as a premier global convening destination for high-profile events, including the Afreximbank Annual Meetings, ECOWAS Summits and many more.
“Looking ahead, we will continue to innovate and leverage cutting-edge technology to strengthen our brand and redefine hospitality standards across Africa” Oshogwe stated.
Others Showcase Records
Another major hospitality firm that performed exceptionally well in 2025 is Ikeja Hotels, which owns and operates Sheraton Abuja Hotel, Sheraton Lagos Hotel and Federal Palace Hotels & Casino.
An analysis of the firms unaudited report submitted to the NGX in January showed that revenue climbed from N18.8 billion in 2024 to N25.8 billion in 2025. This represents about 38% increase, showing higher hotel occupancy a stronger demand. While PBT saw big jump, growing by about 47%, PAT grew modestly at about 14%.
Consequently, shareholders earnings per share rose from 337 kobo to 384 kobo, with each share generating more profit in 2025 than in 2024.
Like Transcorp and Ikeja Hotels, other major and marginal players in the nation’s hospitality industry that are not quoted on the NGX like Radisson Hotels, Protea Hotel, Marriott Hotels, Golden Tulip and Safron Hotels have also experienced boom and expansion of their businesses.
While multiple sources in the hotels top management teams confirmed to BH that their companies are experiencing good times, the financial reports of these hotels are not in public domain because they are not publicly quoted entities.
Meanwhile, the number of new hotel projects under construction has surged to record high.
According to a recent survey by BH, at least, 800 hotel projects, both major and moderate, are currently in the developmental phase, poised to introduce about 80,000 rooms nationwide.
New development Projects
Leading this wave of growth is Lagos, Nigeria’s industrial and commercial capital, which accounts for roughly 53% of all national hotel developments, translating to 362 individual projects.
The Federal Capital Territory (FCT) follows as a substantial contributor, with around 133 new hotel developments, representing 16% of the national figure
Also, Rivers, Oyo, Ogun, Delta, Akwa Ibom and Ondo States are witnessing substantial growth, with 8.5%, 6.4%, 5.2%, 4%, 2.1% and 0.9 respectively. The remaining 6% are spread across the remaining 28 states of the federation.
A breakdown of the survey result shows that international hotel chains, namely Marriott, Accor, Radisson Hotel Group, Wyndham and Hilton are presently constructing twenty-one 5-Star hotels across the country.
Leading the pack is Marriott International, with eight projects, including the Courtyard by Marriott currently under construction in Lagos and the Courtyard by Marriott Abuja.
Marriott is closely followed by Accor with five projects, Radisson Hotel Group and Wyndham tied in third with three hotel developments apiece, while Hilton Group is undertaking two major projects.
Checks, however, revealed that while 60 percent of the projects are already under construction, the balance 40 percent remain in pre-construction stages.
Specifically, in March 2025, Marriott performed the ground-breaking ceremony of another hotel brand, Courtyard by Marriott, in Ikeja GRA, Lagos.
The 100-room edifice is being built next to the Lagos Marriott Hotel located at Joel Ogunaike, Ikeja GRA, Lagos.
Scheduled to be completed within 15 months, the hotel will feature state-of-the-art facilities including expanded meeting spaces and world-class amenities designed to cater to both local and international guests.
Speaking at the groundbreaking ceremony, the Chairman of SIFAX Group and MacFolly Hospitality Limited (holder of the Marriott Hotel franchise in Nigeria), Taiwo Afolabi, noted that the growing demand for premium hospitality experience in Lagos spurred the expansion.
In the same vein, Radisson Hotel Group is adding three new hotels with a combined capacity of over 400 rooms to its Nigerian portfolio of 11 iconic hotels.
These include the Radisson Collection Hotel and Conference Center, Abuja; Radisson Blu Hotel, Abuja CBD and the Radisson RED Lagos located on Victoria Island.
The 249 room Radisson Collection Hotel and Conference Center, Abuja will have an expansive range of rooms, from standard rooms and apartments to lofts and presidential suites upon completion.
Spanning across 3,000 square meters, the meeting spaces will consist of a dividable conference hall, five meeting rooms, a board room, as well as a pre-function area.
Also, the 104-room Radisson Blu Hotel, Abuja, scheduled to open this year, is located in the Central Business District (CBD) of Abuja.
Future Looks Promising
Speaking recently on the new hotel projects, the Senior Director, Development, Africa at Radisson Hotel Group, Erwan Garnier, said the management of the hotel group is proud of its accelerated expansion in Nigeria, which he claimed mirrors its focus territories of Lagos and Abuja and the expansion of its diverse brands from the premium luxury lifestyle brand to upper upscale brand
French multinational hospitality company, Accor Hotels, is also building five hotels across the country. One of the new projects, the Novotel Hotel located on Ahmadu Bello Way, Victoria Island, Lagos, is being built by Accor Hotels in partnership with a Nigerian company, Ekulo Group of Companies.
The 10-floor development was completed in Q32025 and consists of 170 luxury hotel rooms.
The facilities and amenities that will be available in the hotel include a 400sqm meeting room, a lobby and bar, an all-day dining restaurant, a swimming pool and a pool bar.
In the same vein, the Hilton Group announced the expansion of two of its global brands – Canopy by Hilton and Hilton Garden Inn – into Nigeria in May 2024.
The two projects, Canopy by Hilton Lagos Victoria Island and Hilton Garden Inn Enugu are currently under construction.
When fully completed, Canopy by Hilton Lagos Victoria Island will feature 176 guest rooms and suites, including executive and presidential suites that offer panoramic views of Victoria Island, including the Atlantic Ocean.
Apart from these major hotel developments by international hospitality giants, several big, medium and small hotels are also springing up in the country, while old ones are being upgraded.
One of such iconic hotels that is undergoing upgrading is the Premier Hotel located on the Mokola Hill, Ibadan, Oyo State.
The hotel, owned by the Odua Group of Companies, was shut down in January 2023 by its six-owner states of Oyo, Ondo, Osun, Ogun, Ekiti and Lagos for it to be remodelled into a 5 -star hotel.
The redevelopment, BH learnt, is being handled by a seasoned international hotel development and management company with the expertise, financial and technical capacity.
Speaking on the development, the Group General Manager of Continental Hotels, including Karl Hala, attributed the surge in hotel development and expansion to several factors, especially the turnaround of the nation’s economy,
“The sector’s growth potential is substantial, driven by a surge in domestic tourism and increasing business travel brought about by the opening up of the nation’s economy”, Hala explained.
In his own submission, the President of Lux Homes and Apartments in Osogbo, Osun State, Dr. Segun Ojo, attributed it to a resurgent economy and the change in lifestyle by many Nigerians
“Before now, many Nigerians used to stay in their country homes or family houses when they travel home. Travellers visiting cities and towns outside their domains also prefer staying with friends and relatives.
“The habit has, however, changed, with many, especially the educated and more urban dwellers now preferring to stay in hotels.
“There are several reasons for this changing trend. One is that it saves travellers huge expenses preciously splashed on putting their accommodations in good conditions during their often short visits.
“It has also helped to curtail the uncontrolled visits by relatives, locals and friends who normally troop in to welcome the new arrivals and make unrealistic demands, thus ensuring more privacy”, said Dr. Ojo.
Many Nigerian travelers, BH learnt, are also favoring hotels for safety concerns. Several hotel guests, who spoke to our correspondent on the matter, said they decided to opt for hotels after suffering or hearing of multiple attacks by armed robbers, cultists and kidnappers while staying in private apartments.
One hotel guest in Ikeja, Lagos, who spoke on the condition of anonymity told our correspondent that he stopped staying with his cousin in Magodo GRA after he and his wife were attacked by armed robbers while staying in the exclusive estate.