Shareholders of Nigerian Aviation Handling Company Plc have recorded dividend returns of more than 733 per cent over the past five years, underlining the company’s sustained profitability, consistent shareholder rewards and strong market performance.
A five-year dividend analysis showed that a shareholder who invested N1 million in NAHCO shares at the beginning of 2021 has earned cumulative cash dividends of about N8.33 million within the period, excluding the massive capital appreciation recorded by the stock on the Nigerian Exchange.
The shareholder is also expected to receive an additional N3.24 million in cash dividends for the 2025 financial year as shareholders prepare to meet at the company’s annual general meeting to review the operational and financial performance of the aviation handling and logistics group.
NAHCO’s share price opened 2021 at N2.30 per share, implying that a N1 million investment translated to approximately 432,000 shares after transaction costs. Over the years, the company’s steady earnings growth and rising investor confidence pushed the value of the investment significantly higher.
By the third year of the investment cycle, the shareholder had already recovered the initial N1 million capital through dividend income and additional gains. As the company continued to expand operations and improve profitability, shareholder returns accelerated through higher dividend payouts and bonus share allocations.
In 2021, NAHCO paid a dividend of 41 kobo per share, which translated to a total dividend income of N177,120 for the investor holding 432,000 shares.
In 2022, the company increased its dividend payout to N1.20 per share and also declared a bonus issue of one new share for every five shares held. The dividend payment resulted in income of N518,400 for the shareholder, while the bonus issue added 86,400 shares, increasing the total shareholding to 518,400 shares.
The upward trend continued in 2023 as the company more than doubled its cash payout to N2.54 per share. This translated to a dividend income of about N1.32 million for the investor.
In 2024, NAHCO again raised dividend payout significantly to N5.94 per share, resulting in annual dividend earnings of approximately N3.08 million for the shareholder.
For the 2025 financial year, the board of directors recommended a dividend of N6.25 per share alongside another bonus issue of one new share for every seven shares held. The qualification date for the dividend and bonus issue was May 4, 2026, while payment is scheduled for May 15, immediately after the company’s annual general meeting.
With the latest payout, the model investor will receive an additional N3.24 million in cash dividends and 74,057 bonus shares. This brings the cumulative dividend earnings since 2021 to N8.33 million, while the shareholder’s total holdings increase from the original 432,000 shares to 592,457 shares.
Following adjustments for the dividend and bonus issue, NAHCO’s share price closed at N203.95 on the Nigerian Exchange. At that valuation, the original N1 million investment is now worth approximately N120.83 million, representing an increase of nearly 11,983 per cent over five years.
Market analysts said the company’s impressive performance reflects its strong operational fundamentals, disciplined management structure and commitment to rewarding shareholders consistently.
Analysts also noted that dividend growth is often closely linked to operational efficiency and profitability, pointing to NAHCO’s strong financial results over the years as evidence of sustainable growth.
Key highlights from the company’s audited report for the year ended December 31, 2025 showed that total revenue increased by 21.8 per cent from N53.54 billion in 2024 to N65.21 billion in 2025.
Gross profit rose from N33.08 billion to N38.61 billion, while operating profit climbed by 25 per cent from N19.84 billion to N24.84 billion.
Profit before tax increased by 30 per cent to N24.26 billion in 2025 compared to N18.70 billion recorded in 2024. Profit after tax also grew strongly by 39.91 per cent from N12.87 billion to N18 billion.
Earnings per share rose by 40 per cent from N6.60 in 2024 to N9.24 in 2025, reflecting the company’s improved profitability and enhanced shareholder value.
The company’s balance sheet also strengthened during the period, with total assets increasing from N46.95 billion in 2024 to N53.88 billion in 2025. Shareholders’ funds rose by 32 per cent from N20.08 billion to N26.5 billion.
Analysts added that NAHCO’s broad retail investor participation and free float of 56.68 per cent demonstrate the inclusive wealth creation potential of the Nigerian capital market.
NAHCO Group has diversified operations spanning aviation ground handling, airport management, aviation training, free trade zone operations, commodities export and energy solutions through subsidiaries including Mainland Cargo Options Limited, Nahco Free Trade Zone Limited, NAHCO Power Solutions Limited, NAHCO Aviation Academy and NAHCO Commodities Limited.