From Suleiman Idris, Lagos
Nigeria leading carrier, Medview Airlines has said that the company’s revenue rose by 42 per cent from N26. 04bn in 2016 to N36. 91bn in the 2017 financial period.
The company said it was able to increase its revenue by expanding operation into new markets and destinations in the coast of West Africa including Abidjan, Conakry, Monrovia and Freetown as well Dubai which operation commenced on December 7th 2017.
The airline notes that despite the challenges in the Nigerian aviation industry in the year under review, it’s profit after tax increase by 62 per cent from N772,851m to N1,255,145bn while the total assets also rose by 27 per cent from N15, 433, 337bn to N19,598,138bn during the same period.
Speaking at the Pre-Annual General Meeting of the company in Lagos, Managing Director and Chief Executive Officer of Medview Airlines, Alhaji Muneer Bankole said the demand for air travel in Nigeria has been growing consistently in the last few years as more people travel by air affirming that Medview Airlines has positioned itself to provide quality on-time delivery of aviation services to the travelling public.
He said the lack of adequate government support for the aviation sector and the slow recovery of the country from the economic recession is still an impediment for the rapid growth of the sector as it has its toll on the company’s operational activities but said Medview Airlines has navigated the challenging economic situation quite well.
Alhaji Bankole said “ the aviation industry suffered challenges occasioned by acute shortage of foreign exchange to pay for regular foreign checks for our aircraft and payments rendered in other countries. Aviation fuel was another major challenge that bedevilled the industry with scarcity and soaring cost of procuring the essential input for our business”.
While urging the federal government to reduce multiple taxation and charges paid by airlines, he explained that “ high maintenance cost and multiple taxes are major factors that plagued the company but that the company’s excellent standing in the Nigerian aviation industry and the sound capabilities of the management team has help it position itself in the face of these challenges”.
The company according to him is currently negotiating wit aircraft providers to add a new B737-800 and modern B777-200ER to its fleet to further boost its international operations.
He called on banks in the country to reduce the lending rate saying a two digits interest rate is not obtainable anywhere else in the world “ government needs to look and talk about these charges urgently, only then will the industry begin to rise again and we can talk of a smooth environment that will attract investments.
Shareholders commended the company for the prudent management of it resources and urge it to increase it dividends to investors.