When the Nigerian government decided nearly two decades ago to privatise the Nigerian Aviation Handling Company Plc (NAHCO), few could have imagined the wealthcreating machine the company would eventually become.
From its listing on the Nigerian Exchange (NGX) in 2006 to its present-day dominance of the aviation ground handling sector, NAHCO has become a compelling case study of how patient investors are rewarded when strong fundamentals align with disciplined corporate governance and strategic foresight.
Today, NAHCO is not merely a service provider at airports; it is an emblem of sustained value creation. An investor, who placed N1 million in NAHCO shares on August 20, 2013, has seen that stake swell to N21.5 million by August 20, 2025, thanks to a combination of price appreciation and bonus share issuances.
That translates to a staggering 2,048% cumulative return over 12 years — an annual average return of 170.64 per cent, far outstripping the broader market’s 23.94 per cent average yearly gain over the same period. In the often-volatile Nigerian equities market, where currency devaluations, inflationary cycles, and policy missteps can erode wealth, NAHCO has become an inflation-hedging stock — a quiet fortress of growth in an uncertain environment.
The price Story
The arithmetic is compelling. NAHCO’s share price has appreciated from N6.30 in August 2013 to N102.50 by August 2025 — a 1,527 per cent straight-line gain. Factoring in two bonus share issues (one-for-10 in 2015 and one-for-five in 2022), the compounding effect pushed total returns to 2,048 per cent. By comparison, the NGX All Share Index rose from 36,558 points to 141,566 points in the same period, representing a cumulative gain of 287 per cent.
In practical terms, while the overall market would have turned a N1 million stake into N3.87 million, NAHCO multiplied the same stake to N21.5 million. “This is the type of stock that redefines faith in the capital market,” said Mr. Kehinde Hassan, Managing Director of GTI Capital.
“While the market is often swayed by emotions and speculation, NAHCO has shown that strong fundamentals eventually win out. Earnings, margins, return on equity, and dividend history tell the real story,” he added.
Fundamentals
The company’s fundamentals have indeed been remarkable. In the first half of 2025, NAHCO doubled revenue year-on-year to N32.33 billion, while net profit surged 166 per cent to N8.88 billion. Pre-tax profit margins climbed to 36.5 per cent from 29.7 per cent in the previous year, while return on equity spiked to an impressive 51.09 per cent.
The 2024 full-year numbers underscored the trajectory: revenue nearly doubled to N53.54 billion, profit before tax leapt 115 per cent to N18.7 billion, and dividend payout surged 134 per cent to N11.58 billion. For shareholders, it has been a steady harvest of both capital appreciation and cash dividends. “These numbers underline disciplined execution,” observed Mr. David Adonri, Managing Director of HighCap Securities.
“NAHCO has consistently converted revenue growth into profit and shareholder value. That’s the mark of strong management.” Strategic Expansion: From Ground Handling to Logistics Conglomerate NAHCO’s evolution has also been about diversification and strategic foresight.
Once primarily a ground handling company, it has morphed into a multi-pronged logistics and aviation solutions group with subsidiaries in free trade zones, commodities exports, power solutions, training academies, and hospitality. It recently received Federal Government approval to handle radioactive cargo — a first in Nigeria — opening new revenue lines tied to energy, oil and gas, and medical industries.
It has also signed multiyear contracts with global carriers such as Emirates, Virgin Atlantic, and Turkish Airlines, and has been chosen by regional operators like Afrijet and Air Sierra Leone. “Every airline that aspires to global standards looks for a ground handler that can match its ambition,” said Prince Saheed Lasisi, NAHCO’s Executive Director for Commercial and Business Development. “Their trust in us reflects our record of excellence.”
N300bn ambition
Looking ahead, NAHCO is aiming to triple its annual turnover to N300 billion by 2029 under a fiveyear strategic plan. The company expects its ground handling arm to contribute N120 billion, with cargo, logistics, commodities, hospitality, and its free zone operations supplying the balance. Dr. Seinde Fadeni, Chairman of NAHCO, assured shareholders at the 2025 AGM that the target was realistic. “We are undergoing
And with SAHCO also rising on a parallel flight path, the nation’s aviation ground handling industry is proving itself as one of the most potent yet understated engines of shareholder wealth
a transformative change that includes equipment re-fleeting, digital integration through Oracle ERP systems, staff welfare reforms, and diversification into new businesses.
We believe these steps will anchor sustainable growth,” he said. Part of that transformation includes a planned NAHCO-branded hotel, expansion of its commodities export centre, and continued investment in aviation technology. Staff salaries were recently increased by 50%, reflecting management’s belief that motivated employees are key to sustaining service excellence.
The Broader Aviation Handling Landscape: SAHCO’s Parallel Growth Yet, NAHCO does not hold the skies alone. Its closest rival, Skyway Aviation Handling Company Plc (SAHCO), is also charting an impressive growth path, even if it does not yet rival NAHCO’s staggering stock market returns.
For the first half of 2025, SAHCO reported revenue of N21.06 billion, up 74 per cent year-on-year, with profit after tax surging 155 per cent on the back of operational efficiency and strategic partnerships. “This performance reflects the dedication of our team and the resilience of our strategy,” said SAHCO Chairman, Dr. Taiwo Afolabi (CON).
“As aviation recovers globally, SAHCO is positioned to consolidate its role in Nigeria and the region.” SAHCO operates across all commercially viable airports in Nigeria, offering ramp, cargo, warehousing, and passenger services. Like NAHCO, it is investing in technology and infrastructure upgrades to deepen its competitiveness.
Competition, Collaboration, and the Rising Tide The presence of two strong ground handling players is reshaping Nigeria’s aviation value chain. Together, NAHCO and SAHCO are driving service standards upward, while also broadening Nigeria’s logistics and trade competitiveness.
“Healthy competition between NAHCO and SAHCO benefits the industry,” noted aviation analyst, Mrs. Ifeoma Ogundipe. “But clearly, NAHCO is the market leader — not just in revenue but in returns to shareholders. It is a classic case of how privatisation, when well-executed, can deliver prosperity to both investors and the economy.”
Investor’s lesson
NAHCO’s story is more than a corporate success; it is a reminder of the power of patient investing in Africa’s frontier markets. For the investor who stayed 12 years, resisting the temptation to exit amid currency crises, recessions, and election cycles, the reward has been a 21-fold multiplication of wealth.
“Too often, Nigerian investors chase quick gains,” said Hassan of GTI Capital. “But NAHCO shows that quality stocks, held long enough, can outperform even in challenging economies.” With its ambitious five-year plan, deepening diversification, and clear market leadership, NAHCO’s next chapter may well consolidate its status as one of the Nigerian Exchange’s crown jewels. SAHCO, on its part, adds competitive spice, underscoring that aviation handling is no longer a sleepy industry but one of the most dynamic sectors in the Nigerian economy.
Last line
From N6.30 to N102.50, from N1 million to N21.5 million, NAHCO’s arc is a testament to vision, discipline, and the long-term promise of Nigerian enterprise. Its rise is not just about ground handling; it is about grounded fundamentals.
As it steers towards N300 billion in turnover and deeper diversification, NAHCO is redefining investor expectations of the Nigerian stock market. And with SAHCO also rising on a parallel flight path, the nation’s aviation ground handling industry is proving itself as one of the most potent yet understated engines of shareholder wealth and economic resilience.
𝗙𝗼𝗹𝗹𝗼𝘄 𝗢𝘂𝗿 𝗪𝗵𝗮𝘁𝘀𝗔𝗽𝗽 𝗖𝗵𝗮𝗻𝗻𝗲𝗹 𝗧𝗼 𝗚𝗲𝘁 𝗟𝗮𝘁𝗲𝘀𝘁 𝗡𝗲𝘄𝘀 𝗔𝘀 𝗜𝘁'𝘀 𝗗𝗿𝗼𝗽!
