ABC TRANSPORT : QUARTER 5 - FINANCIAL STATEMENT FOR 2022

ABC TRANSPORT PLC

CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2022

ABC TRANSPORT PLC

CONSOLIDATED FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2022

INDEX			PAGE
Reports of the Directors	i
Reports of Audit committee	iv
Statement of Directors' responsibilities in relation to the financial statements	1
Statement of Compliance	2
Independent auditor's report	3
Consolidated statement of financial position	7
Consolidated statement of profit or loss and other comprehensive income	8
Consolidated statement of cash flows	9
Consolidated statement of changes in equity	10
Notes to the financial statements	12
Other national disclosures:
Consolidated statement of value added	84
Financial summary - Group	85
Financial summary - Company	86

ABC TRANSPORT PLC

REPORT OF THE DIRECTORS

FOR THE YEAR ENDED 31 DECEMBER 2022

The Directors submit their report together with the audited financial statements for the year ended 31 December 2022.

1 OPERATING RESULT	2022	2021
	N'000		N'000
Profit/(loss) for the year after taxation	30,490	(263,767)

2 LEGAL FORM

ABC Transport Plc was incorporated as a Private Limited Company on April 5, 1993 and was converted to a Public Limited Liability Company on November 21, 2005. The shares were quoted on the Nigerian Stock Exchange on

December 20, 2006. As approved by the Shareholders at the Annual General Meeting of 12th August, 2011, the Company's name was changed from Associated Bus Company Plc to ABC Transport Plc in 2011.

3 PRINCIPAL ACTIVITIES

Principal activity of the company is road transportation. It provides both long and short haul bus services; consolidated cargo and Haulage services within Nigeria and the West African sub-region.

4 DIRECTORS AND DIRECTORS' INTERESTS

No Director has any disclose-able interest in contracts in which the company was involved during the year under review.

5 DIRECTORS' RESPONSIBILITIES

The Directors are responsible for the preparation of the financial statements which give a true and fair view of the state of affairs of the Company at the end of each financial year and of the profit or loss for that period and which comply with the Companies and Allied Matters Act 2020. In doing so they ensure that:

• proper accounting records are maintained;
• internal control procedures are instituted which as far as is reasonably possible, safeguard the assets and prevent and detect fraud and other irregularities;
• applicable accounting standards are followed;
• suitable accounting policies are adopted and consistently applied;
• judgments and estimates made are reasonable and prudent; and
• the going concern basis is used, unless it is inappropriate to presume that the Company will continue in business.
• Internal control procedures are instituted which, as far as is reasonably possible, safeguard the assets and prevent and detect fraud and other irregularities.

6 Directors' Shareholdings:		Indirect	Direct	Indirect
		Direct Interest as	Interest as at	Interest as	Interest as
S/N	Name	at Dec. 2022	Dec. 2022	at Dec. 2021	at Dec. 2021
1	Mr. Olumide Obayomi	110,000	5,720,000	110,000	5,720,000
2	Mr. Francis Nneji	1,051,680,000	335,935,826	626,000,000	75,901,087
3	Mr. Jude Nneji	30,580,213	-	18,202,508	-
4	Alh. Kabiru Yusuf	1,474,000	-	1,100,000	-
5	Mr. John Okoro	1,524,185	-	907,253	-
6	Mr. Bamidele Asije	700,000	279,835,881	700,000	279,835,881
7	Mr. Rex Okoro	-	-	-	-
8	Mrs Ifeoma Adeoye	-	-	-	-

Prince Olumide Obayomi, Mr. Francis Nneji and Mr. Bamidele Asije have indirect shareholdings through Royal Funbay Limited, Rapido Ventures Ltd. and Drolemoc Farms Limited respectively.

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ABC TRANSPORT PLC

REPORT OF THE DIRECTORS

FOR THE YEAR ENDED 31 DECEMBER 2022

7 PROPERTY, PLANT & EQUIPMENT

Movements in fixed assets during the year are shown in the financial statement.

8 POST BALANCE SHEET EVENTS

There are no significant post balance sheet events which have not been provided for in these accounts.

9 MAJOR SUPPLIERS:

The Company's significant local suppliers are:

F. O. Obison Int'l Agency

Chidel Ventures Ltd.

Jibeco Nigeria Limited

Dec Caky and Sons Ltd

Kwereson Ent. Nigeria Limited - Lagos

Ideal Standard Services

1st Magnificent Energy Ltd. Amanni Oil and Gas

Iyke Paulson Co. Nig. Ltd.

10 DONATIONS

The following amounts have been given by way of donations and gifts during the year under review.

	N'000
Book launch	50,000
Corporate gifts	1,202,500
Community development	460,000
Condolences, Burial, Weddings, etc.	3,278,470
	4,990,970

There was no donation or gift made to any political party, political association or for any political purpose in the course of the year under review.

11 EMPLOYMENT AND EMPLOYEES

1) Employment and Employees

ABC Transport Plc is an equal opportunity employer concerned with the retention of staff and strives to remain the employer of choice within the road transport sector. The company provides a total compensation package that enables it to attract and retain highly skilled and qualified employees while recognizing the need to manage payroll costs.

2) Employment of Disabled Persons

The Company has reviewed its employment policy in line with the needs of the business. A policy of the Company stipulates that there should be no discrimination in considering applications for employment including those from disabled persons. All employees whether or not disabled are given equal opportunities to develop.

3) Work Environment

The Company strives to ensure a safe working environment for its employees. Health and safety regulations are in force within the Company's premises and employees are aware of existing regulations. Subsidies are provided to all levels of employees for medical, transportation, housing etc.

4) Employee Involvement, Development and Training

Training workshops and seminars are organized regularly for employees at all levels. The Company places a great premium on the involvement of its employees in the attainment of its goals. It is also committed to keeping them informed about its progress and performance. The Company equally seeks the views of its employees particularly concerning matters which directly affect them.

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ABC TRANSPORT PLC

REPORT OF THE DIRECTORS

FOR THE YEAR ENDED 31 DECEMBER 2022

Formal meetings are held amongst staff within the operational zones and suggestions and opinions of employees are sought and considered on the general operations of the company as well as matters affecting them.

Career development of each employee and succession planning are major priorities of the company. The employees of the company attend short and long term training programmes which are tailored to meet the needs of both the employee and company. Employees are adequately rewarded and motivated to achieve results.

5) Health, safety at work and welfare of employees

The company considers the health, safety and welfare of its employees of paramount importance. In pursuance of this, the company has a group life insurance policy and pension scheme. It has also retained the services of healthcare providers across various locations. Safety standards are adhered to in the workplace. The employees of the company are currently enrolled by the company to the National Health Insurance Scheme.

6) Safety Policy

ABC places a high premium on the safety of its passengers and crew while on transit. To this end, the company organizes quarterly safety re-orientation and training programmes for its crew. All the vehicles in our fleet are fitted with tracking devices and speed limiters which monitor the speed of the vehicles. For the period under review, the accident rate of the company's fleet was well within acceptable limits, with a large number of the recorded accidents attributable to the errors and miscalculations of other road users.

12. COMPLAINTS MANAGEMENT POLICY

ABC Transport Plc has in place a Complaints Management Policy in accordance with the requirement of the Securities and Exchange Commission. The policy sets out the broad framework for receiving, registering and handling shareholders and investors complaints in an impartial, confidential and timely manner.

13. SECURITIES TRADING POLICY

ABC Transport Plc has a Securities Trading Policy which applies to all employees and Directors. The policy applies to all employees that may at any time possess any insiders or material information about the company. The trading policy includes the need to enforce confidentiality against external advisers.

14. INDEPENDENT AUDITORS

Based on the requirements of the Nigerian Code of Corporate Governance 2018, PKF Professional Services (Accountants and Business Advisers), shall cease to be the Company's Auditors from next Annual General Meeting, when it would be ten continuous years the audit firm has rendered audit services to the Company. A resolution will be proposed at that meeting for the appointment of a new auditor for the Company in accordance with section 401(1) of the Companies and Allied Matters Act 2020.

BY ORDER OF THE BOARD

Onyekachukwu C. Chigbo, Esq.

Company Secretary/Legal Adviser

FRC/2020/002/00000021630

Imo State,

Nigeria.

Dated this 28th day of March 2023

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