By Nse Anthony-Uko
(Sundiata Finance) — The board of directors of Vitafoam Nigeria Plc on Monday recommended a total dividend payout of N156.3 million to its shareholders for the financial year ended September 30, 2017. Shareholders will be paid 15 kobo per share and the dividend is subject to shareholders’ approval and withholding tax.
If approved at the Annual General Meeting (AGM), the dividend will be paid on March 9, 2018 to members whose names appear in the register of members at the close of business on February 16, 2018. Also, released yesterday on the floor of the Nigerian Stock Exchange (NSE) was the company’s year-end result where it disclosed a gross revenue of N17.696 billion compared to N13.57 billion last year.
This represents a growth of 30.41 per cent, cost of sales went up to N12.606 billion from N8.908, leading to gross profit of N5.09 billion from N4.662 billion in 2016. Group profit before tax rose dropped N18.133 million as against N32.03 million disclosed last year, while loss after tax grew to N127.69 million from N32.03 million in 2016. The Company declared dividend despite its loss position.
Also, the Group operating profit increased to N1.33 billion compared to N888 million in 2016. Total Assets stood at N13.411 billion as against N13.269 billion, while total liabilities for the period stood at N10.037 billion from N9.837 billion.
In the year under review, the group managing director of the company, Mr. Taiwo Adeniyi unfolded new strategic focus to overcome challenges for optimum operation. The company pledged to sustain its corporate culture of innovative products at competitive prices for enhanced shareholder value.
Adeniyi explained that it was a very tough period as the most difficult problem was how to make realistic business decision in the face of continuous uncertainty in view of insecurity, exchange rate, interest rate and insecurity of lives and property.