Friday, 20th April, 2018, Lagos, Nigeria:
Shareholders of Nigerian Breweries Plc have lauded its 2017 financial performance and approved the N33 billion dividend pay-out proposed by the Board.
The shareholders who spoke at the 72nd Annual General Meeting of the company held at the Muson Center, Onikan-Lagos on Friday noted that the company’s performance in spite of the very challenging operating environment, stood out as a shining example for other corporate organisations to emulate.
They agreed that the 2017 results and the dividend pay-out are strong signals of the resilience of the company in the face of the apparent challenges of the economy.
One of the shareholders, Mr. Gbadebo Adetokunbo congratulated the company for good showing in 2017 and for “doing the needful” to the shareholders. The same sentiment was echoed by Mr. Patrick Ajuwah, who lauded the company for improving the gross earnings and the bottom line.
Mr. Shotunde Shopeju, another shareholder, expressed confidence that the company remains in good stead to deliver good returns to shareholders in the future and congratulated the company for remaining strong even in the midst of economic challenges.
Theophilus Adegboye an eighty five year old shareholder from Oshogbo, Osun State congratulated the Company for improving the fortunes of shareholders. He urged his fellow shareholders to commend the company for proposing a 100% dividend pay-out at a time many quoted companies were unable to pay dividend to their shareholders.
Responding, Chief Kola Jamodu (CFR), Chairman, of the Company explained that the 100% pay-out is a reflection of its strong balance sheet and overall health of the company. He added that the N33 billion dividend pay-out is a considerable increase over the N28 billion paid last year. In the course of the year, the Company had earlier paid an interim dividend of N7.97 billion in November 2017, which amounted to N1.00 per share.
Jamodu maintained that the operating environment in 2017 was very challenging especially from an input cost, FOREX and purchasing power perspectives.
The dividend pay-out which translates to a total dividend of N4.13 per ordinary share of 50 kobo each is a 100% pay-out, and makes it the third year in a row that the company is delivering such to its shareholders.
An analysis of the Company’s audited results shows a gross revenue of N345 billion revenue which resulted in a N33 billion Profit After Tax (PAT) for the 2017 financial year. This represents a 16 percent increase in Profit After Tax from the N28.4 billion achieved in 2016, and a 10 percent growth in turnover in 2017 from N314 billion in the preceding period.