Nairametrics
  • Home
  • Exclusives
    • Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Ranking & Reviews
  • Markets
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Content Partners
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Get Data
    • Macro-Economic News
    • Research Analysis
  • General News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
  • Home
  • Exclusives
    • Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Ranking & Reviews
  • Markets
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Content Partners
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Get Data
    • Macro-Economic News
    • Research Analysis
  • General News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
Nairametrics
No Result
View All Result
Home Industries Company News

Why Julius Berger envisages growth for Nigeria’s construction sector despite challenges

Emmanuel Abara Benson by Emmanuel Abara Benson
May 10, 2018
in Company News, General News
Julius Berger Nigeria Plc

Two workers of Julius Berger Nigeria Plc

Share on FacebookShare on TwitterShare on Linkedin

Julius Berger’s Managing Director, Wolfgang Goetsch has attributed an envisaged positive business outlook for Nigeria’s construction sector to the government’s Economic Recovery and Growth Plan.

Wolfgang, who spoke to journalists earlier this week on the sidelines of the company’s Investor Relations forum in Lagos, disclosed that the country’s construction sector is expected to grow in 2018 despite certain challenges.

According to him, Nigeria’s GDP has continued rise, even as inflation decreases and the foreign reserves increases, thanks to favourable crude oil prices. These factors, he said, had led to the International Monetary Fund’s (IMF) elevation of the country’s 2018 growth forecast to 2.1%.

He also gave other reasons for his prediction, stating that the recently-witnessed stability in Nigeria’s currency market, which in the past had caused volatility. He also pointed to investors’ growing desire to readily embrace risks, which has resulted in “more time-intense and intricate contract negotiations requiring more rigorous evaluation.”

As the Economic Recovery and Growth Plan has now been in place, we continue to eagerly anticipate sustainable growth, and we look forward to the tangible positive outcomes for the construction industry, and therefore for our company.– Wolfgang Goetsch

What does this mean for the company and its shareholders?

In view of the highlighted favourable economic conditions and rising investor confidence, the construction industry in Nigeria will generally receive the much-needed boost to ensure productivity. This will in turn benefit companies such as Julius Berger, in the sense that revenue will increase, as well as profitability. As such, the company’s shareholders can be guaranteed of higher dividends.

Already, Julius Berger is positioning itself to take advantage of the current economic situation with its ‘Proactive Change Agenda’ which it hopes will ensure a more competitive and profitable corporation.

The company will, however, need to prepare to grapple with a few challenges, including the ones posed by its competitors. To really distinguish itself from its competitors, the company may also need to do more to always complete their contracts on time. This is said in view of the protracted construction on Lagos-Ibadan Expressway, parts of which the company has been handling for the past five years.

Julius Berger Nigeria Plc was incorporated in 1970 and became listed on the Nigerian Stock Exchange in 1991.

Results for the first quarter ended March 2018 show the company reported revenue of ₦35.32 billion for the period ended March 2018 compared to ₦34.15 billion reported for the period ended March 2017.

Profit before tax was ₦2.21 billion for the period ended March 2018, as against a ₦17.1 million loss before tax recorded in the corresponding period of last year.

The stock closed at ₦29.00 in yesterday’s trading session.

Related

Tags: IMFJulius BergerNigeria's Construction SectorOn the MoneyWolfgang Goetsch

Comments 1

  1. Anonymous says:
    May 10, 2018 at 10:11 am

    N44bn PAT?

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Eco Bank
Access Bank
Bankers Committee
First bank


Flowmono

Bfpeer
Mega Millions
FCMB
Ikeja Electrics
Kwakol Markets




    Business News | Stock Market | Money Market | Cryptos | Financial Literacy | SME |

    Recent News

    • BWAM celebrates Dr Ola Brown, investor and finance expert, as one of 40 Under 40 Women in Asset Management
    • Court fixes June 28 for Supreme Court decision on Section 84(12)
    • MPC: CBN mute on cryptocurrency despite SEC regulation of digital assets

    Follow us on social media:

    Recent News

    BWAM celebrates Dr Ola Brown, investor and finance expert, as one of 40 Under 40 Women in Asset Management

    BWAM celebrates Dr Ola Brown, investor and finance expert, as one of 40 Under 40 Women in Asset Management

    May 24, 2022
    P&ID: Court grants former Director at Ministry of Petroleum N30 million bail

    Court fixes June 28 for Supreme Court decision on Section 84(12)

    May 24, 2022
    • ABOUT US
    • CONTACT US
    • PRODUCTS
    • ANDROID APP
    • iOS APP
    • DISCLAIMER
    • CAREERS
    • PRIVACY POLICY

    © 2022 Nairametrics

    No Result
    View All Result
    • Home
    • Exclusives
      • Analysis
      • Corporate Stories
      • Interviews
      • Investigations
      • Ranking & Reviews
    • Markets
      • Cryptos
      • Commodities
      • Equities
        • Dividends
        • Stock Market
      • Fixed Income
      • Market Views
      • Securities
    • Industries
      • Company News
      • Consumer Goods
      • Content Partners
      • Corporate deals
      • Corporate Press Releases
      • Energy
      • Entertainment
      • Financial Services
      • Hospitality & Travel
      • Manufacturing
      • Real Estate and Construction
      • Tech News
    • Economy
      • Get Data
      • Macro-Economic News
      • Research Analysis
    • General News
    • Financial Literacy
      • Career tips
      • Personal Finance
    • Lifestyle
      • Billionaire Watch
      • Profiles
    • Opinions
      • Blurb
      • Op-Eds

    © 2022 Nairametrics

    Social Media Auto Publish Powered By : XYZScripts.com