Companies
Julius Berger targets 25% surge in 2018 revenue
Managing Director, Julius Berger Nigeria Plc, Wolfgang Goetsch says the company forecasts a 45 percent jump in 2018 revenue as the country recovers from a 2016 contraction and as the foreign-exchange market stabilizes.
The construction company says it expects revenue to grow to ₦210 billion, to be spurred by government contracts valued at ₦500 billion ($1.4 billion)
Projects currently being undertaken by the company include building access roads in Abuja’s central business district, roads and civil works at Dangote Group’s oil refinery now under construction in Lagos and the construction of the 2nd Niger Bridge.
The company saw its earnings reduced as Nigeria suffered its worst economic contraction in 25 years in 2016 as a slump in the price of oil, its main export, caused foreign-currency shortages.
After a ₦2.4 billion loss in 2016, the company made a profit of ₦2.57 billion in 2017, and revenue stayed at ₦141.9 billion. Also, 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.
According to the Managing Director, losses were incurred by the company as it bought foreign exchange in a volatile market, and since the exchange rate stabilized, the cost element of foreign-exchange losses is getting smaller and this has helped the company’s overall profitability.
He further revealed that the company is in talks with the government, its main debtor, as part of an effort to recover outstanding payments of about ₦60 billion.
“The government will raise bonds and these bonds will be given to the contractors and we can sell the bonds and generate cash.”
He also revealed plans to diversify its operations into the energy industry, where it has formed a partnership with petralon oil and gas firm to explore an oil field.
Julius Berger started operations in Nigeria in 1965, and it is Nigeria’s largest construction company by market value with two-thirds of its earnings from government contracts.
Its share price as at close of trading yesterday was 27.55 on the floor of the Nigerian Stock Exchange while its one year return is down by 30.88%.
Appointments
Airtel Nigeria announces appointment of Surendran as new Chief Executive Officer
Airtel Nigeria, has announced the appointment of Mr C. Surendran as the new MD/CEO with effect from August 1, 2021.
Telecommunications giant, Airtel Nigeria, has announced the appointment of Mr C. Surendran as the new Managing Director and Chief Executive Officer with effect from August 1, 2021.
Surendran would be replacing the outgoing Managing Director and Chief Executive of Airtel Nigeria, Olusegun Ogunsanya, who has been elevated to the position of Chief Executive Officer of Airtel Africa Plc with effect from October 1, 2021.
According to a report from the News Agency of Nigeria, this disclosure is contained in a statement issued by Airtel on Wednesday, May 5, 2021, in Lagos.
READ: Airtel Africa signs new $500 million loan with Bank of America, HSBC, others
The statement says that Surendran would also be appointed to the Executive Committee (ExCo) as Regional Operating Director, reporting to the CEO of Airtel Africa plc, and onto the Board of Airtel Networks (Nigeria) Limited.
Airtel in its statement said, “Surendran has been with Bharti Airtel since 2003 and has contributed immensely in various roles across customer experience, sales and business operations.
He was the Chief Executive Officer of Karnataka, which is the largest circle in Airtel India, with over one billion dollars in revenue.
Surendran delivered an exceptional performance with significant movement in Revenue Market Share (RMS) over the last few years, currently at 54 percent. He has over 30 years of business experience, including 15 years at Xerox.’’
Airtel said that Surendran would transition into his new role from June 1, 2021, and spend the time onboarding into the business until July 31, 2021.
READ: Meet the latest billionaires on the Nigerian Stock Exchange
In case you missed it
It can be recalled that a few days ago, Airtel Africa Plc, a leading provider of telecommunications and mobile money services in Nigeria and 13 other countries, announced the appointment of Mr Olusegun Ogunsanya as the new Chief Executive Officer, following the notice of retirement given by the current Managing Director/Chief Executive Officer, Raghunath Mandava, to the Board.
In the notification sent by Airtel Africa to the Nigerian Exchange, Ogunsanya is expected to join the board of Airtel Africa with effect from October 1, 2021.
Companies
Our First Bank loan is being serviced, reduced by 30% in 2 years – Honeywell Group
The credit facilities accessed from First Bank were granted after due negotiations, with the necessary documentation and in line with regulatory policies and industry standards.
