Aluminium Extrusion declares 8.5 kobo per ordinary share dividend

Aluminum Extrusion Industries plc has declared a final dividend of 8.5 kobo per 0.5 kobo ordinary share for the financial period ended Monday, December 31, 2018.

On Monday, September 2, 2019, the dividends will be paid electronically to shareholders whose names appear on the registrar of members as of Friday, June 14, 2019.

While Qualification date has been scheduled for Friday, June 14, 2019, the Register of Shareholders will be closed from Monday, June 17, 2019, to Friday, June 21, 2019.

Company financial results: In 2019 Q1, Aluminium Extrusion Industries Plc recorded revenue of N756 billion as against N691 billion in the corresponding period of last year.

More so, the company’s profit for the year stood at N22 million in 2019 as against N31 million in 2018.

Understanding Dividend: A dividend is a payment made by a company to its shareholders, usually as a distribution of profits. When a company earns a profit or surplus, it reinvests a portion of the profit in the business (retained earnings) whilst paying a portion as dividends to the shareholders.

Distribution to shareholders may be in cash (usually a deposit into a bank account) or the issuance of further shares, otherwise known as shares repurchase. But this is usually if the company has a dividend reinvestment plan.

In other words, a dividend is allocated as a fixed amount per share with shareholders receiving a dividend in proportion to their shareholding. For the joint-stock company, paying dividends is not an expense; rather, it is the division of after-tax profits among shareholders.

About the company: Aluminum Extrusion Industries Plc is engaged in the manufacture and sale of a range of extruded aluminum profiles, billets, and roofing sheets.

The Company’s facilities consist of extruded aluminum plant, billet casting plant, powder-coated plant, aluminum roofing sheet plant, product storage, and other facilities. The Company sells its finished products and by-products in the domestic market.

Aluminum Extrusion Industries Plc traded N8.20 on NSE’s last trading session.