Nestle Nigeria Plc has released its Unaudited Financial Statements for the period ended 30 June 2019. The company experienced a 5% increase in its revenue when compared to its result for the corresponding period.
In the statement published on the website of the Nigerian Stock Exchange (NSE), Nestle Nigeria reported that its revenue grew by 5% from N135.2 billion recorded in 2018, to climb N141.9 billion this year.
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Nestle Nigeria’s major activities include manufacturing, marketing, and distribution of food products with purified water across Nigeria. The Company also exports some of its products to other countries within and outside Africa.
Some of the company’s products are Milo, Nescafe, Nestle Pure Life (Packaged water), and Golden Morn.
In the period under review, the company said it’s Profit Before Income Tax also increased by 27% to hit N40.4 billion this year, from the corresponding year’s result that recorded N31.8 billion.
Nestle Nigeria’s Profit for the period also jumped by 21%, the Unaudited Financial statement disclosed. The company recorded an increase from N21.4 billion of last year to N26.2 billion this year, resulting in a 21% climb.
The company also declared a higher dividend for this period, with a 40% difference from that of last year. In the statement, it was revealed that Nestle Nigeria’s declared dividend was N30.5 billion for this period from N21.7 billion of the corresponding period.
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The company’s shareholders approved final dividend of N30.5 billion translates to N38.5 per share for the 2018 financial year. The approval was given during its 50th Annual General Meeting which recently held in Lagos.
Shareholders’ thoughts on the dividend: The dividend payout excited some of the shareholders, as many of them commended Nestle‘s consistency in this regard.
Reacting to the development, the National Coordinator of the Progressive Shareholders Association of Nigeria, Mr. Boniface Okezie, stated that the payout was rather on the high side. He also advised that Nestle Nigeria Plc should devise measures to reduce the huge unclaimed dividend figure.