FrieslandCampina WAMCO Nigeria, has announced a profit before tax of N18.75 billion for the financial year ended Dec. 31, 2019.
This represents a 15 per cent increase from the N16.31 billion posted in 2018.
The producers of Peak and Three Crowns Milk also announced a turnover of N161.83 billion for the year, 8.5% up from the N149.16 billion declared in 2018.
Mr Ben Langat, Managing Director, FrieslandCampina WAMCO Nigeria, announced this on Thursday at the 47th Annual General Meeting of the company held virtually.
NAN reports that the shareholders unanimously approved a total dividend payout of N9.49 per 50k share. This sums up the interim dividend of N2.68 per 50k share in November 2019; with a final dividend payout of N6.81 per share.
Langat stated that the company pushed through the challenging business environment during the year, coming up with several innovations to stay profitable.
“In the year under review, the business environment remained challenging. In spite of the headwinds, FrieslandCampina WAMCO played a leading role in Nigeria’s backward integration initiative led by the Central Bank of Nigeria (CBN) in the dairy sector,” Langat said.
He stated further that the company has activated it Dairy Development Programme (DDP) in Bobi Grazing Reserve, modeling 10 years success of the programme on a 10,000-hectare grazing reserve in Mariga Local Government Area of Niger, and also inaugurated a state-of-the-art factory for the production of Yoghurt and introduced the new Peak Yoghurt Drink in three distinct flavours (Plain Sweetened, Strawberry and Orange) into the market, in line with its business plan.
He promised that the company would continue to focus on providing better nutrition and advocating healthy living, as well as pursuing its backward integration for business sustainability.
On the company’s business outlook for 2020, Langat said that the Board of Directors and management of FrieslandCampina WAMCO remained positive and confident about the future of the company, in spite of the challenges caused by COVID-19 pandemic.
Multiverse forecasts N39.5 million profit in Q1 2021
The management of Multiverse Plc has projected a revenue of N76 million and a profit of N39.5 million in Q1 2021.
Multiverse Mining and Exploration Plc has projected that in the first quarter of 2021, the mining and exploration company will generate N76 million in revenue, and post a profit of N39.5 million.
These projections were made by the company in a recent earnings forecast issued by the Management, and signed by the Corporate Secretaries of the company.
Key highlights of the earnings forecast for Q1 2021
- Total revenue is projected at N76 million.
- Turnover from agency sale is projected at N1 million.
- Agency cost is s projected at N850 thousand.
- Total expenses are projected at N7.8 million.
- Operating Profit is projected at N67.3 million.
- EBIT (Earnings Before Interest and Taxation) is projected at N67.3 million.
- Interest Expense is projected at N27.8 million.
- Profit after tax is projected at N39.5 million.
Key assumptions made to support the earnings forecast and projection of the company
The earnings forecast was made on the ground that there won’t be any significant change in the economic policies of the Federal Government, while the monetary policies of the CBN would not be altered significantly.
The company also maintained that there would not be any industrial unrest that would affect its production and sales volume, while the profit of the company would not be pressured by rising costs of inputs, as prices of materials used in production shall be stable in the period under review.
GCR affirms Dangote Cement issuer ratings of AA+(NG) and A1+(NG)
Global Credit Ratings has affirmed Dangote Cement issuer ratings of AA+(NG) and A1+(NG).
Dangote Cement Plc has announced that Global Credit Ratings has affirmed the cement manufacturer a long-term and short-term national scale issuer ratings of AA+ (NG) and A1+(NG) respectively.
According to the press release issued by the company, the rating which maintains a stable outlook on Dangote Cement would expire by November 2021.
In line with this, GCR reviewed existing bonds of the company and assigned the N100bn Series 1 Fixed Rate Bond of Dangote Cement a rating of AA+.
Why this matters
- The ratings reflect Dangote Cement Plc’s status as Africa’s leading integrated cement manufacturer with a group-wide installed capacity of 45.6 million metric tonnes per annum across ten countries.
- The stable outlook which was maintained by GCR reflects the extensive distribution network, significant scale economies and position as the largest corporations on the Nigerian Stock Exchange, with sound access to capital.
- It is important to note that a rebound is expected within 18-24 months, on the back of strong base domestic demand.
What they are saying
Michel Puchercos, Chief Executive Officer, said:
- “Dangote Cement has shown great resilience in 2020 despite the COVID-19 pandemic and a challenging environment. The Group continues to report strong cash generation while maintaining strong financial discipline. As Africa’s leading cement producer, we are committed to maximizing shareholder value creation.”
Neimeth Pharmaceuticals to raise N5 billion in additional equity
The Board of Neimeth is set to raise N5 billion additional equity upon the approval by shareholders of the company at the AGM.
The disclosure is part of the resolutions reached at the Board of Directors meeting of 15th January 2021. At the end of the meeting, it was resolved that the company would raise additional equity to the tune of N5 billion.
In line with this development, a board resolution proposing to raise equity will be presented at the Annual General Meeting of the Company scheduled to hold on 9th March 2021.
What you should know
- The Board of the Company is yet to disclose if the additional equity would be a rights issue or a private placement, as the details of the additional N5 billion equity set to be raised are yet to be finalized.
- The fund will help the company’s management to execute key strategies that will reposition the company as a leader in the healthcare industry, with the hope to deliver better returns on investment to shareholders.
- The additional equity financing will also increase Neimeth’s outstanding shares, which will dilute earnings and impact the Company’s stock value for existing shareholders.
- The move has the potential to trigger a sell-off of the company shares on the Nigerian Stock Exchange.