Shareholders of NASCON Allied Industries Plc, a subsidiary of Dangote Industries Limited, has applauded the company for improved performance and dividend declared in 2019.
In a statement made available to the News Agency of Nigeria (NAN) in Lagos on Monday, the shareholders also urged the food seasoning company to expand its market share so as to increase revenue.
A shareholder, Mrs Bisi Bakare, who spoke on behalf of other virtual attendees, commended the company for taking good care of shareholders by paying a 40k dividend per share.
According to her, the dividend declared translate to a 57 per cent pay-out ratio despite the harsh operating environment.
She was particularly elated that NASCON board and management grew revenue from N25.77 billion to N27.49 billion in the year under review.
Sir Sunny Nwosu, a shareholders’ rights’ activist, also lauded the board and management of the company for their ability to pay dividend despite the Apapa Wharf gridlock and downturn in the economy.
Nwosu said that while other companies are lamenting and cutting down on production, “NASCON is paying dividend, which was commendable’’.
He urged the company to strategise towards expanding its market share in the food sector, especially in the South East and South West regions for more opportunities.
“The management should expand our customer base to attract more revenue.
“They should develop strategies to penetrate the South East and South West markets since the plants are close to these markets,’’ he said.
Managing Director of NASCON, Paul Farrer, told the shareholders that the company had developed strategies to capture share in the envisaged markets and will gradually deploy them in the coming months.
Farrer said that the company has been resilient in the challenging environment of 2019 and is strongly focused on capacity growth and increased market penetration.
He assured that the company would leverage on a number of synergies, including improved output in terms of quality, quantity and business efficiency to deliver value for all stakeholders.
NAN reports that NASCON’s annual report for 2019 indicated that operating profit stood at N2.9 billion, net profit at N1.85 billion and total assets at N38.67 billion.
The principal activities of the company include processing of raw salt into refined, edible and industrial salt.
NASCON is also into the production of seasoning and vegetable oil. (NAN)