THE board of Nestle Nigeria has assured shareholders of more value for their investment in the firm in 2018, just as the shareholders of the company approved a final dividend of N21.8 billion, which represents N27.50 per share for the year ended December 31, 2017.
It would be recalled that an interim dividend of N11.890 billion, representing N15 per share was earlier declared by the company and paid in 2017, making the total dividend for 2017 will be N33.69 billion, representing N42.50 per share.
The shareholders made the approval at the 49th Annual General Meeting of the company in Lagos. They commended the company’s performance for the year under review, 2017, saying that the company fundamentals remain strong.
Addressing the shareholders, the chairman of Nestle Nigeria, Mr David Ifezulike said that Nestle Nigeria would continue to implement the policies that have contributed to the company’s growth in recent times.
He stated that the company had delivered very solid results across board, recovering from the impact of the recession in 2016, stating that the revenue increased by 34 percent and profit after tax increase was 326 percent, a remarkable result considering the high operating costs are driven by the increased prices of most raw materials and inputs.
Ifezulike said that in line with the policy of making shareholders the ultimate beneficiaries of the company’s business growth, the board recommended a final dividend of N21.8 billion or N27.50 per share.
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He added that Nestle brands remained the leaders in their leader’s categories by increasing the focus of the marketing efforts on driving penetration through the Popularly Positioned Products (PPP) strategy and continuing to educate consumers on the benefits of good nutrition delivered by our high-quality products.
He stated that the increase by 34 percent of our sales in 2017 is evidence that consumers continue to trust our brands, a trust that we will continue to protect as we continue to protect as we strive to respond to their needs and their preferences.
On the company outlook, he said, “in view of the foregoing and confident in the capacity of our people and the value of our brands, we look towards 2018 with optimism.
“We also remain well aware of the potential challenges in a year preceding major elections as well as risks associated with the current agitation in the Niger-Delta, the herdsmen crisis and Boko-Haram activities.”
He stated that as the current recovery trend eases production constraints in manufacturing and agriculture and key government reforms continue to diversify the economy, an all-around improvement in the economy is expected.
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