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Total retains N5.77b dividend payout despite 46% drop in profit

Total retains N5.77b dividend payout despite 46% drop in profit

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Total Nigeria PLC Board of Directors has recommended payment of final dividend of N4.75 billion to shareholders, bringing the total dividend payout for the 2017 business year to N5.77 billion. The company also paid N5.77 billion as cash dividend the previous year.

The breakdown of the dividend recommendation indicated that shareholders will receive a final dividend of N14 per share. The company had earlier distributed N1.02 billion as interim cash dividend, representing interim dividend of N3 per share.

Key extracts of the audited report and accounts of Total Nigeria for the year ended December 31, 2017 showed a top-down decline in performance. Turnover dropped marginally from N290.95 billion in 2016 to N288.06 billion in 2017.

Profit before tax dropped by 42 per cent from N20.35 billion in 2016 to N11.8 billion in 2017 while profit after tax declined by 46 per cent from N14.8 billion to N8.02 billion. Earnings per share also declined by 46 per cent from N43.58 in 2016 to N23.62 in 2017. However, the company’s shareholders funds improved by 20 per cent from N23.57 billion to N28.23 billion.

The company blamed the decline on tough operating environment in 2017 citing economic recession and its consequent contraction of the downstream market.

The company also stated that scarcity of Premium Motor Spirit (PMS) due to high landing cost compared to the template, foreign exchange scarcity that hindered importation and high financial costs due to increase in bank lending interest rates impacted negatively on the company’s performance.

Total Nigeria Plc Managing Director, Jean-Philippe Torres, said the company is committed to ensuring total customer satisfaction by the creation of quality products and services delivered with a strong commitment to safety and respect for the environment.

According to him, the overall objective of customer satisfaction drives all the company’s actions and the mutual acknowledgement of them by its partners forms the basis for their business relationships.

“To sustain this objective and our leadership of the market, our commitment is to build and sustain a work culture firmly rooted in professionalism, respect for employees, internal efficiency and dedicated services,”  Torres said.

 

The post Total retains N5.77b dividend payout despite 46% drop in profit appeared first on The Nation Nigeria.

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