Dangote Sugar approves N12 billion dividend for shareholders
Dangote Sugar Plc shareholders at the company’s 16th Annual General Meeting (AGM) approved a dividend of N12.147 billion, representing N1.00 per share of 50 kobo each.
The company’s financial result for the year ended December 31, 2021 showed strong gross profit growth of 29% to N276 billion from N214 billion for the comparative year 2020.
The result shows continued overall growth from various revenue streams and resilience across all financial indicators, amid macroeconomic headwinds in the year under review.
Despite the challenges that impacted the company’s performance over the year, ranging from weak macroeconomic fundamentals caused by the underlying pandemic to the continued impact of the COVID-19 pandemic which has led to a constant rise in the exchange rate, inflation and rising production costs, the sales volume increased to 771,321 tons, the production to 811,962 tons, representing a growth of 5% and 9% in volume compared to the same period in 2020.
Addressing shareholders at the AGM, company chairman Alhaji Aliko Dangote said the company’s performance in the year under review was commendable amid the challenges and negative impact of the COVID-19 pandemic on economic activities,
- He said, “We continued to implement process optimization, cost savings and product promotion strategies with the launch of our new brand identity and the continuation of Dangote Sugar’s upstream integration master plan.
- “The Board and management will continue to implement strategic actions to maintain and surpass this performance while engaging with all industry stakeholders and our communities to ensure the achievement of the country’s goals.
- “The goal of Dangote Sugar’s upstream integration projects master plan remains the achievement of 1.5 million tonnes per annum from locally grown sugar cane in support of the quest for sugar sufficiency in the country by the Federal Government of Nigeria.
- “This will be achieved in addition to the extended value chain benefits that will flow from the projects, including the thousands of jobs that will be generated in the sector from these projects.”
Main highlights of the results
- The group achieved a turnover of 276 billion naira, compared to 214 billion naira recorded in 2020.
- Profit after tax of 22 billion naira compared to 29 billion naira recorded in 2020.
- Revenue growth of 29%, 26% YoY and a 27% drop in PAT.
What shareholders said
The shareholders who spoke at the meeting, including Alhaji Farouk Umar, Mr. Nonah Awoh and Mrs. Bisi Bakare, were unanimous in congratulating the Board of Directors and the management of Dangote Cement, for the impressive financial performance which has resulted in sustained dividends despite COVID-19. pandemic and rising inflation in the country.