Shareholders Approves Unilever Nigeria N1.50 Kobo Dividend…As Revenue Declined To N19.2Billion In Q1

Shareholders of Fast Moving Consumer Goods (FMCG) Unilever Nigeria Plc, on Thursday May 9, 2019, approved a dividend of N1.50 kobo that was proposed by the board of directors for the financial year ended December 31, 2018.

The dividend will be paid to shareholders whose names appears on the company register on Friday May 10, 2019.

The board of directors got the approval at the company’s 94th Annual General Meeting (AGM) in Lagos. Commenting on the company future outlook, the chairman, His Majesty Nnaemeka Achebe said Unilever’s approach to business in 2019 is to continue to drive growth that is profitable, responsible, consistent and competitive.

Adding that Unilever will continue to focus on delivering strong results despite the harsh economic environment within which it operates. “We will therefore constantly monitor the local and global economic environment, and appropriately apply pragmatic and dynamic approaches to business execution”.

Also under the special business, shareholders passed an ordinary resolution of the company, which state “that, pursuant to the rule 20.8 of the rulebook of the Nigerian Stock Exchange 2015. Issuer Rule, a general mandate be and is hereby given authorizing the company during the 2018 financial year and up to date of the next Annual General Meeting, to procure goods, services and financing and enter into such incidental transactions necessary for its day to day operations form its related parties or interested persons on normal commercial terms consistent with the company’s transfers pricing policy. All transactions falling under this category which were earlier entered into in 2018 prior to the date of this meeting are hereby ratified”

Meanwhile Unilever Nigeria Plc, in its first quarter result for the period ended March 31, 2019 recorded a sharp decline in its revenue. According to the unaudited financial statements revenue generated in the first three months of this year went down to N19.2 billion from N24.3 billion that was reported same period in 2018.

However, the company was able to reduce its cost of sales in the period under review to N15.4 billion from N17.6 billion. Also, the marketing and administrative expenses reduced to N1.5 billion from N2.3 billion, while the selling and distribution expenses went down to N859.5 million from N1.1 billion.

An analysis of the results showed that finance income improved significantly to N803.9 million from N465 million, but the finance costs increased to N94.4 million from N92.7 million.

Further look on the results showed the profit before tax in the period under consideration dipped to N2 billion from N3.7 billion in 2018, while the profit after tax dropped to N1.5 billion from N2.9 billion, with the earnings per share (EPS) falling to 26 kobo from 50 kobo.

Unilever is one of the world’s leading consumer goods companies, making and selling around 400 brands in more than 190 countries. In Nigeria, the company is principally involved in the manufacture and marketing of foods and refreshment, home care and beauty and personal care products. It has manufacturing sites in Oregun, Lagos state and Agbara Ogun state.

Post Author: Friday Ekeoba