Dangote Sugar pays N7.2bn dividend
Dangote Sugar Refinery, for the year ended December 31, 2010, has posted a turnover of N89.98 billion and an operating profit of N16 billion.
The harsh operating environment experienced by sugar refining factories in emerging markets notwithstanding, the directors still recommended a dividend of N7.2 billion to the shareholders, translating to 60 kobo per share.
Meanwhile the company has announced plans to adopt a series of strategies and innovations to ensure improved returns on investments for its shareholders in the years ahead.
The company’s earning is expected to rebound with the introduction of its Vitamins A refined white sugar, in more consumer-friendly packages into the market.
Managing Director of the company, Mr. Suleiman Olarinde said, “By the third quarter, the retail packaged sugar will not only help the company improve its earnings, but will once again enthrone it as a clear leader in the sugar refining subsector of the Food and Beverages Industry”
In addition to the focus on the retail market, the company has also introduced a fleet of haulage trucks to ensure prompt lifting and delivery of its products to customers nationwide. The Management, according to Olarinde, are also putting necessary steps in place for the acquisition of vessels to ensure cost effective shipment of its major raw materials input: raw sugar.
All the strategies in place, according to him, are meant to ensure that the company stays ahead of competition and also ensure increased returns for shareholders.
Dangote sugar refinery started production in December 1999, The refinery was designed and built by Tate & Lyle, UK and the equipment mostly imported from UK and Brazil.
The company's end-product is refined sugar of a very high quality, and at least of the same quality as the best sugar produced in the international market. It is currently offered to the consumer market in 50 kg bags. Dangote Sugar Refinery Plc is subsidiary of Dangote Group.
Meanwhile, the group’s stocks, despite the bearish runs in the the Nigerian Stock Exchange (NSE) enjoyed high patronage, which lifted their value to N2.16 trillion.
The combined value of Dangote companies listed on the NSE, which include Dangote Cement Plc, Dangote Sugar Refinery Plc, Dangote Flour Mills Plc and National Salt Company of Nigeria Plc (NASCON) went up from N2.151 trillion to close at N2.163 trillion.
By the performance, the Dangote Group accounted for 27.4 per cent of the total value of the equities listed on the NSE as at the end of Q1.
Publication date is 4/19/2011
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