By Modupe Gbadeyanka
Dangote Flour Mills Plc has returned to profitability after four years of losses, declaring a profit before tax of N11.82 billion for its financial year ended December 31, 2016 in contrast to the N12.5 billion it lost in the corresponding year of 2015.
A review of the results released on the floor of the Nigerian Stock Exchange (NSE) showed that the firm’s operating profit went up to N16 billion compared to a loss of N8.6 billion posted at the preceding year.
In the same vein, profit after tax went up to N10.6 billion in contrast to N12.5 billion loss it declared in 2015.
Similarly, revenue went up by 120 percent from N48 billion to N105.8 billion, while gross profit increased by 556.8 percent to N29 billion compared to N4 billion in 2016. Capital market analysts described the company’s performance as heart-warming given that the company had recorded losses in the past.
Dangote Flour Mills consist of Dangote Flour, Dangote Pasta, and Dangote Noodles. It was sold to Tiger Branded Consumer Goods, but later reacquired and re-positioned for good results.
Having reacquired the flour mills, the new board of directors and management started a restructuring process.
Speaking on the repositioning, the chairman, Dangote Flour Mills, Mr Ighodalo Asue, stated that, “We bought back Dangote Flour Mill from Tiger Branded Consumer Goods and by this move, it means we have a stronger, better, sophisticated and more focused Dangote Flour Mills.
“Since the takeover, we have taken a lot of steps to reposition the company through expansion to drive growth.
“We are also using this medium to restate our commitment to increasing our shareholders.”
The group chief executive officer, Dangote Flour Mills, Mr Thabo Mabe, attributed the return to profitability to several strategies adopted by the company to increase market share and create value for shareholders.
He noted that the Dangote Flour Mills was driven by the vision of putting its products on the table of every Nigerian.
Dipo Olowookere 
Adedapo Adesanya