By Dipo Olowookere
The board of UAC Nigeria Plc over the weekend announced a dividend payment of 10 kobo to shareholders for the year ended December 31, 2019.
In its financial statements released at the weekend, the company said the cash reward would be paid to beneficiaries only after an approval at the Annual General Meeting (AGM).
A look at the company’s performance last year by Business Post showed an improvement in its top line and a decline in bottom line.
Revenue generated in the year increased to N79.2 billion from N70.5 billion and this was mainly because of rise in revenue generated from its major business lines.
Its animal feeds and other edible products generated N51.8 billion as against N44.6 billion in FY’18, its paints business raked N11.0 billion in Fy 2019 versus N10.6 billion in FY 2018, and its packaged food and beverages line generated N17.6 billion compared with N16.2 billion.
In the financial year under review, the cost of sales increased to N62.6 billion from N57.2 billion, while the gross profit rose to N16.6 billion from N13.2 billion, with dividend income of N6.4 million as against nothing received in the prior year.
The sum of N2.4 billion was made as other operating income compared with N1.2 billion in the 2018 fiscal year. It had other operating losses of N297.2 million versus N605.1 million. Selling and distribution expenses increased during the period under consideration increased to N6.5 billion from N4.6 billion, while the administrative expenses jumped to N6.6 billion from N5.3 billion.
In the year, UAC Nigeria recorded an operating profit of N5.7 billion as against N3.9 billion in FY 2018, while the finance income remained flat at N2.8 billion, with the finance cost rising to N991.2 million from N610.7 million, leaving the firm with a net finance income of N1.8 billion in contrast to N2.2 billion in the previous year.
In the 2019 financial year, UAC Nigeria increased its profit before tax to N7.5 billion from N6.1 billion, while it declared a net loss of N9.3 billion as against a net loss of N9.5 billion in 2018.
On its balance sheet, UAC Nigeria had a total assets of N107.6 billion in the 2019 financial year in contrast to N131.0 billion in the prior year and total liabilities of N47.1 billion in FY 2019 versus N56.9 billion in FY 2018.
