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Shareholders approve Conoil’s N2.78bn dividend

By on October 2, 2014

Shareholders of Conoil Plc on Tuesday approved the N2.78bn dividend proposed by the company for the financial year ended December 31, 2013.

The figure, which translates into N4 per share, is 300 per cent higher than the dividend paid for the previous year.

The company had proposed the dividend after it overcame what it said was the harsh operating environment witnessed by the downstream petroleum sector, during the year to record significant growth.

The shareholders, who endorsed the dividend at the company’s 44th Annual General Meeting, which was held in Uyo, Akwa Ibom State, commended the Conoil Board and management for implementing the strategies and programmes that enabled the company to record impressive performance across board.

The National Coordinator, Independent Shareholders Association of Nigeria, Sunny Nwosu, stressed that the shareholders were not only excited about the dividend; they were also happy about the progress made in the year.

He said, “We are impressed with the record performance and the balance sheet. We are indeed happy that Conoil is paying quality dividend amid the tough challenges facing downstream operators in this country. It shows that the board and management of the company hold every shareholder in high esteem.”

Another shareholder, who is also the President, Nigerian Shareholders Solidarity Association, Chief Timothy Adesiyan, commended the board for keeping its promise to boost its bottom line and increase the return on investment for shareholders.

He added, “The revenue and profit growth compared favourably with industry performance.

We can only wish that they continue to strengthen and consolidate on the company’s leadership position in the industry.”

For his part, the Chairman, Ibadan Zone Shareholders Association, Chief Sola Abodunrin, said the 300 per cent increase on the previous dividend showed Conoil’s “commitment to its shareholders”.

In the year under review, the Chairman, Conoil Plc, Dr. Mike Adenuga, said the company scored many firsts in the areas of product development, service delivery, adding that it set new standards with novel initiatives.

According to him, the company’s results for the period showed that its huge investments in its operations were paying off.

In the review period, Conoil’s revenue increased from N149.99bn to N159.54bn, while it grew its gross profit to N17.04bn from N16.1bn.

The company’s profit before tax soared by 289 per cent to N4.58bn from N1.15bn in 2012, while its profit after tax of N3.07bn was 330 per cent higher than it was a year earlier.

Reviewing the year, Adenuga said, “Conoil consolidated its competitiveness in the different segments of its core business. We also pursued and sustained strategic expansion of our retail network across the length and breadth of the country with a view to ensuring that a lot more people, especially in the remotest parts of the country, have access to our superior products and services.”

Adenuga, who assured the shareholders that the outlook for the company remained very bright, promised that it would consistently pursue initiatives directed at achieving better execution in the areas of marketing and customer service.

“Greater attention would be devoted to cutting operational costs in the different segments of the business, while maintaining and improving on the quality of our products and services,” he said.

Stressing that Conoil was equipped with all the essential materials, intellectual and human resources, to surmount the challenges ahead in the downstream petroleum sector, Adenuga said the company had been positioned to take full advantage of opportunities from the Federal Government’s economic reforms by leveraging the solid base built over the years.

 

[Punch]