Don't Miss


Home   >   Business   >   Industries   >   GSK shareholders get dividend, bonus shares

GSK shareholders get dividend, bonus shares

By on June 17, 2015

GlaxoSmithKline Consumer Nigeria  Plc has rewarded its shareholders with cash dividend of N717.5 million and bonus issue of one new share for every four shares for the year ended December 31, 2014.

The dividend and bonus issue were approved by the shareholders at the company annual general meeting in Lagos last week in Lagos.

The company recorded a turnover of N30.52 billion showing an increase of five per cent over what was recorded in 2013.

Profit before tax  and after tax fell by 36 per cent and 37 per cent to  N2.75 billion and N1.85 billion respectively. However,  total  assets grew from N26.2 billion to N27.96 billion.

Speaking at AGM, Chairman of the company, Mr. Edmund Onuzo said although the year 2014 was quite challenging, the company remained to ensuring that its shareholders get the best returns on their investments.

“While operating expenses were well managed, the company recorded an exchange loss of N893 million as a result of the Naira devaluation by Central Bank of Nigeria(CBN) in the last quarter of 2014.  Furthermore, an increase in cost of goods sold of N1.234 billion as a result of the sale of brands by the GSK group to Lucozade Ribena Suntory (LRS), added to the decline in profit, Onuzo noted.

According to him,  despite the decline in profitability, the Board recommended a dividend of N717.5 million,  which translated into 75 kobo per share.

He said the company will continue to deploy appropriate marketing strategies and retool its route to market model to focus more on the different categories of its diverse businesses.

The shareholders approved the  dividend and bonus and commended the board and management for the results. For instance,  the Chairman, Ibadan Zone Shareholders Association  of Nigeria, Chief Sola Abodunrin, said “We very happy that GSK is giving us bonus this year after a long time.  We are also happy that they are giving us a dividend of 75 kobo per share despite the difficult circumstances, devaluation of the naira and reduced profit. GSK is a good company with good products and we really want them to tap into these potentials to further grow the company. We agree that GSK performance has impacted positively on the socio-economic status of Nigeria and we want that to continue.”

 

[ThisDay]