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Julius Berger declares N8.2bn profit, revenue falls by N6bn

By on June 19, 2015

Construction giant Julius Berger Nigeria Plc yesterday declared a profit after tax of N8.2 billion for the 2014 financial year.
The company however, made a turnover of N196.3 billion, about N6 billion less than the N212.7 billion it made in 2013.
The Chairman of the company’s board of directors, Air Vice Marshall Nurudeen Imam (rtd) made the disclosures at the firm’s 45th annual general meeting in Abuja.
He blamed the dip in revenue on several factors, including the Ebola virus outbreak in West Africa and fall in price of crude oil.
“The economy was hit by various factors simultaneously, the unfortunate, but well managed influx of the Ebola virus, the falling crude oil price on international markets and the adjustment of the naira are but a few,” explained Imam.
He added: “Such serious adversely influenced the business climate, as well as financial budgets and subsequent funding nationwide, and result in an overall downward trend which picked up momentum by the third quarter of the year.”
He told shareholders that “the situation led to ongoing delay in payments by major clients, especially in the public sector and therefore negative cash flow issues, causing higher financial costs.”
To remain nsure financially afloat, disclosed the chairman, “the management made tremendous efforts to reduce outstanding payments and to strengthen cash flow. ” This, he said, included “swift measures…and immediate action…to adjust operations to meet the actualities of the complex business environment.”
The efforts, noted Imam, helped the company maintain a fairly stable turnover enabling it to pay a dividend of N2.70 per ordinary share, and increase gross dividend pay-out of N3.56 billion.
He listed the opening of new head office for  Prime-Tech Design and Engineering Nigeria Ltd, which houses the group’s design and engineering resources in Nigeria, through Leading Energy and Environmental Design (LEED) requirements as proof of the “company’s innovative capacities.

 

[ThisDay]