Dangote Sugar Refinery Increases Dividend Payout by 192% to N21bn

Dangote Sugar Refinery Increases Dividend Payout by 192% to N21bn

Dangote Sugar Refinery Increases Dividend Payout by 192% to N21bn

In line with its resolve to reward shareholders with improved returns, Dangote Sugar Refinery(DSR) Plc has increased dividend paid for the 2017 by 192 per cent to N21 billion from N7.2 billion in 2016. The dividend is 175 kobo per share, up from 60 kobo per share in 2016 and would be paid from today.

Speaking at the annual general meeting (AGM) held in Lagos yesterday, Chairman of DSR, Alhaji Aliko Dangote said the company recorded an impressive performance despite the challenging environment.

According to him, revenue rose by 20.4 per cent from N169.72 billion to N204.42 billion in 2017. Profit before tax jumped by 173.3 per cent to N53.6 billion, from N19.61 billion, while profit after tax grew fast by 176 per cent to N39.78 billion as against N14.4 billion in 2016.

“The board has recommended to shareholders for approval, at this meeting, the payment of a final dividend of N15 billion, being 125 kobo for the year ended December 31,2017. The board had earlier approved the payment of an interim dividend of N6 billion, being 50 kobo per share. This brings the total dividends for the year under review to N21 billion,” he said.

Dangote disclosed that the company had invested N121 billion on equipment, land acquisition, compensation to land owners, consultancy and related services in its backward integration

He said despite the major setbacks like flood, community relations issues and most recently clashes between host community and Fulani herdsmen that hampered progress, Savannah Sugar remained the only company producing sugar from own grown sugarcane in the country with over N30 billion spent to date.

“Negotiations with the government and local communities in Kwara and Niger on land acquisition processes are ongoing, in line with the backward integration sites plan. Project activities will resume in Taraba State when the rain assuages,” he said.

In his comments, the Acting Managing Director/CEO of Dangote Sugar Refinery Plc, Abdullahi Sule said the company would continue to pursue its target to achieve 1.08 metric tonnes of refined sugar annually in six years and eventually 1.5 million metric tonnes in 10 years.

“Though the business terrain remains very challenging, we remain resilient in the face of the situation and are focused on increasing our market share and customer base as well as the creation of sustainable value for our stakeholders. Our priority in the current year is the achievement of our Sugar for Nigeria Project goals and sustenance of our leadership position by improving efficiency and growing our markets,” the Sule said.

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