CAP posts N2.57bn profit before tax

CAP posts N2.57bn profit before tax

CAP posts N2.57bn profit before tax

CAP Plc, a subsidiary of UAC of Nigeria Plc and manufacturer of Dulux, has delivered a N2.17bn profit before tax despite the challenging economic and business environment.

It recorded a turnover of N7.06bn, a growth of one per cent and profit before tax of N2.57bn, which represented an increase of five per cent compared to 2014.

The Chairman, CAP Plc, Mr. Larry Ettah, in his address at the firm’s Annual General Meeting in Lagos, said, “On the strength of this performance, the Board of Directors has recommended a final dividend of N840m representing 120 kobo for every 50 kobo ordinary share to shareholders on the Register of Members at the close of business on May 27, 2016 for consideration and approval.

“This is in addition to the interim dividend of 115 kobo per share paid on December 15, 2015. This brings the total dividend for 2015 financial year to N1.645bn, representing 235 kobo per share.”

On the review of the company’s operations, Ettah said that, “To further improve our brand visibility and accessibility to consumers, we opened additional Dulux Colour Centres in Yola and Gombe and Dulux Colour Shops in Lafia, Ada-George Port Harcourt, Ado-Ekiti, Dugbe Ibadan, Agbor, Suleja, Lugbe Abuja and Jalingo.”

He said the company retained its ISO 9001:2008 and 14001:2004 certifications on quality and environmental standards respectively as it continued to offer high quality products and services to customers while complying with regulatory requirements and conducting its operations in a healthy and safe manner, while ensuring minimal impact on the environment.

On the outlook for 2016, the chairman stated that, “Fiscal policy is expected to be largely expansionary as the government seeks to stimulate economic activities and generate employment. The year has, however, started on an adverse mode, with acute shortage of foreign exchange.

“The cumulative effect of the scarcity of forex, falling oil prices, and the resurgence of restiveness in the Niger Delta, which could endanger the oil production output of 2.2 million barrels per day and the continued depletion of foreign reserves pose serious threats to businesses and social activities in 2016.”

“The board and management of your company is alive to these challenges and have outlined mitigating strategies to ensure that these headwinds do not significantly impact our business negatively in 2016.

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