Yemisi Izuora
The Chairman of Nipco plc, Chief Bestman Anekwe has assured shareholders that the company would continue to provide improved returns on their investment in form of dividends and capital appreciation.
Chief Anekwe who gave the assurance while addressing
shareholders at the company’s Annual General Meeting [AGM] in Abuja, said the optimism is predicated on the proactive measures being put in place to ensure that its brand continue to elicit tremendous clientele in the industry .
He noted that although during the last AGM, Nipco announced
a turnover of N145billion and a profit after tax of N2.3billion,with the prevailing difficult environment in the sector in 2015 turnover dipped
to N115billion and profit after tax to N1.4billion .
The Chairman noted that though result shows a decline ,it is rather commendable considering the plethora of challenges the company went through in 2015 .
The Board proposed a total dividend payout of N563million
translating into 300kobo per share which was unanimously accepted by shareholders as a sign of steady growth in the finances of the company even in the face of the daunting challenges in the industry
He listed some of the harsh operating environment the company went through to include late payment of subsidy claims paucity of forex to finance product importation thus making it difficult to open fresh letters of credit etc.
These challenges, he noted contributed immensely to the
scarcity witnessed by motorist in the last quarter of 2015 which almost marred the yuletide celebrations across the country.
The Chairman however commended the giant stride of officials of the Department of Petroleum resources [DPR] for its concerted to protect the public from marketers who engaged in hoarding or selling
products above the government regulated prices with erring stations having their sealed off and products dispensed free to motorist
Chief Anekwe told the investors that management will not rest on its oars and is even more resolved to brace all odds in achieving superior shareholder value in the industry in line with the Board’s long standing policy of exceeding their expectations.
Outlining the company’s focus in 2016, he said it will continue to build an integrated enterprise that will fill into the energy reforms of government while delivering value to its growing stakeholders.
According to him ,Nipco’s retail outlets will not only remain wet but also maintains its knack for service delivery for both regulated products and deregulated ones irrespective of the prevailing difficulties in the industry.
Chief Anekwe remained upbeat on the growing successes the
company is witnessing in its JV with Nigerian Gas Company [NGC] through Green Gas Ltd in the realm of using compressed natural gas to power plants stressing ” the surge is gathering momentum even as all efforts is geared to ensure that natural gas becomes the preferred fuel for vehicles in Nigeria ” .
Outlining the company distribution network to deepen Liquefied Natural gas (LPG) usage, he said the distribution network of Nipco
was enhanced in 2015 as it strengthened its nationwide campaign to see that the populace fully embrace the use of gas for domestic cooking fuel .
Chief Anekwe outlines the scores of avenues facilitated by
the company to grow LPG use to include distribution of gas accessories free to several communities across the federation and its popularization via sponsored seminars and exhibitions.