Vitafoam Nigeria Plc has announced a 30.02 per cent increase in profit before tax to N7.34billion in its audited full year result and accounts for period ended September 30, 2021 as against N5.65billion reported in the prior full year ended September 30, 2020.
The household company on the Nigerian Exchange Limited (NGX)
profit after tax for 2021 financial year also grew by 12 per cent to N4.59
billion in 2021 from N4.11billion reported in 2020.
The increase in profits was driven by 51.02 per cent growth
in revenue to N35.40billion in 2021 from N23.44billion reported in 2020 and
finance income that gained 139 per cent to N254.86million in 2021 from
N106.51million in 2020.
Sales of goods (foams and other products) in Nigeria thrust
revenue, while Interest on time deposit impacted on finance income in the
financial year under review.
In an audited financial statement sent to NGX, the company
posted strong earnings in all its performance indicators, despite the tough
operating environment in Nigeria.
With scarcity in foreign exchange and hike in inflation
rate, the group reported 74.8 per cent increase in cost of sales to
N21.73billion in 2021 as against N12.43billion reported in 2020.
Shareholders of a leading manufacturer of rigid foams and
other household materials, are expected to approve a robust dividend of N1.88
billion for the company’s performance in the year ended, September 30, 2020, an
increase of 114 per cent over N87.59million paid in 2019.
The huge amount, which translates into N1.50 per Ordinary Share
has been proposed by the company’s Board to be laid before the shareholders for
endorsement during the company’s Annual General Meeting (AGM), scheduled for
Thursday, March 3, 2022 and it is expected to be paid paid electronically on
Friday, March 4, 2022.
“Vitafoam has consistently demonstrated resilience despite
the challenges militating against the manufacturing sector in Nigeria. The
company’s current performance is a great improvement over the historical one.”,
said the Managing Director, Network Capital, Mr Oluropo Dada.
The Group Managing Director, Vitafoam Nigeria, Mr. Taiwo
Adeniyi, has always attributed its consistent strong performance to innovative
Board and Management, continuous introduction of multiple products beyond foams
and huge investment in Research and Development among others.
The company’s statement to NGX says the business is driven
by collective commitment to a culture of integrity, accountability, and
transparency.
“We conduct our operations in accordance with good moral and
ethical standards while obeying relevant legislations.
“Our goal is to remain a responsible and responsive
corporate organization committed to ensuring healthy and comfortable living
while contributing positively to the overall growth of the country.” , according
to the statement.