Dangote Sugar boosts revenue by 68%
Dangote Sugar Plc commitment to reward shareholders in the face of challenging environment has been demonstrated by the company’s 2016 audited financial statement which recorded growth in key indices.
The company went step further to make dividend proposal N0.60 to shareholders of the company whose names appear in its register by the date of its closure. The dividend proposal of N0.60 came ahead of N0.50 paid by the company for 2015 financial year. Dangote sugar earning per share (EPS) grew to N1.20 from N0.93 in 2015, the result revealed.
Meanwhile, according to the company’s audited financial statement released by the Nigerian Stock Exchange (NSE) last Friday, the Group’s revenue increased by 68 per cent to N169.72 billion, while in 2015 revenue of the group was N101.06 billion.
Gross profit increased by 12 per cent to N22.98billion, reflecting 14 per cent growth from N20.47billion posted in 2015 financial year.
The result further showed that earnings before interest, taxation, Depreciation and Amortization (EBITDA) rose by 12 per cent to N22.18 billion, indicating EBITDA margin 13.08 per cent, from N19.73bn posted in 2015.
Profit before tax increased 21 per cent to N19.61 billion, against N16.16bn recorded in 2015, while Profit after tax (PAT) rose to N14.4 billion from N11.14bn in 2015, reflecting over 20 per cent rise.
The company’s operational highlights showed that seasonal sugar production at savannah stood at 17,122 tonnes, ahead of 2015 when production was: 6,610 tonnes, reflecting about 195 percent increase.
Full year 2016 refinery production at Apapa Lagos was 791,800 tonnes, from 740,350 tonnes recorded in 2015, while group sugar sales volume 778,518 tonnes, from 782,000 tonnes in 2015.
Dangote Sugar is Nigeria’s largest producer of household and commercial sugar with 1.44 million tonnes of refining capacity, with the ability to supply most of the country through an extensive network of distributors.
Abdullahi Sule, Acting Group Managing Director, expressed the company’s board satisfaction with the results for the period under review, reflecting that revenue growth of 68% and improve sales volume was remarkable, compared to 2015, irrespective of the current macro-economic challenges.
He said that Dangote would continue to leveraging its strengths to maximize every opportunity to generate sales, increase market share and create sustainable value for stakeholders.‛
“Concerted efforts are being made towards the actualization of our BIPs plan. The implementation strategy has changed and the full focus is now on the expansion of the Savannah Sugar Estate to its full potentials, and development of the new site at Tunga in Nasarawa State” Sule revealed.
Dangote Sugar Refinery, an associate company of Dangote Industries, was carved out of Dangote Industries in 2006 and was listed on the Nigerian Stock Exchange in March 2007.
