Fidson shareholders endorse N312.95m dividend for 2018

Shareholders of Fidson Healthcare Plc have unanimously endorsed the N312.95m dividend proposed by the board of directors of the company for the financial year ended Dec. 31, 2018.

Speaking at the 20th Annual General Meeting (AGM) of the company held in Lagos, Chairman, Fidson Healthcare, Mr Segun Adebanji, said the board of directors proposed a dividend of 15 kobo per share, which translated to N312.95million.

Adebanji disclosed that the company recorded an increased turnover of 15 per cent from N 14. 06billion in 2017 to N 16.23billion in 2018.

He however, noted that its profit after tax dropped to N160.9million in 2018 from N1.6billion in 2017, due to the increased cost of sale.

The chairman stated that having concluded its rights issue in June 2019, the company has already taken steps to improve its financial structure as the capital raise is towards refinancing expensive debt and working capital funding in a bid to improve its margins.

He said, “The Company continues to leverage on its World Health Organisation – certifiable factory, having recently executed a partnership with GlaxoSmithKline that will see it manufacture for its West African operations going forward.

“This, alongside market penetration strategy and cost optimization are a few of many initiatives to sustain growth and return value to shareholders that the company is currently pursuing.”

According to him, Fidson continues to strengthen its operating facilities with expansion and retooling.

“Old machines and equipment has been disused and replaced with modern ones. We are currently expanding our capacity utilization through increased production and contract manufacturing for other notable companies in the industry’’, he noted.