Despite a difficult operating business environment in the country, FrieslandCampina WAMCO, Nigeria’s dairy leader grew its revenue by 35 percent to N268.4billion in 2021 from N199.5billion recorded in 2020.
The dairy leader and makers of Peak, Three Crowns, Coast, Olympic, and Nunu brands of milk, recorded a net operating profit of N22billion, up 13 percent from 19.4 percent recorded in 2020.
High finance costs due to the naira devaluation led to a decline in the company’s Profit Before Tax (PBT) by 15percent to N12.7 billion in 2021, from N14.9 billion in 2020.
Speaking on the financial statement at its 49th Annual General Meeting in Lagos recently, Ben Langat, managing director FrieslandCampina WAMCO Nigeria PLC and Sub-Sahara Africa Cluster said under the year review, his organisation made excellent progress in strengthening its business strategies.
“We scaled up investments in brands and optimized physical availability. The combination of solid brands, operational excellence, and expanded route-to-market (RTM) distribution strategy sustained our leadership position and delivered significant top-line growth,” he said.
“Likewise, our sustainable Dairy Development received a boost through significant initiatives including collaboration on the Value4Dairy Consortium, investment in a new mobile yoghurt factory to scale up fresh milk processing, and expansion to new states; all modelled towards delivering and accelerating backward integration of the dairy sector in Nigeria.”
Read also: World Milk Day: Three Crowns launched healthy breakfast campaign
The company’s board of directors proposed a total dividend of N5.83 per N0.50 ordinary share.
An interim dividend of N1.10 was paid in 2021, and a final cash dividend of N4.23per N0.50 share was approved by the shareholders at the annual general meeting plus a bonus share to be issued to existing shareholders on a one-for-one basis that is one ordinary share with a nominal value of N0.50 for each share owned.
“Our achievements in 2021 were the result of concerted efforts by various stakeholders, and I would like to express my appreciation to them for their valued contributions,” said Moyo Ajekigbe, OFR, chairman, board of directors
“The board recognises the formidable leadership, resilience, and professionalism of the Management Team, which delivered the strong performance recorded in 2021; and our greatly valued employees at all levels for their hard work, dedication, and continued commitment,” Ajekigbe said.
“Despite the severe headwinds in our business environment, our Company was able to sustainably grow the business across the board.”
