Vitafoam posts N4.4bn profit, dividend up 114%

Shareholders of a leading manufacturer of rigid foams and other household materials, Vitafoam Nigeria PLC are expected to approve a robust dividend of N1.876billion for the company’s performance in the year ended September 30, 2020, an increase of 114 percent over N875.59million 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, at Raddison Blue Hotel, Ikeja, Lagos. The dividend shall be paid electronically on Friday, March 4, 2022.

In an audited financial statement sent to NGX yesterday, the company posted strong earnings in all its performance indicators, despite the tough operating environment in Nigeria.

Vitafoam posted a turnover of N32billion in 2020, an increase of 49percent above N21.820billion in the corresponding period.

Profit Before Income Tax stood at N6.779billion as against N4.963billion, an increase of 37percent, while the profit for the year amounted to N4.384billion compared to N3.456billion representing 27percent increase.

Read also: Pz Cussons triples half-year profit

“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, Oluropo Dada.

The Group Managing Director, Taiwo Adeniyi, has always attributed its consistently 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 a 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.