Flour Mills assures shareholders of improved returns
Shareholders of Flour Mills of Nigeria Plc have been assured that the company is well positioned to steadily increase their returns on investment.
This assurance was given to shareholders at the company’s 61st annual general meeting (AGM) held in Lagos on Wednesday.
At the annual general meeting which was also streamed live online, the company’s audited financial statements for the year ended March 31, 2021, and the reports of the directors, auditors and audit committee thereon were presented to shareholders.
Speaking to shareholders at the meeting, John Coumantaros, chairman, Flour Mills of Nigeria Plc said”: Despite the current Covid-19 environment, the Group displayed excellent performance and resilience by delivering impressive year-over-year, top-line growth”.
“As the world gradually transitions from the Covid-19 pandemic to a more stable business climate, especially as lockdown and other social distancing measures fade and countries ramp up immunisation rates against the virus, our company will continue to act with disciplined and focused investment to deliver superior, long term growth so that we can emerge stronger”, Coumantaros added.
He further said that Flour Mills of Nigeria Plc will continue to implement “our overarching long term strategy on local content and value additions as our group stays guided by its purpose of Feeding the Nation Everyday.”
“Flour Mills is building on a solid foundation to deliver sustainable growth. As a business we have consistently prioritised operational and capital efficiency by increasing local content in our group-wide supply chains and supporting backward integration programmes through our five key value chains”, Boye Olusanya, GMD of Flour Mills of Nigeria Plc told shareholders at the meeting.
While responding further on the effort by the Group to build local content, he said: “We are focused on an effort to improve our local content in food business by 10percent a year”.
The Group delivered impressive full year (FY) top-line growth across all business segments with an average revenue growth of 34percent, led by growth in Agro-allied combined with investments in route-to-market and accelerated expansion in the B2C segments.
Profit After Tax reached N25.7 billion, up from N11.4 billion in 2019/2020 (127percent YoY Growth). Flour Mills leadership is consistently focused on strong discipline in operational and capital efficiency by increasing local content in group-wide supply chains and supporting backward integration programs across all value chains.
Based on the performance, the board proposed and got shareholders approval to pay a dividend of 165 kobo per share up from 140 kobo per share last year, underlining its consistency as one of the most reliable companies when it comes to dividend payment. The total dividend payout amounted to N6.76billion, representing an increase of about 18percent compared to N5.74billion paid the preceding year.