Shareholders of NASCON Allied Industries Plc, a subsidiary of Dangote Industries Limited have expressed satisfaction at the performance of the company but tasked the food seasoning company to expand its market share so as to increase revenue.
Speaking at the NASCON’s 2019 annual general meeting (AGM) in Lagos on Monday, the shareholders commended the company’s prompt payment of dividends just as the management assured that the performance for the first half of this year holds assurance for a bumper harvest at the end of the year despite the coronavirus pandemic.
A shareholder, Bisi Bakare speaking on behalf of others who attended virtually, stated that the company was known for taking good care of shareholders through consistent payment of dividends. He observed that despite the harsh operating environment, the company still paid a dividend of 40 kobo per share, translating to a 57 percent dividend pay out ratio.
She expressed satisfaction that NASCON board and management grew revenue from N25.77 billion to N27.49 billion in the year under review.
Adding his voice to the commendation, Sunny Nwosu, lauded the board and management of NASCON for their ability to pay dividends despite the harsh operating environment which resulted from the Apapa Wharf gridlock and the downturn in national economy.
He observed that while other companies were cutting down on production, NASCON was paying dividend.
He urged the company to more market share in the food sector especially in the Southeast and Southwest regions through carefully selected strategies. He said that if the company was able to increase its market share in these regions, its revenue would increase and the company would expand and offer more opportunities.
“The management should expand our customer base to attract more revenue. Develop strategies to penetrate the Southeast and Southwest markets. The plants are close to these markets,” he said.
Managing director, NASCON, Paul Farrer said the company has developed plans and strategies to capture share in the stated markets and would gradually deploy them in the coming months.
Farrer explained that NASCON has proved resilient in the challenging environment of 2019 and was strongly focused on capacity growth and increased market penetration. He further disclosed that the company would be leveraging on a number of synergies, including improved output in terms of quality, quantity and business efficiency to deliver value for all stakeholders.
A peep into NASCON’s annual report for 2019 indicated that operating profit stood at N2.9 billion, net profit at N1.85 billion, total assets at N38.67 billion.
