The Board of Directors, Flour Mills Nigerian Plc, has approved a dividend of N1.20 kobo per share for its shareholders for the financial year ended March 31, 2019.
The proposed dividend, which is an increase of 20k compared to the previous year, is subject to shareholders’ approval at the company’s annual general meeting.
The company’s pre-tax profit stood at N10.174 billion from N16.541 billion recorded in 2018, while revenue declined marginally by 2.8 per cent.
The company noted that in spite of the prevailing economic headwinds and harsh operating environment, which is further heightened by logistics challenges in Apapa, FMN has continued to make remarkable progress with the group’s strategic directive to focus on market expansion while realigning its food and agro-allied businesses for sustainable growth and profitability.
“In 2018, we undertook a series of strategic actions designed to improve returns and deliver maximum gains for our investors. Top of such actions was the restructuring process that saw all FMN Group businesses in the agriculture sector aligned under Golden Fertilizer company, a fully owned holding company.
“The decision has already started to yield appreciable improvements within the group, in the areas of cost maximization and improved operational efficiency as the businesses make the most of their competitive advantage and synergies. This is further supported by the strong cost control measures that have been put in place by management within the year under review,
“In the agriculture space, FMN has continued to consolidate on its investments, with a strong focus on innovative and efficient use of resources. Accordingly, the Group is resizing and simplifying the operations of some of the farms which form an integral part of our backward integration strategy with a few of the smaller experimental farms being scaled-down, whereas we continue to focus on the key units.”