NIPCO Promises Shareholders Improved Returns on Investments

Goddy Egene

NIPCO Plc has reaffirmed its commitment to delivering good returns to its shareholders through consistent dividend payment following improved performance of the company for the year ended December 31, 2017.

Chairman of NIPCO, Chief Bestman Anekwe, who disclosed this at the company’s 14th annual general meeting (AGM) held in Abuja reiterated the steadfastness of the board to continuously motivate the management for better performance.

According to the him, in spite of the challenging operating environment, the board has resolved to maintain the same level of dividend as in the previous year.

The company recorded a turnover for 2017 stood at N205 billion, showing an increase of 35 per cent from N170 billion in 2016. Profit after tax rose from N1.8 billion in 2016 to N2.1billion in 2017.

Based on the results, the board recommended a dividend of 300 kobo amounting to total dividend payout of N563 million which was unanimously approved by the shareholders.

Chief Anekwe noted that the company’s footprint in the industry is getting stronger and deeper with the acquisition of ExxonMobil’s 60 per cent equity in Mobil Oil Nigeria Plc through its subsidiary, NIPCO Investments Limited.

Also speaking, Managing Director of NIPCO Plc, Mr. Sanjay Teotia said the future is bright for the company despite the challenges in the downstream sector, stressing that management would continue to place emphasis on transforming the firm’s systems and processes to deliver meaningful value to stakeholders.

“We are not oblivious of the fact that to achieve the foregoing, we must improve on our core competencies and exploit business ventures and opportunities,” he said.

Teotia stated that management would remain focused on pursuing major targets inclusive of growing NIPCO’s market share in petroleum products marketing as well as increasing the visibility of its retail outlets across the country.

He expressed the company’s resolve to continue to align with government in providing access to LPG as cooking fuel at affordable rates stressing that the technical inauguration of the largest sphere in Africa by the company in 2017 is a pointer to the organisation’s resolve to deepen domestic gas utilization.

“Our gas stations remains first choice outlets as consumers are assured of clean energy for cooking at the right quality ,quantity at very competitive rates,” the MD said.

The said the company is upbeat of improved performance taking into consideration its highly motivated and skilled employees as well as excellent customer service delivery across its business lines.