Vitafoam Declares N246m Dividend, Issues Bonus
Goddy Egene
Despite the harsh operating environment, a frontline manufacturer of flexible, reconstituted and rigid foam,
Vitafoam Nigeria Plc, a manufacturer of flexible, reconstituted and rigid foam, has proposed a dividend of N246 million, translating into 30 kobo per share,despite the operating environment. In addition to the cash dividend, the shareholders are to receive a bonus share of one for every five shares already held as rewards from the company’s improved performance in 2014.
According to the company’s financial performance, it posted an after tax profit of N659 million in 2014, up from N395 million recorded in the previous year, an increase of 67 per cent. In what symbolizes a robust shareholder value, the company grew its earnings per share (EPS) by 69 per cent from 48 kobo to 81 kobo. These heartwarming news would be endorsed by the company’s shareholders on June 4, 2015 at the annual general meeting when the Chairman, Dr Bamidele Makanjuola would present the score card.
Expectedly, investors are already jostling for the company’s shares on the Nigerian Stock Exchange, thus leading to steady appreciation of the share price. Market watchers were quick to attribute the company’s impressive performance to innovation and internal efficiencies.
The company said as part of the strategy to strengthen its operations off-shore, it had installed modern equipment in its plant in Sierra Leone. The plant serves all the neighbouring countries including Guinea and Gambia. Only recently, its subsidiary, Vitapur Nigeria Limited acquired modern equipment called SAIT Advanced Polyurathane to boost production of quality pallets and reinforce capacity utilisation.
As a corporate citizen, Vitafoam has a long history of Corporate Social Responsibility (CSR).For instance, the company presents gifts items to the first new baby in any Lagos hospital annually. In a similar vein, the company recognizes and rewards outstanding staff and distributors while premium is placed on development of human capital to enable the staff catch up with the dynamics of changes in the manufacturing sector globally.
Vitafoam is on the list of quoted companies that had won the Nigerian Stock Exchange’s Annual President’s Award for exceptional corporate performance severally. The company’s overall performance is anchored on its policy which is determined by a competent and dynamic board and supported by a robust management team.