May & Baker shareholders approve N517.57m dividend for 2022

The shareholders of May & Baker Nigeria Plc have approved a total dividend of N517.57 million for the financial year ended Dec. 31, 2022.

Our correspondent reports that the shareholders gave the approval at the company’s 72nd Annual General Meeting (AGM) on Thursday in Lagos.

The dividend subject to the applicable withholding tax translated to 30k for every 50k share.

Speaking at the meeting, the Chairman, Board of Directors, Sen. Daisy Danjuma, said the company turned in a good performance despite the tough and challenging operating environment.

Danjuma said the company revenue rose by 20 per cent to N14.3 billion in 2022 from N11.9 billion in 2021.

She noted that gross profit dropped by 18 per cent from N4.7 billion in 2021 to N3.9 billion in 2022.

Danjuma attributed the drop to higher cost of input materials from Asia, high energy costs and impact of further devaluation of Naira to dollar.

“All these impacted on cost of sales which grew by 45 per cent from N7.2 billion in 2021 to N10.5 billion in 2022,” she said.

On Biovaccines Nigeria Ltd., Danjuma said groundbreaking for the construction of the vaccines factory would happen this year.

“Our joint venture with the Federal Government of Nigeria for local manufacturing of vaccines continues to push forward on its efforts for vaccine production.

“Due to the start of electioneering campaigns and preparations for a change in administration, activities were slowed down and we could not achieve the groundbreaking for the construction of the vaccines factory last year.

“But we hope that it will happen this year after the new administration has settled down and formed its new executive cabinet,” she said.

On future outlook, she told the shareholders that the company was currently investing more in increasing its production capacity for pharma.

Danjuma disclosed that the company was about to complete its new water-bottling factory at Ota in order to revive its water business – Lily Table Water.

“The short to mid-term future is looking very bright and promising and we shall continue to spur management on to lead the company to take its rightful position in our market and region,” she said.

The Chairman commended the staff and management for their dedication and contributions the growth of the company.

Also speaking, the Managing Director/Chief Exevutive Officer, May & Baker Nigeria, Mr Patrick Ajah, assured shareholders of enhanced performance in the years ahead.

Ajah said the company would continue to embrace growth strategies to ensure impressive performance.

A shareholder, Mr Robert Igwe, commended the management for the improved performance recorded during the period under review.

Igwe also applauded the company for persistent payment of dividend in spite of the challenging operating environment.

Mr Boniface Okezie, the National Coordinator, Progressive Shareholders Association of Nigeria, commended the company for developing new products aimed at increasing market share.

Okezie said that the company recorded growth in both turnover and profit, in spite of the challenging operating environment in the business year under review.