Tuesday, May 18, 2021

Lafarge announces N13 billion dividend for shareholders

Must read

Bola Macaulayhttps://naija247news.com
Bola Macaulay is a freelance journalist based in Ibadan Oyo State. She is a graduate of Univesity of Ibadan and she's married with kids

For the full year ended December 2017, Lafarge Africa Plc declared a dividend of N1.50 per share totaling N13 billion. This represents a 43 per cent increase growth relative to the dividend paid in 2016.

Bruno Bayet, Chief Financial Officer Lafarge Africa Plc, disclosed that the dividend will be paid from the 2012/2013 pioneer profit reserve

In addition, the company’s recurring Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) doubled to N57.6 billion. The CEO of Lafarge Africa Plc, Michel Puchercos, attributed the strong margins in the Nigerian business to cost initiatives and more favourable pricing.

Mr Puchercos stated that Lafarge Africa Plc’s industrial operations in 2017 were stable with plants operating at high reliability levels. He also noted that the energy optimisation plan for the company has been successful with increased use of alternative fuel and coal to offset gas shortages in operations in the west while plant operations in the eastern and northern part of the country relied mainly on gas and coal. He said these logistic, commercial and operational initiatives helped to sustain market share in the year under review.

The expected recovery in the macroeconomic environment in Nigeria is likely to have a positive impact in the overall cement market in Nigeria. Our business turnaround actions will be consolidated further in 2018 through energy optimisation as well as commercial and logistic improvement.

“In 2018 we shall implement a continuous improvement programme that will see us building on EBITDA margins above the 35 per cent benchmark,” says Lafarge Africa CEO Michel Puchercos. The capital expenditure expectation for Nigeria will be mainly devoted to Energy and Production Optimisation.

For South Africa the economy is expected to grow by 3 per cent in 2018. The turnaround plan of the South African operations is focused on cost containment, commercial transformation and industrial stabilsation. The overall goal is to create value for shareholders through an attractive growth profile and good margins.

Lafarge Africa successfully raised N131 billion by way of Rights Issue, the largest Rights Issue by size raised in Nigeria so far. Minority participation was in the 50s, while LafargeHolcim subscribed to the un-allotted portion. This brings the ownership of Lafarge Holcim to 76.32 per cent from 71.35 per cent prior to the Rights Issue.

- Advertisement -spot_img

More articles

- Advertisement -spot_img

Latest article

WP to LinkedIn Auto Publish Powered By : XYZScripts.com