Neimeth International Pharmaceuticals Plc is set to declare its first dividend in 10 years following the 20 percent growth in revenue recorded in its financial year ended September 30, 2020.
The audited report and accounts of Neimeth International Pharmaceuticals for the year ended September 30, 2020 showed that revenue rose by 20 per cent to N2.84 billion in 2020 as against N2.37 billion recorded in the comparable period of 2019. Gross profit rose by 26.9 per cent to N1.51 billion in 2020 from N1.19 billion in 2019.
Despite the tough operating environment due to the COVID-19 pandemic and industry-specific challenges, the company sustained considerable bottom-line with profit before tax of N297.39 million compared to prior year figure of N304.44 million. Profit after tax stood at N212.48 million, implying earnings per share of 11 kobo per share.
The balance sheet of the company also emerged stronger with total assets rising by 134.2 per cent to N6.44 billion in 2020 from N2.75 billion in 2019 in the previous accounting year.
Shareholders’ funds grew by 18.7 per cent from N1.07 billion in 2019 to N1.27 billion in 2020.
Consequently, the company’s Board of Directors recommended dividend payment of 6.5 kobo on every 50 kobo share for the 2020 business year, signaling the return of the healthcare company to annual dividend payment.
Managing Director, Neimeth International Pharmaceuticals Plc, Pharm. Matthew Azoji, said the growth in sales underscored the increasing market penetration and acceptance of the company’s brands by customers.
He said the 2020 performance showed continuing success of the company’s medium-term strategic growth plan as it strives to open additional markets while consolidating its major domestic market.