Shareholders of Conoil Plc have applauded the company’s strong financial performance despite the difficult operating environment in the country.
Speaking at the company’s annual general meeting held at the weekend in Uyo, Akwa Ibom State, the shareholders expressed their delight that the foremost fuel marketing company was able to declare such a huge dividend in spite of the difficult economic challenges in the country.
The final dividend payout ratified at the meeting translates to N3.00 on every 50 kobo ordinary share for the 2015 financial year, compared to N1.00 paid the previous year.
Sir Sunny Nwosu, a notable shareholder and founder of a shareholders’ advocacy group, Independent Shareholders Association of Nigeria (ISAN) expressed his appreciation to the board and management of the company for growing profit and increasing dividend payment at a time like this.
“This dividend reinforces the resilience of the company amidst the tough operating environment in the downstream sector of the petroleum industry characterized by scarce foreign exchange. It also speaks volume of the quality of the company’s management and its entire workforce,” Nwosu noted.
Also speaking at the event, Mrs. Bisi Adedigba of Lagos Zone Shareholders Association commended Conoil for the resounding performance adding that its efficient management of resources has made the company the toast of investors.
“We commend this impressive performance. It, indeed, calls for celebrations particularly at this austere times and I would recommend other companies to take a cue from Conoil’s laudable example”, Bakare said.
Another shareholder, Ambassador Olufemi Timothy, President, Renaisssance Shareholders’ Association, said he was pleasantly surprised at the company’s performance in the midst of tight liquidity, rising cost of funds and the general tough operating environment in the downstream oil sector.
“It is very heartening that Conoil has not only braved the odds, it has remained committed to maximising shareholders’ value and delivered superior returns,” Ambassador Timothy noted.
In his own comment, Chief Timothy Adesiyan, President Nigerian Shareholders Solidarity Association, said Conoil, by its performance and dividend policy, has further earned the loyalty of its teeming shareholders. “They have shown that they are not only concerned about making profit but that they have the interest of shareholders at heart,” he said.
Conoil recorded an increase in profit after tax from N834million in 2014, to N2.3billion in 2015. Its profit before tax also increased by 125 per cent; from N1.5billion to N3.4billion. Its earnings per share rose by 177 per cent; from 120kobo in 2014, to 333 kobo in 2015.
In his end of year address to the shareholders, the Chairman of the company, Dr. Mike Adenuga Jr. (GCON) assured that Conoil would further consolidate on the gains recorded so far, and ensure better returns in the coming years.
Adenuga noted that while the operating environment was unfriendly, tough and rough, the company focussed on its strategies and strengths and the effort made it possible to record these positive results on all fronts.
“Our encouraging performance in the midst of adversities has further confirmed our determination to deliver strong results at all times to the satisfaction of our shareholders and other stakeholders,” said Adenuga.
“We have resolved to be one of the industry’s fastest growing companies and we will work harder to maintain and improve the momentum, focusing more on delivering better returns and maximizing growth opportunities,” the Chairman added.