By Chinwendu Obienyi
Despite challenges posed by the rapidly changing geopolitical and socio-economic environment, Conoil Plc, recently announced that it would concentrate on the strategies geared towards sustaining its dividend policy for shareholders.
Its Chairman, Conoil Plc, Dr. Mike Adenuga, disclosed this during the company’s 53rd Annual General Meeting which held in Uyo, recently.
Thrilled by the company’s 2022 financial performance, shareholders at the meeting unanimously approved the proposed final dividend payout of N2.50 per share amounting to N1.734 billion, for the 2022 financial year.
Whilst assuring the shareholders of its commitment to sustain strong and robust performance that would enhance returns, Adenuga stated that despite challenges posed by the rapidly changing geopolitical and socio-economic environment, Conoil Plc would concentrate on the strategies that have given it the greatest dividend.
The Federal Government, he said, has started on critical reforms, such as the elimination of the petrol subsidy and reforms in the foreign exchange market and as a result of this reforms, the company will grow its earnings, improve profitability and asset quality and deliver competitive returns to its esteemed shareholders especially in the next financial year.
He added that the company remained motivated in creating excellent value for its shareholders, while also ensuring that its share price remains on the rise.
“We have shown a consistent ability to improve our operating margin and grow our volumes across all our locations. We have a great brand portfolio with energised and talented personnel with a reach pan-Nigerian. Our overriding goal is to ensure the continued delivery of excellent services to our customers and ultimately ensuring that our shareholders are rewarded.
Conoil Plc plans to consolidate on the progress made in the previous years to deliver a strong and sustainable performance that enhances returns to our shareholders. Regardless of the odds, the company is marching forward in the year with confidence and optimism, as it strategically and continuingly positions its business to take advantage of key opportunities”, he said.
According to its financial result filed with the Nigerian Exchange Limited (NGX), Conoil Plc grew its gross earnings by 5.3 per cent to N145.8 billion for the 2022 financial year, from N138.2 billion in the corresponding period of 2021.
The company said that despite the massive developmental challenges in the country and the tough operating environment, its Profit Before Tax grew by 60.1 per cent to N6.13 billion in 2022 from N3.83 billion in 2021, while Profit After Tax increased by 60.1 per cent from N3.08 billion to N4.96 billion in the same period.
With the significant improvement in profitability in the petroleum-marketing subsector, Conoil’s earnings per share rose to N7.14, representing a 60.8 percent increase over the N4.44 earned in 2021. The company also recorded an increase of 22 per cent in net from N53.98 billion to N65.91 billion.