As part of its commitment to shareholder value, Vitafoam Nigeria Plc, a leading manufacturer of reconstituted foams and high-quality household products, has proposed a dividend of N1.05 per share, totalling N1.375 billion, for approval by shareholders at its 63rd Annual General Meeting (AGM) on March 6, 2025, in Lagos.
The Group’s Net Asset, a key performance indicator of corporate growth, has risen to N25 billion in 2024 from N17 billion the previous year, a 47% increase.
According to a statement filed with the Nigerian Exchange Limited (NGX) for the fiscal year ending September 30, 2024, gross profit increased by 76.5 percent to N30 billion in 2024 from N17 billion. Earnings Before Tax, Interest, Depreciation, and Armotization (EBTIDA) increased from N7.9 billion in 2023 to N8.3 billion in 2024.
However, due to a foreign currency loss of N12.7 billion during the review period, profit before tax decreased from N6.0 billion to N1.145 billion. Although the Operating Profit increased from N6.9 billion to N7.6 billion, it was offset by a massive finance cost of N7.1 billion, which reduced the Profit Before Taxation to N1.1 billion from N6 billion last year.
Taiwo Adeniyi, Group Managing Director, emphasised the Company’s resilience and dedication to shareholder value, saying: “Our remarkable performance was reduced by the expense spent in FX.
However, the federal government’s FX liberalisation strategy has eliminated the worst of the obstacles. As good corporate citizens, we chose to compensate our shareholders with a dividend of N1.05 per share, despite the loss.
“Our diverse product portfolio will drive future growth, while strategic investments supported by research will improve our competitiveness,” says Taiwo Adeniyi, Group Managing Director and CEO. According to the statement, Vitafoam is known as an authentically Nigerian company, with sales spread across multiple continents.
The company’s six subsidiaries, Vitafoam Serria Leone Ltd, Vitapur Nigeria Ltd, Vitablom Nigeria Ltd, Vitavisco Nigeria Ltd, Vono Furniture Products Ltd., and Vitaparts Nigeria Ltd., are well-positioned to provide high-quality services and products.
