Chemical and Allied Products Plc has said it will concentrate on strategic investments in the coming years to further grow its business.
The company also said it would focus on initiatives such as cost reduction and business expansion to ensure that its business records increased profitability in the next financial year.
The Chairman, CAP, Mr. Larry Ettah, said this at the company’s 48th Annual General Meeting in Lagos on Monday.
According to him, the company will build on the successes achieved by its brands in the last few years, and ensure that its products are increasingly available to more customers.
He said, “We will focus on and invest in plant efficiency to improve customer service delivery and reduce operational costs. We will also leverage innovation, with the support of our technical partners, to grow and reinforce the equity of our brands.
“Our distribution channels will be geared towards reaching the under-served retail end by opening more Dulux Colour Shops to make our brand more accessible to the aspiring consumers across the country.”
He added that the company posted improved results in the 2012 financial year, announcing a 21 per cent growth in turnover from N4.31bn in 2011 to N5.23bn in the year under consideration, while its profit after tax rose to N1.12bn, up from N1.04bn the previous year.
Ettah noted that in view of the remarkable performance of the company, the board recommended a final dividend of N392m, representing 70 kobo for every 50 kobo ordinary share to the shareholders.
This, he added, was in addition to the interim dividend of 125 kobo per share paid to shareholders on November 12, 2012. This brings the total dividend for 2012 financial year to N1.092bn, representing N1.95 per share.
He also announced that the board recommended a bonus issue of one ordinary share of 50k for every four ordinary shares of 50k each to every shareholder on the register of members as at the close of business on May 24, 2013.
Shareholders at the meeting commended the company on the dividend payout, as well as the bonus issue, adding that the board should do all it could to sustain the performance in the coming years.
Speaking on the achievements of the company in the year under consideration, Ettah said, “We enhanced the reach of our distribution channel by opening four additional Dulux Colour centres in Surulere, Gbagada, Uyo and Abuja.
“Eight additional Dulux Colour Shops were also opened in Ikorodu, Mowe, Abuja, Benin, Owerri, Calabar, Ijebu Ode and Awka, and we activated the AkzoNobel ‘Let’s Colour’ global campaign in Nigeria on our corporate social responsibility platform.”