The Nation Newspaper

Author: The Nation

  • Sanwo-Olu, others grace Your Excellency premiere

    By Sampson Unamka

    Dignitaries, including Lagos State Governor Babajide Sanwo-Olu; Minister of Information Lai Mohammed; Nollywood celebrities; and others, last Sunday, dazzled at the premiere of Ebonylife Films’ sizzling new political comedy, Your Excellency.

    The premiere held at the new state-of-art entertainment complex, EbonyLife Place, on Victoria Island, Lagos.

    Written by Yinka Ogun, with Isioma Osaje, and produced by James Amuta, the movie will be in cinemas nationwide from December 13.

    Directed by award-winning actress and content producer Funke Akindele, Your Excellency tells the story of Chief Olalekan Ajadi (Akin Lewis), a bumbling billionaire businessman and failed presidential candidate obsessed with Donald Trump, with his aesthetic dance moves and gaffes.

    Just when his campaign looks set to be another disaster, Ajadi is appointed by a major party and becomes a credible contender through the power of social media. It appeared that Ajadi, a perpetual loser, written off by everyone, can pose a serious challenge for the presidency.

    The movie shows how politics and the high influence of social media shape the society.

    The cast includes Funke Akindele, Lala Akindoju, Shaffy Bello, Kunle Coker, Eku Edewor, Alex Ekubo, Oreka Godis, Osas Ighodaro, Mike Iheuwa, Seyi Law, Akin Lewis, Bimbo Manuel, Deyemi Okanlawon, Ini Dima-Okojie, Chioma ‘Chigul’ Omeruah, Emmanuel OMG, Ikechukwu Onunaku, Helen Paul,Toni Tones and Rapper Falz, in a cameo appearance.

    Read Also: Diane, Iyanya set for new movie

     

    After viewing the movie at the newly built EbonyLife cinema, which was also launched by Chief Executive Officer Mo Abudu, Governor Sanwo-Olu commended the team.

    He said: “It was fun, it speaks real fact on some of the current issues we have, it was well put together, well scripted and I will recommend everyone to go out there and watch it.

    Not only to support our own, not only to support our industry, but it is a good cause and time, especially in this festive season. We would certainly be supporting them.”

    Lai Mohammed applauded the production crew, saying: “Well, you see acting imitates life, and all the film says is that these things will happen, of course it was exaggerated but then these are things that could happen.”

    Reviewing the movie, politician Jimi Agbaje said: “It was definitely a lovely time I had, I think the only missing part which I think for us is that it didn’t have the rough side, it didn’t have the violence, not having the rigging, ballot box and the actions.

    I think the message in the film is that the people’s vote counted, they voted for Ajadi and got their candidate, and for me it is good. We all hope for that in Nigeria, that is what we are praying for and we should work towards it”, said Agbaje.

    Some other celebrities at the event were JJC Skillz, Ramsey Nouah, Ebuka Obi-Uchendu, Rita Dominic, Mai Atafo, Sen. Florence Ita Giwa, Toyin Abraham, Ufuoma McDermott, Omoni Oboli, Osas Ighodaro, Omotola Jalade Ekeinde.

    Others are Ini Dima Okojie, Toke Makinwa Michelle Dede,  Layole Oyatogun, Omowunmi Dada, Denola Grey, Omoni Oboli, Marcy Dolapo, Omawumi, Chioma Akpotha, Wale Ojo and Uzo Osimkpa.

  • Undergraduate entrepreneurs making waves in fashion industry

    As the economy ’s cutthroat job market makes it harder  for people to get jobs, youths are exploring opportunities in the  fashion industry to carve a  career, ANYA FLORENCE reports.

     

    In  a country  where  employment  is not  guaranteed  after  graduation  and  the  economy  has  gone down   drastically, one has no choice but to start up a business  no matter  how  small.

    However,  it seems  that  sewing,  which  was looked down  upon in years past,  has become the beautiful  bride.

    People  are venturing into it in their  quest  to find  solution to their  financial  problems.

    Miss Olamide Boluwatife, a 200 level  architecture undergraduate of the University  of Lagos, is already preparing for the challenge of unemployment .

    Since she loves artistry and craftsmanship, she is already involved in fashion designing as a side hustle.

    Speaking with The Nation, she  explained that  as an architecture major, she has always been creative through art and design,  and as such, fashion designing is a natural forte of hers.

    Her journey into  sewing started  when  someone in her church  accidentally saw her  sketches.

    “I do sketch  clothes  designs and  while I was  doing  it one day in the  church  someone saw it  and  advised  my mother  to take me to a fashion  school.

    I started  learning  the  skill when I was in SS3 and ever since,  I have  been  sewing  and  designing  for  myself, close friends and relations .

    Read Also: Coming to terms with entrepreneurship in Nigeria

     

    About  two years ago,  I started  sewing  for  other  people  too,  so I can  say that  even  before  I gained  admission,  I had  already  started  the  business.”

    She said that ever since  she  started studying in the university, she  has  become  more creative with her sewing. When asked  how  she  manages her  time  between sewing and lectures, she  said “I sew only  on weekends, and  I collect  it on time,  so it can  be  ready  before  it’s  actually  needed.

    The business is a lucrative one, I don’t even  disturb my  parents  much  for upkeep money while in school” One of the skills that she think the job market wants today is sustainable practice.

    She is interested in the idea on how to create a brand identity through fashion. The most important thing for her is her  freedom.

    A Mass Communication  student of Abia  State  University (ABSU), Uturu,Abia State,  Miss Success Ezeugo, also disclosed to The Nation  that  she started the business before  she  gained  admission

    “My motivation  has  always  been  me seeing  myself  as a boss, so I have no choice  than to work  hard  in order  to get  there. Now,  I don’t  only  sew clothes  but  I am also a makeup  artiste”

    Success said it is   not  easy  balancing    business  with  school work.

    Another undergraduate  student , Miss Philip Jennifer studying  English and Literature, said  education has also helped her in designing trending clothes. “Every day  I try my  best  to come  up with  new  designs.”

  • Four Nigerian agritech startups qualify for Morocco accelerator

    By DANIEL ESSIET

    Four Nigerian startups, ColdHub, Farmcrowdy, Social Lender and FoodLocker  are among 16 companies that have  qualified for  IMPULSE, a startup acceleration programme developed by Mohammed VI Polytechnic University (UM6P),Morocco.

    They were announced among the list of startups selected following the call for applications launched last June. The other startups included AGROOP, DataFarm , eProd Solutions, Esoko, Hydro Barley, LONO, Moldiag, Safi Organics, SATGRIE, SAYeTECH, Social Lender, Strayos and  TROTRO Tractor.

    The startups represent nine different countries and three continents, with a strong African representation.

    The acceleration programme is slated for between January 15, 2020 and April 08, with a Day Demo. IMPULSE is an international programme developed with the support of OCP Group and its subsidiary, OCP Africa, to fulfill three concurrent objectives: to reinforce OCP Group’s innovation capabilities in agritech, biotech, nanotech and mining tech; to support the entrepreneurial and innovation ecosystem, and to bring solutions to the smallholder farmers in Africa.

    The startups were mostly units working on technologies in the agriculture space. ColdHub is helping farmers and market vendors become more profitable by eliminating food waste via 100 per cent solar-powered walk-in cold rooms.

    Read Also: Nigerian startup, others shine in South Africa

     

    Founded in July 2015 by young farmer and social entrepreneur, Nnaemeka Ikegwuonu, ColdHubs is producing cold rooms and selling them to smallholder farmers, retailers and wholesalers to store and preserve fresh fruits, vegetables and other perishable foods, extending their shelf life from two days to 21.

    Farmcrowdy is Nigeria’s first digital agriculture platform that empowers rural farmers by providing them with improved seeds, farm inputs, and training on modern farming techniques and provides a market for the sale of their farm produce.

    Foodlocker aggregates the outputs of smallholder farmers and sells to large buyers. The acceleration programme will begin on January 15, 2020 and will end on April 08 with a Day Demo.

    Impulse Director, Adnane Alaoui Soulimani said the accelerator is creating an ecosystem for startup innovation and success, saying Impulse aims to provide the continent’s agri-foodtech startup ecosystem with a unique value proposition that will ensure that Africa becomes a hub for the successful development of advanced agri-food technologies, and agri-food value chain and business model innovations.

    The accelerator will run a range of activities tailored to the startup’ specific needs and introduce them to mentors and industry experts who will help them accelerate their business.

    In addition to the accelerator programme, UM6P undertakes a range of other collaborative events and initiatives that together will help build the agri-foodtech ecosystem, including boot camps and seminars.

  • Closing skills gap

    A non-profit organisation, iCreate Africa and other partners have adopted a national skills festival  as another platform for mentoring future innovators, technology leaders and creative problem-solvers by getting youths to solve challenging problems in different industries through hands-on skills competition. DANIEL ESSIET who was at the event, reports.

     

    The National Skills Fest had the same thrills and excitement every other sport has. It was an educational, fun-filled, and interactive event that inspired youths to consider career options in vocational and technical skills. It also involved a skills competition, business pitch, panel discussions, awards night and industrial exhibition.

    The competition showcased 16 sets of skills, which include brick laying, plumbing, carpentry, tiling, tailoring, art, hair dressing, make-up, website design, app development, animation, robotics, cooking, photography, third animation & restaurant services, with three winners emerging from each category.

    Organised by a non-profit, iCreate Africa, in partnership with Universal Learn Direct Academia Limited(ULDA), Julius Berger and Sterling Bank, Industrial Training Fund, Bosch Group, among others, the goal was   to get more youths hooked on  technical  and vocational careers  through hands-on  skills competition. The event brought together secondary and post-secondary graduates from across Nigeria to compete in an Olympic-style event.

    The Chief Executive/Founder, iCreate Africa, Bright Jaja, said the organisation aims to enhance, empower and equip youths to turn their passion into a profession.

    Jaja said the focus is to address the societal perception affecting youths’ participation by rebranding technical skills, uplifting the profiles of skilled professionals and projecting skills in the mainstream.

    He said the organisation hosted the event to emphasise the benefits of technical and vocational education and training (TVET), among others, saying TVET could create significant opportunities to help youths  enter the labour market.

    Jaja said the winners would become Africa skill champions and serve as inspirers and role models to other youths, adding that skill champions not only represent the organisation and affiliated partners who have signed them as their own brand ambassadors, but also represent the vocational profession they champion.

    Looking ahead, he said the programme will be fine-tuned to continue to support vocational training centres to reach and train more youths.

    The President, ULDA, Olawumi Akanmu Gasper, said tackling unemployment and strengthening the TVET sector will have a knock on effect of empowering  and equipping youths  with relevant skills corresponding to local market needs and  enabling them to secure jobs.

    He said skills were the bedrock for driving economic growth, promoting employability, reducing unemployment and poverty.

    Read Also: Sterling Bank partners Icreate to host skills festival final

     

    With organisations abroad in search of the best and brightest talents, he urged local skills training providers to prepare and sustain a steady pipeline of talents to supply the international market, saying that employers are looking to recruit people with a strong knowledge base, technical skills and problem-solving abilities.

    He called on Nigerian youths to embrace skills training to find jobs abroad. He said TVET was a good option for young people. To aid in the work, he said ULDA is ready to inspire dialogue with the goal of better aligning programmes and services with students’ needs and preparing them for careers ahead.

    Jaja said the  organisation is working to change the perception of the industry and inspire next-generation workers to pursue technical and vocational careers by providing real-world experiences.

    Gasper said his organisation was proud to have supported iCreate Africa to organise the Skills Fest as it provides an opportunity to showcase what it takes to be a successful tradesperson.

    The Chief Operating Officer, Automedics Limited, Gbola OBA said “iCreate for him is where you get people to dig in, find their own true skill, saying we now have to enable them to be more successful, earn a decent living and get them skilled-up.

    He said the goal and objective of the festival was to engage youths and promote all the exciting careers that are available to them in the skilled trades and technologies.

    He said there was a need to redevelop TVET strategies in an effort to bring about increased economic development.

    According to him, the competition provided a platform for competitors to demonstrate and develop their skills to be more prepared for the world of work. It also gives young Nigerians who have never been exposed to skilled trades and technology careers a chance to learn about these occupations through experiential activities.

    The Chief Executive, Automedics, Engr Kunle Shonaike, said his organisation is supporting the programme because it encourages youth to develop their skills. According to him, Auto medics supported the programme because the event is a positive way of showcasing TVET in Nigeria.

    Noting that the competition would allow young people to demonstrate the best of their vocational skills, he added, it  will create a general awareness of the essential contribution that skills and high standards of competence can make to the achievement of economic success and individual fulfilment.

    He said selection of participating youths was carried out by a screening committee following eligibility and selection criteria, fulfilled by the deadline for applications.

    He said students and teachers in the school system need take advantage of the skills competition and festival to observe and gain valuable insights into the technical skills required.

    The kinds of experiences, according to him, help teachers make their lessons and curricula richer, more relevant and more aligned to the careers of today and tomorrow.

    For the Chief Executive,Garu Technologies, Alhaji Lukman Garu, the job market today, provides a vastly different pathway to join 21st-century jobs in skilled trades, applied sciences and technology.

    He said there was need for careers to adapt to a changing industry where computerised equipment, electronics and advanced materials are now standard.

    According to him, the programme has been an invaluable way to encourage youths to not only join the trades, but to value them.Cash prizes were awarded to the top competitors in skill areas.

  • Pension complaints and solutions

    ANMI: I retired as an Assistant Director of Education (GL 15) in December 1996, after serving   government for 35 years. My gratuities were paid in 1998 when the value of the money had fallen more than 100 per cent. I started drawing my pensions in year 2000. I am a purely federal pensioner, with no state share at all.

    Till date, I have not been allowed to enjoy any of the pension increases approved since year 2000. In April 2009, my pensions were harmonised to enable me enjoy the 142 per cent increment approved in year 2000.

    The voucher was prepared. This included the arrears accruing from year 2000. That month, I was paid only the harmonised monthly amount. The arrears were not paid and have still not been paid till now. Later this harmonised amount was reduced by 50 per cent for no reason.

    Despite series of verifications and completion of complaints forms, no action has been taken on my case. However, the pension authorities keep on telling the public that they have been paying pension arrears and returning savings from discovery of ghost pensioners to government’s coffers.

    I submitted a letter of complaint to the Akure office of the Public Complaints Office in April 2014, but I am not sure the letter left the office although they charged me for courier fees. I retired from the Federal Civil Service at the age of 56. I am now 76 years old and I am still being denied my entitlements by fellow compatriots since year 2000.

    Read Also: Pension complaints and solutions

     

    This complaint and relevant documents including my bank statement of accounts are in my records with PTAD as were with those who handed over to them.

    Why is it that nobody is doing or saying anything about my case? This new government that is committed to change and correcting previous ills should come to the rescue of pensioners.

    I thank The Nation for its interest in the welfare of the elderly. May God bless and keep the newspaper. Pensioners name: E. F. O.

    PTAD: We require additional information to enable us investigate and resolve the pensioner’s complaint. Mr Owoeye should please send the pensioner’s name and telephone number to complaints@ptad.gov.ng to enable us speak to him

    ADETUTU: Hello Omobola, please my mother retired in the year 2005, as a principal catering assistant ll Grade level 10 step 2. Her name is Adetutu. The problem is that she has not been given monthly pension from 2005. Since then some people have been calling her from Head of Civil Service Commission that she should give them money before they will pay, but she ignored them‑ not until February 2018, when they called her that President Buhari had given them go ahead to pay and they swindled  her of N240, 000.  She paid the sum to to their different account numbers with their names. Please, we seek your intervention   as we have lodged  many complaints before now. She is 74. When is she going to enjoy the fruit of her labour?. Thank you

    PTAD: We will never request for cash to process pension. Pensioners are advised to be wary of fraudsters as pension payment is free. We require the pensioner’s telephone number to enable us get additional information.

    JOHNSON: My complaints is nonpayment of pension salary as from August 2008. My name is Johnson. I wish to complain that my pension salary since August, 2008 is yet to be paid till date. I call on the Executive Secretary of PTAD to kindly check their records and make the said amount payable to alleviate my financial burden. Thanks and be blessed.

    PTAD: The pensioner is currently receiving monthly pension payment and is owed pension arrears.  PTAD ensures pension arrears are cleared as funds are allocated and released by the Federal Government.

  • Inflation threatening N9.58tr pension fund

    There are fears that inflation is eating deep into Nigeria’s N9.58 trillion pension fund assets, eroding over 100 per cent of the value. Omobola Tolu-Kusimo reports that there is need to review the investments of the funds.

    Fears that Nigeria’s N9.5 trillion pension fund assets may be eroded by inflation in the nearest future is gathering momentum. The Nation learnt that the fund’s value has been eroded by 100 per cent between 2012 and 2019.

    This is being envisaged by experts considering the depreciation of the Naira in recent times.

    This has, however, brought to the front burner the need for the regulatory authority, the National Pension Commission (PenCom), to allow more investment of pension funds outside Nigeria.

    Pioneer Director-General of PenCom, Muhammad Ahmad while speaking on ‘’The Pension Industry – The Way Forward” during a retreat for National Assembly members on pension in Uyo, Akwa Ibom State, drew the attention of stakeholders to the dangers ahead.

    He stated that there is the need to ensure that contributors and retirees do not suffer unduly for the depreciation of the Naira over the years.

    Giving an instance, he said that in 2012, one dollar exchanged for an average of N170.

    Today, one-dollar exchanges for an average of N360. What this means is that pension contributors, have had the value of their contribution eroded by over 100 per cent in that period for no fault of theirs or the fund managers, he noted.

    In this regard, he said the investment of a portion of pension funds in permissible foreign assets is an issue that needs to be at the front burner.

    He pointed out that a cursory look at the Pension Reform Act (PRA) 2014, Section 87 (1) shows that there is allowance for the investment of pension funds outside Nigeria, but this area has remained fairly non-operational with negative long-term implications for contributors as enunciated above.

    He further observed that Section 87 (2) of the Act states that the Commission may, subject to subsisting Central Bank of Nigeria (CBN) foreign exchange rules, recommend to the President for approval, portfolio limits for investments of pension funds or assets outside the territory of the Federal republic of Nigeria”.

    He stressed that it is imperative that PenCom and the operators engage the CBN to develop a workable framework to access foreign exchange for pension fund investment for the benefit of RSA holders in the immediate future.

    He said: “Going forward, however, I will strongly suggest that the need for Presidential assent be removed and replaced with the power of the Board of the Commission to issue investment regulation for foreign investments as is done in a number of North and South American countries. This can be achieved by collaboration between the operators, PenCom and the legislators. However, this is not urgent as the process has not been tested.

    “There is the need to encourage development of enabling framework for pension funds to facilitate national development. In this case, Public Private Partnership (PPP) rules need to be strengthened at both the national and state levels while Africa infrastructure collaboration initiative projects like roads, rails, telecommunication, power, among others should be promoted.

    “There is also need to promote credit enhancement market in the short term – currently InfraCredit is virtually the only private institution providing such guarantees (incentives) in Nigeria. However, enabling environment such as policies on project preparation to enable quality project issuance need to be established so as to walk ourselves out of provision of guarantees in the future.”

    Read Also: Legislators, pension operators demand PenCom Board

     

    He posited, investment of the fund is a critical factor that will enhance the growth of the pension industry.

    “We need to constantly review the scope of investments that the Pension Fund Administrators (PFAs) can deploy the pension contributions in. We are aware that the investment climate is very dynamic and investment opportunities open up every day.

    “We, thus, need to ensure that the fund managers have the flexibility they require in order to make investment decisions for the benefit of the RSA holders. I must add though, that we must find the balance between the need for speed and returns and safety. In this regard, safety first should be our guide”, he noted.

    The Head, Branding & Communications, Pension Fund Operators Association of Nigeria (PenOp), Wale Odutola, said the monies from the pension fund have been deployed into critical areas of the economy but perhaps, not as diversified as expected to fully support the growth.

    Odutola who is also the Managing Director, ARM Pension Managers, said what is most crucial to them now, is how the fund will have more impact in the next 15 years.

    “We have had 15 decent years within the pension space but the next 15 years are probably even more important because the challenge then becomes how do we grow from about N10 trillion to N20 trillion.

    “And by growing, I am not talking about investment performance but how we will add more people to the pension industry such that the we all can begin to benefit from it and have some sort of security when we retire. This remains the biggest challenge for us as a sector”, he added.

     

     

  • Investors await Vitafoam Nigeria’s dividend as directors meet

    By Taofik Salako, Capital Market Editor

     

    Nigeria’s leading foam manufacturing company, Vitafoam Nigeria Plc, may announce its dividend payout next week. Dividend payment is one of the top agenda at the board meeting of the company scheduled for next week.

    Directors are expected undertake final review and approve the company’s audited report and accounts for the year ended September 30, 2019. The board will then simultaneously consider dividend payment.

    Most pundits expect Vitafoam Nigeria to declare dividend, sustaining a long-running tradition of consecutive dividend paymentover many decades.

    Analysts also almost agreed that dividend payout for the 2019 business year may not be below 25 kobo per share paid for the 2018 business year, despite the 25 per cent increase in outstanding shares due to bonus shares distributed to shareholders in 2018.

    Vitafoam Nigeria’s net profit had risen by 121 per cent to N1.14 billion by the third quarter as increased market penetration, diversified product base and improved internal efficiency brought the company to its best performance in recent period.

    By the third quarter ended June 30, 2019, Vitafoam Nigeria’s earnings per share stood at 107.66 kobo in  2019 compared with 48.83 kobo recorded in comparable period of 2018. Profit after tax had jumped from N515.2 million in 2018 to N1.14 billion in 2019.

    The report showed impressive top-down growth as turnover rose from N16 billion to N18.82 billion. Gross profit increased from N4.75 billion to N5.97 billion. Operating profit rose from N1.67 billion to N2.38 billion.

    Profit before tax leapt from N788.4 million in 2018 to N1.66 billion in 2019.

    Vitafoam Nigeria had distributed N260.51 million as cash dividend and a scrip dividend of one share for five shares for the 2018 business year.

    This represented a dividend per share of 25 kobo, in addition to bonus share of one new ordinary share of 50 kobo each for every five ordinary shares of 50 kobo each.

    Vitafoam Nigeria had started the immediate past business year with significant growths across key performance indicators.

    Key extracts of the interim report and accounts for the three-month period ended December 31, 2018 had shown that turnover rose by 26.3 per cent while profits before and after tax doubled by 98.48 per cent and 123.14 per cent respectively.

    Group turnover stood at N6.38 billion in December 2018 as against N5.05 billion recorded in comparable period of 2017.

    Read Also: Stimulating SMEs, manufacturing through proper funding

     

    Profit before tax rose from N258.53 million to N513.12 million while profit after tax jumped from N162.17 million to N361.87 million.

    Earnings per share also increased from 13 kobo by December 2017 to 33 kobo in December 2018.

    Group Managing Director, Vitafoam Nigeria Plc, Mr Taiwo Adeniyi, has said consistent growths in key performance indicators in successive results provide basis for assurance that the company will be able to surpass its previous performance in the current business year.

    He noted that the first quarter results for the current business year had shown the direction of the group’s business.

    Adeniyi said the group’s Nigerian businesses are on a stronger footing while three of its seven subsidiaries have started to generate profit.

    He said the company will continue to innovate and develop products that will keep it ahead of competition and enable it to grow its turnover while extracting better values for shareholders.

    Chairman, Vitafoam Nigeria Plc, Dr Bamidele Makanjuola, said the growth in turnover and profitability reflected the robustness and fundamental strength of the group’s business.

    According to him, the company had taken strategic decision and reengineered its business with special focus on products quality, innovation, market differentiation, customer service and consumer education.

    “These efforts underscored our long-term priorities of growing revenue, controlling operating costs, and driving higher gross margins. I am pleased to report that we made great strides in cost containment and sustained positive trends in gross margins,” Makanjuola said.

     

  • Flour Mills floats commercial papers to raise N5b

    By Taofik Salako, Capital Market Editor

     

    Flour Mills of Nigeria Plc has opened application to raise N5 billion in new short-term capital through the issuance of commercial papers (CPs).

    Flour Mills of Nigeria is raising up to N5 billion in the 11th series of its N100 billion CP programme. The leading flour-milling company will use the net proceeds to support its short-term funding.

    Flour Mills of Nigeria is offering 270-day CP with effective yield of 9.50 per cent and a discount rate of 8.8777 per cent. Application list for the offer opened weekend and will close on Thursday December 12, 2019.

    Minimum subscription is N5 million, and thereafter in multiples of N1,000. The settlement date for the CPs is Friday December 13, 2019. The maturity date for the debt issue is Tuesday, September 08, 2020.

    Flour Mills of Nigeria had witnessed contractions in sales and profitability in the immediate past business year as net profit declined by 70.6 per cent from N13.6 billion in 2018 to N4 billion in 2019.

    Key extracts of the audited report and accounts of Flour Mills of Nigeria for the year ended March 31, 2019 showed that trunover dropped by 2.8 per cent from N542.67 billion in 2018 to N527.40 billion in 2019.

    Gross profit dropped by 22.4 per cent from N68.8 billion in 2018 to N53.3 b illion in 2019. Profit before tax declined by 38.5 per cent to N10.17 billion in 2019 as against N16.54 billion in 2018.

    After taxes, net profit dropped by 70.6 per cent to N4 billion in 2019 as against N13.6 billion in 2018. Consequently, earnings per share dropped from N4.83 in 2018 to N1 in 2019.

    Further analysis showed decline in the underlying profitability of the group. Gross profit margin dropped from 12.7 per cent in 2018 to 10.1 per cent in 2019.

    Read Also: Flour Mills of Nigeria increases dividend payout by 20%

     

    Net profit margin dipped to 0.8 per cent in 2019 as against 2.5 per cent in 2018. However, the group’s debt-to-equity ratio improved from 101.7 per cent in 2018 to 84.1 per cent in 2019. Also, Flour Mills’ net asset per share stood at N36.80, almost a triple of its current market valuation.

    In a statement, the group however expressed optimism that it would witness continuous growth in key segments of its food and agro-allied businesses in the new business year, noting that targeted strategies are expected to deliver improved margins and operational efficiencies.

    According to the company, continuous implementation of turnaround initiatives in the agro-allied business, accelerated expansion in the business-to-customer segment, optimal operation of its supply chain and further balance sheet management are expected to result in higher profitability.

    The group noted that it undertook series of strategic actions designed to improve returns and deliver maximum gains for its investors in 2018 including the restructuring process that saw all its businesses in the agriculture sector aligned under its wholly owned holding company, Golden Fertiliser Company.

    The company pointed out that the consolidation of its agricultural businesses has started yielding appreciable contributions to the group in the areas of cost maximisation and improved operational efficiency as the businesses make the most of their competitive advantage and synergies.

    The management of the company stated that strong cost control measures put in place during the year supported the company despite the prevailing economic headwinds and harsh operating environment, especially for businesses in the congested Apapa, Lagos axis.

    According to the company, it has continued to consolidate its investments in the agriculture sector with a strong focus on innovative and efficient use of resources.

    As such, the group is resizing and simplifying the operations of some of the farms which form an integral part of its backward integration strategy with a few of the smaller experimental farms being scaled down, while continuing focus on key units.

  • Neimeth wins capital market award

    By Taofik Salako, Capital Market Editor

    Neimeth International Pharmaceuticals Plc has won the 2019 Sectoral Leadership Award for the healthcare (pharmaceuticals) sector at the Nigerian stock  market. The annual award, which is based on the performance of quoted companies on the Nigerian capital market, was organised by Pearl Awards.

    Neimeth came top ahead of two other nominees, all leading pharmaceutical companies quoted on the Nigerian Stock Exchange (NSE).

    The recent award was the second of such awards in the capital market to be received by Neimeth this year. Recently, Pharm. Matthew Azoji, Managing Director of Neimeth was named among the BusinessDay’s top 25 CEOs in Nigeria  in recognition of the performance of the company.

    Neimeth is one of Nigeria’s leading pharmaceutical manufacturing companies and has over the years continued to improve her financial performance, which has caught the watchful eyes of regulators of the Nigerian capital market.

    Azoji, who received the award in Lagos, said the Pearl Award and others before it are certificates that will motivate the company to strive to do better.

    Read Also: Afrik Pharmaceuticals seeks N300m in private placement

     

    “Our strategic plan is to move Neimeth from a good company to a great company.

    We shall soon launch a five-year strategic plan to reposition the company to play greater roles in the healthcare industry, ensure good returns on investment for shareholders and provide services that will delight all stakeholders,” Azoji said.

    Neimeth is over 61 years old as a business in Nigeria.

    It transited from an arm of a foreign transnational, Pfizer Inc. to Neimeth International Pharmaceuticals Plc in May 1997 through a management buyout of the US investors to become a wholly owned indigenous company.

    Since then, the company has metamorphosed into a leading brand in the Nigerian healthcare industry with products that meet international standards.

  • Makinde is repositoning Oyo, says group

    By Raymond Mordi

    A GROUP, Oyo Kajola Group (OKG), has praised Governor Seyi Makinde for repositioning the state for excellence.

    The group advised the All Progressives Congress (APC) and the Association of Local Governments of Nigeria (ALGON) to desist from attacking the governor.

    OKG, in a statement by its Media Coordinator, Mr. Adebayo Ayandele, said recent outbursts by the APC and ALGON on the management of local government matters by Makinde underscored the attitude of bad losers.

    According to OKG, the criticisms against Makinde by the APC and ALGON are not only baseless but a clear demonstration of undemocratic tendencies by political actors who have unfortunately benefitted from the nation’s democracy.

    “We can only urge them to stop being bad losers and stop the incessant display of undemocratic conducts, including their call for unconstitutional intervention in Oyo State,” the OKG said.

    The group said the APC’s statement calling on President Muhammadu Buhari and the National Assembly to adopt intervene was not only a shameful, but a portrayal of ALGON as namby-pamby democrats.

    The group described Oyo APC’s call to President Buhari and the leadership of the National Assembly to prevail on Makinde on local government administration.

    According to the group, the claim made by the APC that Makinde’s plans to appoint caretaker committees was an affront and a decision to position his lackeys in office was not only strange, but totally baseless, especially coming from a party that administered local governments with caretaker committees for seven of its eight years.

    The group added that the claim that Makinde tried to ‘bribe’ known APC members appointed into the Oyo State Independent Electoral Commission (OYSIEC) by the immediate past government was a wicked lie, noting that Makinde’s offer to pay the OYSIEC members off the appointment was lawful and well-intended.

    The Oyo Kajola Group (OKG) advised Makinde to go appoint caretaker chairmen for the local councils, as according to it, the move will enable the grassroots in Oyo State to feel the impact of government more than before.

    It noted that if the governor decides to do so, he would not be committing any infraction on the laws of the land, pending the election into the councils.

    The group also warned the Oyo State APC and its appendage, to perish the thought of its evil intention of planning to snatch the people’s mandate freely given to Governor Makinde through the Court, noting that the APC’s false hope would end up being deflated.

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    The group said: “On Monday, the Oyo State chapter of the APC, for the umpteenth time and in its characteristic frustrated manner, treated Nigerians to another round of its garrulous but baseless attacks on the Oyo State Governor, Engineer Seyi Makinde. Silence would have been the best answer for the ninnies that Oyo APC leaders and members have become ever since they lost the March 9, 2019 governorship election.

    “However, the namby-pamby democrats and bogus progressives known as Oyo APC had gone too far this time, as they called on President Buhari and the National Assembly to “prevail” on Makinde on how to administer a federating unit, Oyo State.

    This call, to say the least, is disgraceful, uncanny and not well-thought-out and we can only ask whether the writer and sponsors of the APC statement actually went through school or learnt anything about the federal system of Government.

    “They cited some cases to buttress their disgraceful claim but they were only clever by half, as they hid a substantial part of the matters from the public with an intent to deceive and mislead the public.

    The truth is that Governor Makinde would not be disobeying any order by appointing an interim management for the local governments.

    By doing so, he would only be contributing to making the impact of governance felt more at the grassroots.”