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Tag: Berger Paints

  • Shareholders approve Berger Paints’ N347.8m dividend

    Shareholders approve Berger Paints’ N347.8m dividend

    Shareholders of Berger Paints Nigeria (BPN) Plc have approved the distribution of N347.8 million as cash dividends for the 2024 business year.

    With the approval, shareholders would receive a final dividend per share of N1 in addition to an interim dividend of 20 kobo, bringing total dividend per share for the year to N1.20.

    The audited report and accounts of Berger Paints Nigeria (BPN) for the year ended December 31, 2024 had shown that total revenue rose by 36 per cent to N10.8 billion in 2024 as against N7.9 billion recorded in 2023. Operating profit grew by 49 per cent from N751 million to N1.12 billion. Profit after tax rose by 37 per cent to N610.8 million.

    The company’s core business of paints and allied products was the primary driver behind this exceptional performance, signalling robust organic growth in its primary market segments.

    During the company’s 65th Annual General Meeting, shareholders expressed their appreciation for the management’s strategic direction. Comrade Lawrence Oguntoye, while moving the motion to approve the final dividend, highlighted the significance of the company’s dividend policy amid economic uncertainties.

     “At this tough economic trajectory, Berger Paints is able to pay an interim and final dividend. I want to appreciate the Board and Management for this exemplary performance,” Oguntoye stated.

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    This sentiment was echoed by another shareholder, Olugbosun Banji, who also commended the company’s performance.

    The meeting also saw the re-election of two directors, Mr. Raj Mangtani and Dr. Ogechi Iheanacho, who had retired by rotation, with all resolutions receiving approval from shareholders.

    Mr. Abi Ayida, the Company’s Chairman, reassured shareholders that BPN had developed robust strategies to ensure business continuity regardless of external challenges. He expressed confidence in the company’s future growth prospects.

    “These outstanding results underscore the effectiveness of our strategic initiatives and the unwavering commitment of our management team and employees. I am very bullish on the growth prospects of BPN. We have devoted more resources to research and development to drive innovation. Our company remains fully committed to sustain our upward trajectory,” Ayida emphasized.

    Alaba Fagun, Group Managing Director and Chief Executive Officer, reinforced this positive outlook by outlining the company’s forward-looking approach to market development and operational excellence.

    “We are thoughtfully evaluating opportunities to strengthen our market position through optimised distribution channels, focusing on areas with growth potential. Our ongoing efficiency improvements across operations help us navigate cost pressures while maintaining the standards our customers expect. We engage in selective collaborations that align with our long-term vision, including sustainability initiatives that create both environmental and business value. We shall continue to invest in technology solutions.”

    She further highlighted the company’s digital transformation efforts: “The implementation of digital solutions across our business network has simplified key processes, benefiting our partners and customers alike. Our forward-looking practices include regular review processes that incorporate changing market indicators, allowing for timely adjustments to operational strategies when necessary.As BPN moves forward, the company remains committed to innovation, operational excellence, and creating sustainable value for all stakeholders in Nigeria’s competitive paint industry.”, Fagun added.

  • Shareholders approve Berger Paints’ N232m dividends

    Shareholders approve Berger Paints’ N232m dividends

    Shareholders of Berger Paints Nigeria Plc have approved the payment of N232 million as cash dividends for the 2023 business year.

    At the annual general meeting in Lagos, shareholders commended the management of the company for its resourcefulness in improving the company’s fortunes in the last financial year.

    National Coordinator, Pragmatic Shareholders Association, Mrs Bisi Bakare, said that the 2023 performance was a significant improvement on the previous year against the background of headwinds such as high energy cost, soaring inflation rate, exchange rate and low purchasing power of consumers.

    According to her, Berger Paints was able to maintain its leadership position in the paints manufacturing industry in Nigeria.

    “The performance is highly commendable, especially when we consider the challenges, such as energy cost, high interest rate, weak purchasing power of consumers and rising inflation amongst others in the operating environment,” Bakare said.

    Founder, Independent Shareholders Association of Nigeria (ISAN), Chief Sunny Nwosu, said shareholders were satisfied with the company’s impressive performance.

    He commended its board and management for the balanced gender representation in their compositions.

    Berger Paints declared a dividend of N232 million for the 2023 financial year up from N203 million paid in 2022. The final dividend of 80 kobo per share brought the total dividend for the year to N1.

    In the period under review also, the company’s share price jumped by 116 per cent from N6 in December 2022 to N13 by December 2023.

    Other performance indicators of Berger Paints for the period showed impressive returns as profit after tax recorded a significant surge of 125 per cent from N208 million in 2022 to N445 million in 2023. This was realized from total earnings of N7.9 billion in the period under review, an increase of  25 per cent from N6.3 billion in the previous financial year.

    Chairman,  Berger Paints Nigeria Plc, Mr. Abi  Ayida, explained that adherence to many sustainability initiatives enhanced the company’s performance in the review period.

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    He also attributed the stellar performance to five key pillars: product innovation, market expansion, operational efficiency, customer experience and strategic partnerships.

    “In the face of market uncertainties, Berger Paints maintained its position as a leading player in the paints and coating industry. Our relentless commitment to innovation, product quality, and customer satisfaction has not only fortified our market presence but also empowered us to seize new opportunities for growth. Currently, Berger Paints operates within the premium and super premium segments of the market,” Ayida said.

    Managing Director, Berger Paints Nigeria Plc, Mrs. Alaba Fagun, said the company’s performance was a testament to synergistic collaboration between the workers and the company’s strategic vision.

    According to her, the management deployed a harmonious blend of financial acumen, operational resilience, and strategic foresight.

    She said the company looks forward to building upon its achievements by fostering sustainable growth and delivering enduring value to its shareholders.

    ‘’Beyond the quantitative achievements, our success story in 2023 was intricately woven with qualitative advancements, which is a testament to the synergistic collaboration between our adept workforce and the strategic vision set forth by the leadership,” Fagun said.

  • Berger Paints declares N232m dividends as profit grows by 125%

    Berger Paints declares N232m dividends as profit grows by 125%

    The board of directors of Berger Paints Nigeria Plc has recommended increase in dividend payouts to N232 million after the paints and chemical company doubled its profit.

    Shareholders will receive a final dividend of 80 kobo per share, in addition to interim dividend of 20 kobo, bringing total payout for the 2023 business year to N1. The company had paid N203 million for the 2022 business year.

    At the annual general meeting next month, the company shall seek ratification of payment of interim dividend of 20 kobo per share, which amounted to N58 million.

    Audited report and accounts of Berger Paints of Nigeria for the year ended December 31, 2023 showed that net profit rose to N468 million in 2023 from N208 million in 2022. Basic earnings per share, consequently jumped by 125 per cent from 72 kobo in 2022 to 162 kobo in 2023.

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    Turnover had risen by 25 per cent to N7.97 billion. Operating profit doubled by 101 per cent to N774.74 million. Total assets grew by 20 per cent to N6.61 billion.

    The company’s Managing Director, Mrs. Alaba Fagun, said the outstanding performance was due to the emerging benefits of the company’s rebranding and deployment of modern technology to ensure quality products and availability of strong human capital.

    “With Berger Paints, you can never go wrong. Our commitment to customer satisfaction has been the bedrock of our success since 1959. The year 2023 underscored the resilience and positive orientation of the Berger Paints work force as despite the challenges the management and staff of Berger Paints Nigeria, rose to the occasion. Throughout the year, we revitalised our corporate ethos by reshaping our brand. More than just a logo, our brand embodies a commitment to quality assurance and customer-centric values: professionalism, integrity, innovation, customer-focus, and teamwork and this orientation was deeply ingrained in our team’s approach to work.

    “Despite the myriad of challenges in our operating environment, impacting both our business operations and the daily lives of our customers and team members, we achieved a remarkable 125 per cent growth in our bottom-line figure compared to 2022.

    “Looking forward, we aspire to keep increasing our market share to establish dominance and leadership in our sector. Our dedicated team is poised to leverage resources efficiently, and innovate to deliver exceptional service to our customers,” Fagun said.

    In March last year, Berger Paints took the Nigerian manufacturing sector and the financial market by storm, when it unveiled its new brand identity. The rebranding was prompted by the need to capture the younger demography especially those aged 25 to 45 years to ensure business continuity and success.

  • Our internal restructuring yielding positive results, says Berger Paints

    Our internal restructuring yielding positive results, says Berger Paints

    Berger Paints Nigeria (BPN) Plc has assured shareholders and other stakeholders that recent internal restructuring has started yielding positive results.

    Managing Director, Berger Paints Nigeria (BPN) Plc, Mrs Alaba Fagun, said several internal restructuring initiatives undertaken in the past 12 months have started to yield positive results.

    She said the restructuring was driven by the need to sustain the leadership status of one of the oldest Nigerian companies, despite changes in the operating environment.

    Key extracts of the interim report and accounts of Berger Paints Nigeria for the third quarter ended September 30, 2023 showed that turnover rose by 20 per cent from N4.53 billion in September 2022 to N5. 42 billion in September 2023. Profit after tax grew by 142 per cent to N397. 8 million in September 2023 as against N164.3 million in comparable period of 2022.

    “We are a 64-year old company. We have spent the last 12 months on internal restructuring and repositioning. We shall continue to encourage our team to make Berger Paints the best place to work, “Fagun said.

    Fagun spoke at an interactive session with the investing public at the Nigerian Exchange (NGX) in Lagos. The board and management of BPN, led by its chairman, Mr Abi Ayida, were honoured with a closing gong ceremony where Ayida beat the ceremonial gong for the closing of the market.

    Ayida said the company had kept up with time to sustain good performance, irrespective of the challenges in the operating environment.

    He noted that BPN had a gender balance both at management and board level and this has enhanced the company’s performance.

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    He assured the capital market community that the company would continue to provide regular information to the market in line with the post listing requirements of NGX.

    Ayida commended Fagun for her leadership qualities which has transformed the company in the last 12 months.

    “Berger Paints has tried to keep up with time. We are forward looking. We operate as a team. I am proud to say that majority of our board members are female and the company is doing very well. We have positioned the company to remain competitive. We shall ensure that we provide regular and timely information to the capital market community,” Ayida said.

    He assured that the company takes its role as a publicly quoted company seriously as it knows it has a responsibility to all stakeholders and shareholders.

    “We are proud of the fact that for the last six decades, we have ran a profitable company. We have made returns to our shareholders, always unbroken since we went public in 1973.

    “We have many first but the most important thing is that we want to commend you on the job that you do because you are the ones that facilitate the transparency and insight into our company and all the other companies in the Exchange.”

    “We pledge to continue to provide as much information as we can so that people can make informed choices and investment decisions. We are proud to be here and we intend to be here much longer. And we will ensure that our stewardship is the best and that we would hand over a vibrant organisation at the end of our tenure,” Ayida said.

    Executive Director, Capital Markets, Nigerian Exchange (NGX), Mr Jude Chiemeka said the NGX would continue to engage the government to give concession to quoted companies as they contribute a lot to the growth and development of the economy, especially through taxation.

    He commended the board and management of BPN on the company’s rebranding, which symbolizes a new outlook. 

    The Doyen of the capital market, Alhaji Rasheed Yusuff, commended the dedication of the company to staying atop in its sector while delivering impressionable dividends to both investors and workers.

    “We are very happy to have you for many reasons. First, because you are one of the oldest members to be listed in this Exchange. You are the leading company in your sector to be listed and since then, you’ve been with us. You’ve delighted our investors and you delighted also, workers with your performance.

    “And the fact that you are able to hold your leading position despite various challenges from new entrants into the fold, we must congratulate you. It is not easy to be the leader of a sector and to sustain it for as many years as you have done,” Yusuff said.

  • Berger Paints restructures for growth

    Berger Paints Nigeria Plc has started implementation of many strategic initiatives aimed at enhancing the operations and processes of the company and positioning it for long-term sustainable growth.

    The board of the company laid out its plan for sustained value creation to shareholders at the annual general meeting in Lagos. The board outlined that the strategic initiatives, which cover many areas of the company including structure, people, processes and digital operations, were derived from a detailed evaluation of the company and its future competitiveness.

    Addressing shareholders at the meeting in Lagos, Chairman, Berger Nigeria Plc, Mr Abi Ayida, said the new strategic initiatives were arrived at after due consultations and meetings with the various units of the company and relevant stakeholders.

    According to him, the evaluation process underlined the imperative for the company to reposition for global competitiveness and sustainable increase on return on investment (RoI).

    “On assumption of office, I solicited views on how this required journey could be made, and attained unvarnished narrative of what we as employees, partners, stakeholders and leaders were doing well and what not so well. The outcome of these valuable sessions, after board review and consideration, confirmed that there was significant headroom for improvement in our people, processes and organisational structure,” Ayida said.

    He pointed out that in order to put the company on the path of sustained profitability; the board had created the office of Chief Operating Officer to drive the operations and technical aspects of the business while Mr Anjar Sircar was appointed the new Managing Director to take charge of strategic business development decisions and marketing function of the company.

    Until his appointment, Sircar was the Chief Executive Officer of the Elite Group of Companies, Bangladesh. Sircar, an astute professional, who has wide and varied industry experience internationally, was a member of the Executive Committee of Nepal India Chamber of Commerce and Industries (NUCCI) and India Nepal Business Forum.

    Ayida said the key anchors for the corporate restructuring were a clear and integrated customer-focused global strategy, an innovative business model, organisation restructuring for resilience, sustainability and perpetuity, and retooled human capital and talent management.

    He reiterated the company’s commitment towards value creation and assured shareholders of more opportunities for robust engagement with the stakeholders.

    According to him, a help desk has been put in place to reinforce secretariat’s communication with the shareholders.

    He assured shareholders that the company’s ultra-modern plant would be commissioned soon.

    At the meeting, shareholders approved the payment of N188.39 million as cash dividend for the 2018 business year, representing a dividend per share of 65 kobo. Key extracts of the audited report and accounts of the company for the year ended December 31, 2018 showed that turnover grew by 12 per cent to N3.38 billion in 2018 as against N3.01 billion in 2017. Profit before tax rose by 33.8 per cent from N339.5 million in 2017 to N454.3 million in 2018.

    Shareholders commended the board and management of the company for the improvements in all performance indicators in 2018.

    A shareholder, Mr Lawrence Oguntoye urged the company to sustain its outstanding performance. Oguntoye however decried the effect of multiple taxations on manufacturers in Nigeria.

  • Berger Paints, painters renew commitment to business growth

    Berger Paints Nigeria Plc and painters at the weekend reaffirmed their commitments to cordial business relationship that will create values for all stakeholders.

    At the Painters’ Forum held at the company’s training room in Ikeja, Lagos, top management of Berger Paints Nigeria and leading painters discussed mutually beneficial ideas as part of efforts aimed at strengthening the relationship between the company and its stakeholders.

    The forum dwelt on the expected roles of a modern painter, Berger Paint’s range of products, prices and the upcoming inauguration of its automated plant, the first of its type in sub- Saharan Africa.

    Managing Director, Berger Paints Nigeria Plc, Mr Peter Folikwe said the company and painters were partners in progress, hence, the need for constant relationship between the two parties.

    According to him, as Berger Paint’s braced up to sustain its leadership position with the installation of state-of-the art plant, the first in sub-Saharan Africa, painters are critical stakeholders in the patronage of the company’s quality products. He announced the company’s plan to inaugurate its automated plant in the first quarter next year.

    Folikwe urged the painters to always feel free to ask questions on any area of the company’s production. He re-affirmed the company’s continuous adherence to quality products that can compete with any foreign products.

    Earlier in his contribution, Head, Sales and Marketing, Berger Paints Nigeria Plc, Mr Gbenga Suberu explained that the rationale for organising the forum was to bring the painters closer to the company as they as they advise customers in the areas of colour choice.

    He added that the forum shall be held constantly because of changing dynamics in the paints industry and the need for both paint manufacturers and consumers to move with time.

    “These are our specifiers and they are also our end users. First and foremost, we want to get feedbacks from them and also educate them on how best they can apply our products and that is why the training section is also organised for them. From these feedbacks, we can continue to provide products that will suit their application,” Suberu said.

    According to him, Berger Paints in a couple of weeks from now will be 60 years. The company has been known for quality. People talk about the price, but you know it must match the quality. The take home from this forum is that we are still standing on the quality that we are known for Berger is a brand.

    He, however, urged government to forestall fake and cheap paints by regulating what is being produced and sold in the Nigerian market in order to prevent harmful effects of such production.

    Head, Technical, Berger Paints Nigeria Plc, Mrs Ronke Olajubu urged painters to be more professional in their choice of paints for clients by taking into consideration the type of environment, especially, the moisture level as this and other factors determine the quality and colour of paints to be used.

    Chairman, Ikorodu Painters Association, Mr Monsuru Onipede who praised the company on its famous quality products, urged the management to continue to educate owners of houses on the importance of using quality paints.

    “This will help us to talk less while trying to convince our customers to choose their quality paints products,” Onipede said.

    Public Relations Officer, Lagos Painters Association, Mr Sheu Arowolo said Berger Paints’ products are some of the best paints in the market as of today.

  • Berger Paints outlines growth strategies

    Berger Paints Nigeria Plc yesterday outlined that product and distribution innovation and new investment to substantially grow sales and profitability.

    The board and management of Berger Paints Nigeria yesterday laid out the underlying dynamics of the company and its strategic growth direction at an interactive session with the investing public at the Nigerian Stock Exchange (NSE).

    Managing Director, Berger Paints Nigeria Plc, Mr Peter Folikwe said the company would focus on increasing its earnings and profitability by leveraging on its new automated factory and increase production output.

    He outlined that the company would seek to increase its market share, optimize return on investment (ROI) and implement risk management culture among others to ensure sustainable growth and returns to investors.

    According to him, top-notch and experienced management, high quality products, efficient market and strong distribution network, effective utilization of modern IT Technology and strong brands are some of the factors that enhance Berger Paints’ competitive edge.

    He noted that effective franchise growth and deployment of POS machine were among the key drivers that shall boost the company’s profitability.

    “We shall increase innovativeness and deepen routes to market to ensure that our products are available in most of the geo-political zones. Our outsourced business partners are being provided massive sales and marketing support to cause a desirable change in trade,” Folikwe said.

    Chairman, Berger Paints Nigeria Plc, Mr Abi Ayida said the company would review its business model to improve its processes and take advantage of investment opportunities in Nigeria irrespective of the challenges in the operating climate.

    He assured that the company would partner with the NSE in some of its corporate social responsibilities (CSR).

    Stockbrokers commended the company’s management for the presentation of facts behind the figures while Ayida rang the closing gong which symbolically closed the market.

    The NSE commended the management of Berger Paints for adhering to the post listing requirements, one of which requires regular provision of information by every quoted company to enable investors make investment decision.

    The Exchange advised the company to sustain its strategic and operational efforts aimed at ensuring shareholder value.

    Executive Director, Regulation, Nigerian Stock Exchange (NSE), Ms Tinuade  Awe assured that the Exchange remained committed to partnering with quoted companies as stakeholders in the market ecosystem.

    According to her, the Exchange aggregates all issues affecting quoted companies, including corporate governance and tax reform and play pivotal role to ensure smooth operation of the companies.

    She commended resilience of Berger Paints despite the tough operating climate.

  • Mass sack at Berger Paints

    Mass sack at Berger Paints

    Berger Paints Nigeria plc has disengaged its entire workforce following a two-week industrial action.

    It was learnt yesterday that the company took the decision because its appeal to the workers to shelve the strike and return to work was rebuffed.

    The workers had continually picketed the company’s head office on Oba Akran, Ikeja, Lagos

    The workers rejected the stoppage of gratuity payment, an action taken by the firm with the money added to staff salary.

    The decision by the company, it was learnt, is that any employee still interested in working should reapply.

    Efforts to speak with the management did not yield result last night.

  • Picketing of Berger Paints continues as negotiations fail

    Negotiations between the Chemical Workers’ Union and the Management of Berger Paints Nigeria Plc, Ikeja yesterday ended in deadlock.

    The workers vowed to continue with the picketing of the company which started four days ago.

    The News Agency of Nigeria (NAN) reports that leaders of the National Union of Chemical, Footwear, Rubber, Leather and Non-Metallic Products Employees (NUCFRLNMPE), could not reach an agreement with the paint manufacturing company’s management over the picketing.

    NAN reports that about 200 workers of Berger Paints on Monday began picketing the firm over the alleged failure of its management to keep to an agreement reached on the exit date, for the collection of gratuity.

    The workers blocked the main entrance of the company’s head office in Ikeja to protest the removal of gratuity payment from its Conditions of Service.

    They carried placards with inscriptions such as, “the labour of our heroes past must not be in vain,” “Peter Iscariot must go,” “Peter the Pharaoh must be stopped,” and “We need decent jobs”.

    Mr Dada Ahmed, General Secretary of the NUCFRLNMPE told NAN that the union and the management of Berger Paints could not reach an agreement over the ongoing picketing.

    Ahmed said that the crisis started when the company’s Board of Directors expunged gratuity from its conditions of service, after both parties reached an agreement on the issue in April.

  • Berger Paints assures shareholders as new factory berths

    Berger Paints assures shareholders as new factory berths

    The board and management of Berger Paints Nigeria Plc have assured shareholders that the company would continue to grow the business value and improve returns on their investments as the paints manufacturing company sets to launch a new top-of-the-range manufacturing plant.

    At the annual general meeting yesterday in Lagos, chairman, Berger Paints Nigeria Plc, Dr. Oladimeji Alo, told shareholders that the impending launch of the company’s automated plant, the first of its kind in Sub-Saharan Africa, is expected to enhance the global competitiveness of the company’s products and increase significantly operational efficiencies.

    He said the new factory, which could be commissioned this year, would bring about tremendous improvement in the company’s operations adding that talks are ongoing with the appropriate authorities to secure tax break as pioneer status.

    Alo outlined that as part of the strategy to sustain the company’s competitive edge, special attention would be placed on increasing earnings and profitability, optimization of existing assets and business operations, investment in the leading brands, entering new categories with emphasis on Nano castings, and driving efficient financial management among others.

    He pointed out that in spite of the challenging operating environment, the company continued to sustain its performance, with emphasis on profitability and value creation for shareholders as profit before tax grew from N249.3 million in 2014 to N565.2 million in 2015, representing a 126.7 per cent increase.

    He said the company earmarked N217.37 million as dividends for the 2015 business year in demonstration of the confidence it has in the future sustainability and to reward shareholders for their investments.

    He assured shareholders that their request for bonus shares would be considered at the appropriate time while the company would more of its products as part of the new measures to improve community social relations (CSR).

    In his remarks, managing director, Berger Paints Nigeria Plc, Mr Peter Folikwe, said that one of the strategic plans to boost earnings was to reduce cost through operational efficiency.

    He added that consumer education would be accorded high priority to strengthen the relationship between the company and its customers.