Dutch dairy company, FrieslandCampina WAMCO Nigeria, has announced a turnover of N324.7 billion for the financial year ended December 31, 2022.
Ben Langat, Managing Director, FrieslandCampina WAMCO Nigeria Plc and Sub-Saharan Africa Cluster, made this known in a statement by Mrs Ore Famurewa, Executive Director, Corporate Affairs of the company on Thursday in Lagos.
Langat said that turnover increased by 21 per cent from N268.4 billion in 2021 to N324.7 billion in 2022.
He said that profit before tax increased by six per cent from N12.7 billion in 2021 to N13.5 billion in 2022, due to lower finance costs and cost management measures.
The managing director said that the company recorded a growth in net sales due to focus on revenue growth management.
He, however, said there was a drop in volume which was as a result of high inflation and decline in the overall consumer purchasing power.
He noted that the shareholders unanimously approved a total dividend payout of N2.93 per 50k ordinary share.
According to him, as no interim dividend is paid in 2022, a final cash dividend payout of N2.93 per 50k share was approved by the shareholders.
“To mitigate the extremely difficult global economic challenges coupled with unprecedented inflationary pressures witnessed in 2022, we upscaled our commercial execution with relentless focus on revenue growth management and redistribution initiatives to stay agile and competitive.
”We made investments in our brands via diverse initiatives, optimising market spend with an increased focus on physical availability.
“Leveraging our strong brands and superior commercial expertise has helped to sustain our leadership position and deliver significant top-line growth,” he said.
Langat said other achievements that supported the company’s stability and performance included launch of Peak Yoghurt one litre pack and successful brand activations like the annual Three Crowns mum of the year campaign.
”The company also introduced Nunu Yoghurt, made from 100 per cent locally sourced milk and produced in a unique mobile factory, which is the first of its kind in Nigeria,’” he stated.
The company boss described it as another success recorded in the actualisation of its sustainability and backward integration plans in support of the Federal Government’s dairy development policy.
He said that several awards and recognitions were also received for the company’s excellence in marketing, safety, quality and manufacturing.
“These external and global recognitions are a validation of our operational excellence and continuous improvement culture in the face of the tough business climate.
“We will continue to innovate and drive accessibility to our portfolio by incorporating more local content to drive more competitiveness in the market.
“We remain committed to delivering quality, affordable and accessible nutrition to millions of Nigerian homes and to build a more productive and sustainable future in Nigeria,” he said.
Langat, however, said in spite the expected difficulties and challenges in the business environment, the board and management remain confident about the future of Nigeria and would continue to invest in the country.
“We strongly believe that our company’s brands, which are leaders in the dairy sector will continue to grow on the back of innovation and our robust route-to-market,” he said.
Langat noted that the company would pursue its backward integration and portfolio diversification strategies with renewed energy for continued prosperity and long-term sustainability of business.