Directors of UAC of Nigeria, at the weekend offered to pay a dividend of 100 kobo per share for its operations in the year ended December 31, 2016, subject to approval of shareholders when they meet on June 14, 2017 in Lagos.
Qualification date is May 15, while closure date is from 16 to 19.
Sales revenue for the period rose 15% from N73.771bn in 2015 to N84.606bn, out of which cost of sales gulped 79.48% or N67.25bn, up from 77.21% of previous year’s N56.962bn, resulting in gross profit of N17.355bn as against the previous N16.808bn.
Other operating income rose to N3.882bn from N1.968bn; selling and distribution expenses stood at N3.39bn, slightly lower than previous year’s N3.463bn; administrative expenses rose to N7.331bn from N7.202bn. Other operating losses rose by N1.727bn or 241.2% to N2.443bn, as against the N716.268m of 2015; leaving operating profit at N8.072bn, 9% up from N7.395bn.
Net finance cost dropped 4% to N1.378bn from N1.449bn,just as even the company’s share of net profit from its associates and joint ventures dropped 39% to N1.089bn from the previous N1.787bn.
Profit before tax was up 1% from N7.733bn to N7.774bn, income tax expense dropped 18% to N2.108bn from N2.57bn, resulting in profit after tax of N5.666bn from N5.162bn, translating to earnings per share of 195 kobo from 137 kobo in 2015.
Meanwhile, despite a growth in revenue from N5.113bn in 2015 to N6.344bn, UACN Property Development Company, a subsidiary would not, owing to a loss before and after tax and despite a tax rebate, arising from a combination of cost of sales jump and an “other losses” of N1.695bn recorded during the period.
Cost of sales rose to N5.188bn from N3.594bn, resulting in gross profit of N1.156bn from N1.519bn. Fair value gains on investment properties stood at N1.508bn, from N252.678m; gains on disposal of investment properties stood at N732.372m from a loss on disposal of properties of N57.365m.
Selling and distribution expenses increased to N130.857m from N107.16m; administrative expenses increased to N1.822bn from N1.378bn; just as the company earned N32.827m in other operating income, from N575.283m. With the other losses, operating profit stood at N75.711m from N804.035m.
The company recorded N624.993m in finance income, up from N607.981m in 2015; while finance cost jumped to N2.825bn from N2.67bn, following which net finance cost came to N2.2bn from N2.062bn.
Operating loss before impairment was N1.035bn as against the N528.851m profit; impairment of investment and receivable in UPDC Metro, a joint venture and ‘UHL’ stood at N747.907m from the previous year’s N473m. Loss before tax for the year was N1.783bn from a profit of N55.851m; while tax credit of N233.069m, up from the previous N324.926m, led to loss for the year of N1.55bn or loss per share of 88 kobo; as against the previous N380.778m profit or 25 kobo earnings per share.