NASCON Rewards Shareholders with Double Dividend Amidst Impressive Growth
By Patience Ikpeme
Shareholders of NASCON Allied Industries Plc are set to receive a significantly increased dividend payout of N2 per share, a 100 percent rise, following the company’s strong performance in the financial year ending December 31, 2024. The company’s management has attributed this substantial growth and overall success to the effective expansion of its market presence.
According to NASCON’s leadership, the deliberate and extensive market expansion initiatives undertaken during the year directly resulted in a considerable surge in the company’s sales volume. This increase in sales subsequently fueled a notable rise in both revenue and overall profitability for the period.
At the Annual General Meeting (AGM) held in Lagos on Thursday, shareholders unanimously approved the proposed dividend of N2 per share. The Chairman of NASCON, Olakunle Alake, informed stakeholders that operational efficiency and well-defined strategic initiatives were the fundamental drivers behind the company’s commendable performance throughout the year.
Addressing the shareholders, Mr. Alake stated, “Our performance has been commendable, a testament to our strategic initiatives, operational efficiencies, and the dedication of our workforce. We have successfully expanded our market presence, which has been instrumental in driving sales. Our continued focus on customer satisfaction and our commitment to delivering high-quality products have allowed us to gain new customers while retaining the loyalty of existing ones.”
He further added, “During the year, we adopted several strategic initiatives aimed at enabling the Company to take advantage of growth opportunities. We demonstrated our commitment to sustainability by encouraging responsible resource use. We also engaged in community development efforts, alongside numerous employee welfare and development programs. These efforts reflect our ongoing commitment to value creation for all our stakeholders.”
Mr. Alake noted, “In recognition of this positive performance and our commitment to delivering value to our shareholders, we recommend the highest dividend ever declared in our company’s history. This decision reflects our confidence in the company’s prospects and aims to reward our shareholders for their continued support.”
Looking ahead, he conveyed that the company’s primary focus will remain on propelling growth through innovation, further enhancing operational efficiency, and consistently delivering value to all stakeholders. Mr. Alake affirmed NASCON’s commitment to investing in its workforce and in technological advancements. “We will continue to explore new market opportunities to expand our footprint,” he asserted.
The Managing Director of NASCON, Thabo Mabe, described 2024 as an exceptionally positive year for the company, stating, “We achieved a profit growth of 14 per cent to N15.6 billion, thanks to strong demand for our core products and our strategic market presence.”
Mr. Mabe explained, “We optimized strategic opportunities that have positioned us for continued growth. Our operational efficiencies have improved, enhancing our overall profitability.” For the current year, 2025, he outlined key objectives, including maintaining the upward trajectory of revenue growth, venturing into new markets, and broadening the company’s product lines. He concluded by stating, “We will further invest in our sustainability initiatives and aim to reduce carbon emissions. Our workforce development programs will also continue, focusing on upskilling and fostering a culture of innovation.”
For the financial year ending December 31, 2024, NASCON reported a significant revenue growth of 49 per cent, reaching N120.4 billion. The company’s gross profit saw an increase of 25 per cent to N55.5 billion, while earnings before interest, taxes, depreciation, and amortization (EBITDA) rose by 19 per cent to N27.4 billion. Profit before tax grew by 15 per cent to N23.7 billion, and profit after tax increased by 14 per cent to N15.6 billion. Consequently, earnings per share climbed by 11 per cent to N5.77, supporting the proposed dividend increase of 100 per cent to N2.00 per share.
Shareholders who spoke at the AGM unanimously commended the company’s impressive financial results for 2024 and the substantial dividend declaration.
Mrs. Bisi Bakare, the National Coordinator of the Pragmatic Shareholders Association, lauded the company’s remarkable financial achievements. She noted, “We observed revenue growth of 48.94 per cent to N129.39 billion, up from N18.8 billion. Despite the macroeconomic challenges we faced, profit after tax reached N15.6 billion, up from N13.7 billion. I commend the entire board and management for this outstanding result. Additionally, I appreciate the board for declaring a dividend of N2.00. We thank the board for that, and we hope for increased dividends next year.”
Another shareholder, Dr. Umar Farouk, urged the management not to become complacent but to maintain the commendable trajectory of strong performance, especially considering the unfavorable economic conditions that negatively impacted many other companies.
Mr. Moses Igbrude, another shareholder, also praised the company for the N2.00 per share dividend and expressed optimism that the management would achieve even greater results in the coming year.
The newly appointed Deputy Managing-Director of NASCON, Aderemi Saka, expressed satisfaction that the company demonstrated resilience, achieving remarkable revenue and strong performance despite the various macroeconomic challenges that marked the year 2024.
“We maintain our market share and increase our revenue. We will keep our head up, continue to provide quality products that stand the test of time and improve on our shareholders value so that we can remain a strong contender in the market,” Mr. Saka affirmed.
