By InvestAdvocate

The Chairman of   Dangote Cement Plc, Alhaji Aliko Dangote has assured shareholders of the company of higher performance and returns, given the huge investments it is making on its expansion within and outside Nigeria.

The leading manufacturing giant recorded  a profit after tax of N149.632 billion, up from N120.952 billion in 2011 and recommended a dividend of N51 billion for shareholders. The dividend, which translated to 300 kobo per share is 140 per cent higher than the 125kobo paid in 2011.

Addressing shareholders at 4th Annual General Meeting held in Abuja, Dangote said  the future remains  very bright for  the company and its shareholders.

“The future remains bright for us as we fast track our expansion projects both within and outside the country. The ban on the importation of cement has opened a new vista of opportunity for local manufacturers who are expected to reap the inherent benefits soon,” he said.

Dangote disclosed that the company has commenced the  export of cement to Ghana last March as part of the company’s strategy to exploit the opportunities   that abound in the West African sub-region, declaring that DCP was clearly on the right path and was poised to for improved performance in 2013.

Speaking on the expansion programme,  the chairman said the company  would next Monday lay foundation for a cement plant in Tanzania, while two additional plants would be inaugurated in Nigeria next year.

He said the only 300 kobo was paid as dividend out of the earning per share of 892 kobo due to the need to conserve funds for   the company’s expansion project.

Approving the dividend  the  shareholders of the company commended the board and management for the impressive results and the dividend payment.

Although the payment of the dividend was supposed to commence June 3, Dangote said given the cash position of the company and need to satisfy shareholders, the payment would commence today.

“The company has the cash and there is no need to delay payment of the dividends. Shareholders, whose names appear on the register of the company as at May 3, will begin to receive their dividends tomorrow (today),” he said.

Dangote assured the shareholders that given the huge investments the company is making on expansion across  within and outside Nigeria, profitability will improve, which would in turn lead to more dividends for shareholders in the future.

On financial performance for 2012, Dangote  said  turnover increased from N241 billion to N285 billon, an increase of 18 per cent, while profit after tax rose from N120 billion to N149.632 billion.

“This is attributed largely to increase in sales volume from 8.66 million tonnes in 2012 to 10.32 million metric tonnes due largely to Ibese plant being operational,” he said.