After three years of virtual meeting, due to Covid-19 pandemic, shareholders of Fidson Healthcare Plc on Monday 11, September 2023, had the opportunity to meet physically and approved a dividend of 55 kobo that was proposed by the board of directors for the financial year ended December 31, 2022.
The 24th Annual General Meeting (AGM), which was held in Lagos, had other shareholders that couldn’t attend, witnessed the meeting virtually. The 55 kobo dividend, amounts to N1,262,247,951, 25, representing an increase of 10% over that of 2021 financial year.
Commenting on the dividend, chairman of Fidson Healthcare board of directors, Segun Adebanji, explained that the payout ratio is informed by many factors, including the need to conserve cash for growth and expansion of the business and align with the company’s dividend policy, while taking into account the prevailing economic realities.
The dividend is subject to the deduction of appropriate statutory withholding tax, while payment will be made to shareholders whose name appears on the register of members on 12th September 2023. The share price closed at N15. 22kobo on the floor of Nigerian Exchange Limited (NGX) on Monday.
Highlight of the 2022 financial performance shows that turnover was N40,634 billion which is above N30,861 billion that was recorded in 2021, representing an increase of 31.7%. operating profit grew by 28%, from N5.862 billion in 2021 to N7,488 billion in 2022. Profit before tax increased from N4,717 billion in 2021 to N5,781 billion in 2022, representing a 29% increase. Profit after tax increased from N3,719 billion in 2021 to N4,187 billion in 2022, representing an increase of 12.5%.
Adebanji noted that in –spite of the challenging operating environment the growth in volume and overall performance year on year continued as a result of consistent improvement in operational efficiency, the introduction of new products, sustained investments in brand building, manufacturing capacity enhancement and good team work , among various functions within the business.
“the board and management will continue to strengthen the internal control mechanism and invest in the next generation of leaders for business in order to sustain performance excellence and embed a healthy corporate culture, given the company rapid expansion, useful collaboration and workforce empowerment”
Fidson Healthcare Plc started operations on March 1, 1995, as a local distributor of pharmaceutical products. Barely a year after, the company started importing its own brand of finished medicines introducing Ciprotab and Peflotab brand of quinolones to the market.
By July 2002, Fidson set up its first local manufacturing facility and later became the first company in sub-Saharan Africa to manufacture Antiretroviral (ARVs) drugs in March 2005.
In February 2007, Fidson set up a second manufacturing facility and ceded the former manufacturing facility to an international joint venture project, which led to setting up of Ecomed Pharma Limited. In November of the same year, the company received the NIS ISO 9001:2000 certification of its Quality Management System by the Standard Organization of Nigeria (SON).
Expanding its business further, the company was listed on the floor of the Nigerian Stock Exchange, NSE to become a publicly quoted company in 2008 and completed its 3rd Factory (FPL) in the same year.
Fidson completed its 4th Factory An Ultra-Modern WHO Compliant Plant in Ota, Ogun State in 2016 and increased its capacity to manufacture more products across various therapeutic categories.
