Download:DAILY PRICE LIST FOR MUTUAL FUNDS, REITS and ETFS
Cadbury Nigeria Gets New MD, Moves to Improved Performance
The Managing Director of Cadbury Nigeria Plc, Mr. Roy Naaman is to quit at the end of the month and will be replaced by Mr. Muhammad Amir Shamsi.
Namaan took over the running of Cadbury Nigeria January 2015 as the board appointed him to reposition the company for better performance. Cadbury Nigeria Plc had hoped to consolidate its market share and tap into other expanding markets in West Africa with the appointment of Namaan.
When he was appointed, Mondelçz International, which is the parent firm of Cadbury Nigeria had stated that Naaman, as a highly experienced brand professional would lead the snacks group’s expansion in West Africa and deliver consistent and strong profit to shareholders.
“In Roy, we are very pleased to gain a highly experienced leader, with a strong track record in driving sustained and profitable growth. In his previous role, Roy was instrumental in spurring business expansion in southern Africa and the Caucasus. He is a most valuable addition to our company,” Romeo Lacerda, President, Markets, Eastern Europe, Middle East and Africa, Mondelçz International, had said.
However, the company has not made significant progress since 2015. For instance, the company posted a decline of 46 per cent in profit after tax in 2015. Specifically, Cadbury Nigeria recorded a revenue of N27.825 billion for the year ended December 31, 2015, showing a decline of nine per cent from N30.518 billion, while profit after tax stood at N1.153 billion in 2015, down by 46 per cent to N2.137 billion in 2014.
The company is heading towards a dismal performance in 2016, having posted a loss for the nine months ended September 30, 2016.
Cadbury Nigeria posted a turnover of N21.326 billion for the nine months in 2016, up marginally from N21.073 billion in the corresponding period of 2015. Cost of sale rose from N14.671 billion to N16.848 billion, while a loss after of N842 million was recorded in 2016, compared with a profit of N28.55 million in the corresponding period of 2015.
Although the management of Cadbury Nigeria did not give reasons for the exit of Namaan, stakeholders said it might not be unconnected with the continued efforts to reposition the company.
According to the Cadbury Nigeria, Shamsi will resumed as the new MD on February 1, 2016. President of Progressive Shareholders Association of Nigeria, Mr. Boniface Okezie said that the new management should work on returning the company back to profitability and ensure payment of dividends.
