Chairman, Daar Communications Group, Chief Raymond Dokpesi, Jnr.
By James Emejo in Abuja
Despite modest improvement in earnings of N5.6 billion and 6.9 billion in 2013 and 2014 respectively, Daar Communications Plc recorded a loss of N3.4 billion in 2013, according to its annual financial statements for both periods.
The deficit, which was however reduced to N107 million in 2014, was largely blamed on increasing cost of operation which was not matched with corresponding growth in earnings due to dwindling advertising budget.
But addressing shareholders in Abuja at the joint Annual General Meetings (AGM) for the two-year period, Chairman, Daar Communications Group, Chief Raymond Dokpesi, Jnr. said nevertheless, the company recorded growth earnings of 33 per cent and 23 per cent respectively for the periods in review.
He further assured of a brighter future for the company following reforms.
He said: ” I want to assure you that the new Board of your company under my chairmanship has taken a holistic review of operations of the company with a view to ensuring total restructuring of the company for efficiency and economy in its operations.
“It is also expected that the restructured company will be able to create greater dominance in the advertising revenue in the industry and consequently better financial performance in the coming years. I irrevocably promise you that all necessary measures have been taken to return your company to sustainable profitability which will ultimately translate to better returns on your investment in the company.”
The chairman further noted that the company had cleared all its tax obligations and resolved the lingering debt commitment between Daar Communications and Fidelity Bank Plc in respect of a loan for the hosting of the 2009 U-17 World Cup.
A letter of non- indebtedness had also been received from the bank, he added.
Moreover, he stated that Daar Communications had entered a settlement term with its satellite providers- Intelsat Global Services Limited and consequently obtained a waiver of over $2 million on the outstanding liability to the latter which provided the Daar Group with the opportunity to settle the debt at a discounted sum of $1.2 million as full and final settlement.
The chairman said the board had also reviewed all major cases pending including political cases the company as well as decided to initiate out of court settlement for all the litigations.
He reassured Shareholders of greater prospects as a result of anticipated relative political stability and a speedy passage and faithful implementation of the 2016 Federal Government spending plan.