Chairman of Honeywell Flour Mills Plc (HFMP), Oba Otudeko has said the company will sustain growth in revenues through innovation and capacity expansion. He also assured stakeholders that the future of the business would be shaped by innovation, introduction of new and unique food products while maintaining its commitment to increasing local content.
This promise was made yesterday by the company’s Chairman Dr. Oba Otudeko, at its 10th Annual General Meeting (AGM) held in Lagos.
Addressing shareholders at the 10th annual general meeting (AGM) in Lagos, Otudeko said HFMP remained focused on growth and was committed to entrenching itself in the markets where it currently operates while capturing new markets.
“My conviction that ours is a company of the future is borne out of the knowledge that we are making significant investments in organic growth and expansion which is cardinal to meeting the needs of our growing customer base and securing future earnings,” he said.
Speaking on some of the measures the company has employed to promote efficiency and growth, Otudeko said: “We have increased our capability and measurement of external market trends, and we regularly collate customer and consumer insights to better develop category and brand strategies. Our strategy focuses on investing in markets and segments which we identify as attractive because we are confident that we can secure profitable growth and build further competitive advantage.”
Also speaking, the Managing Director, HFMP, Lanre Jaiyeola, assured shareholders that the company would strengthen revenue by expanding its portfolio and marketing new products tailored to consumers’ taste, nutritional needs, and pockets.
“Following deep research work on Nigeria’s consumer behavior and needs, we are in a position to produce safe, healthy and affordable food products for all Nigerians”, Jaiyeola said.
For the financial year ended March 2019, the company’s revenue increased by four per cent to N74.4 billion, total assets increased by 10 percent to N137.5 billion, while the company had a gross profit margin of 15 per cent. Operating profit reduced by 58.7 per cent to N3.9 billion, reflecting the major impact the traffic situation in Apapa and environs had on the evacuation of finished goods to customer locations.
Meanwhile, the equities market gained 1.09 per cent yesterday as the Nigerian Stock Exchange (NSE) All-Share Index closed her at 27,579.85, while market capitalisation added N144.5 billion to be at N13.4 trillion.