The Managing Director/Chief Executive Officer, May & Baker Nigeria Plc, Mr. Nnamdi Okafor has said the company would strive to achieve breakthrough performance in the coming years, the challenging operating environment notwithstanding.
Okafor gave this assurance at the end-of-year media parley in Lagos, saying that in 2019, the company was able to conclude its N2.5 billion rights issue.
According to him, the fund from the offer has been fully applied for the various purposes as stated in the Rights circular which include facility expansion, debt repayment, investment in their vaccine production subsidiary and marketing and promotions.
“We also invested in key strategic initiatives in 2019. We took steps forward in actualising our new anti-sickle cell medicines and nutraceuticals. Given the stage we have reached, we are hopeful these products will be launched in 2020,” he said.
The MD noted that the results of the first three quarters of 2019 showed that whilst the company is experiencing a drop in revenue, its profit before tax has remained uptick.
“Our revenue for the period dropped from N6.54 billion for the nine months of 2018 toN5.91 while our profit before tax rose by 14.2 per cent to N696.44 million against N609.94 million recorded in corresponding period of 2018. This profit growth was driven by improved operating efficiency, reduced finance charges due to right issue proceeds and extraordinary income from short term investments. We made more profit per unit of sale compared with 2018. Consequently, Our pre-tax profit margin improved by three percentage points to 11.8 per cent in third quarter 2019 as against 9.3 per cent in third quarter 2018. Net profit margin also improved by almost two percentage points from 6.3 per cent to 8.0 per cent,” he said.