Daar Communications Reduces Losses by 36% to N1.4 Billion


Goddy Egene and Ndubuisi Francis in Abuja

Daar Communications Plc has recorded a growth in gross earnings and reduction in losses for the year ended December 31, 2019, thereby raising investors’ hopes for returns on their investments.

Addressing the shareholders at the 12th annual general meeting (AGM) held virtually in Abuja, yesterday, Chairman of Daar Communications Plc, Chief Raymond Dokpesi Jnr. said gross earnings of N5.15 billion was recorded in 2019, showing an increase of 11 per cent from N4.64 billion posted in 2018.

According to him, the company recorded a loss after taxation of N1.37 billion during the year under review, compared to N2.17 billion recorded in 2018, representing a decrease of 36 per cent.

Dokpesi Jnr. apologised to shareholders for the inability to return the company to profitability as promised last year, blaming the cause on the impact of the harsh economic condition that attended the Nigerian Economy last year and the impact of the global COVID-19 Pandemic which ravaged the world from the last quarter of 2019 till date with its negative impact on businesses.

He, however, reassured shareholders of a brighter future going forward, saying mechanisms are in place to actualise the return to profitability project.

“Our most valued shareholders, I want to reassure you that the board of your company will not be deterred by the harsh economic reality in the country. During the year, the board of your company reviewed the earlier approved restructuring plan of the company in line with the current realities in the global broadcast system environment and a new strategy of blueprint was fashioned out of it for implementation. The implementation of the strategy which is in progress has been tailored towards repositioning the company to operate as autonomous business segment taking into consideration the current development in the new media and with new income streams so as to operate and profitably, “ Dokpesi said.

Also, addressing the shareholders on the company’s future plans, Group Managing Director of Daar Communications Plc, Mr. Tony Akiotu, said the company would continue to close the loss gap to return the group to full profitability through the strict implementation of the planned re-engineering agenda.

Akiotu said: “As an organisation, we are doing our best to rejuvenate, re-energise, and re-engineer and repackage our entire operations, including the diversification of our business portfolios into some other new businesses which at the next Annual General Meeting, the thrust must have crystallised. “