Flour Mills of Nigeria Plc, has released its financial statements for the year ended March 31, 2017, revealing a 63.1 percent dip in the group’s profit.
The results released last week at the Nigerian Stock Exchange, NSE, showed that N8.8 billion was declared as profit for the 2017 financial year as against N14.4 billion reported for the same period of 2016.
The firm’s pre-tax profit for the year ended March 31, 2017, stood at N10.5 billion in contrast to N11.5 billion a year ago, on rising finance costs which increased 45 percent to N32.5 billion from N22.4 billion recorded for the year ended March 2016.
The group’s finance costs spiked on account of high interest on bank loans and overdrafts which settled at N29.0 billion as against N21.2 billion an increase of 35 percent.
FMN’s financial statements also showed the group’s revenue for the year in review increased to N524.5 billion against N342.6 billion in 2016.
On the backdrop of the results, the directors recommended N2.62 billion dividend for shareholder approval at the forthcoming annual general meeting.
The dividend represents N1.00 per ordinary share of 50 kobo each, same as declared in 2016.