Fidson’s shareholders task directors over rising unclaimed dividends

By Peter Egwuatu

SHAREHOLDERS of  Fidson Healthcare Plc at the company’s Annual General Meeting, AGM, in Lagos, tasked the Board and management of the company to enhance its efforts in reducing the rising unclaimed dividend, even as they approved the N75 million dividend proposed by the Board for the financial year ended December 31, 2016.

The dividend translates to five kobo per 50 kobo ordinary share held by each shareholder.

Speaking at the AGM, the shareholders also expressed dismay on the increase in fake drugs, saying “It is a shame in this country that we have continued to see fake drugs around and this act affects not just the health of the people, but the performance of genuine local manufacturers like Fidson.

“It is time for the pharmaceutical firms in the country to partner with the federal government to fight against this situation by persecuting the smugglers and those who produce fake products without approval from regulatory authorities.”

The shareholders further admonished the management of Fidson to be aggressive in its marketing drive saying “there is need to have synergy with the government hospitals around the country to make locally and approved manufactured drugs available in all the hospitals. If government hospitals patronise Fidson products, this will enhance our turnover and profitability.”

Addressing shareholders at the meeting, Mr. Felix Ohiwerei, Chairman, Fidson Healthcare, said the completion of the company’s new factory and concentration of production on one site is important milestone for the company.

He stated:” The year 2016 was difficult one as the economic decline which started in 2015 affected the company up to 2016 when the country went into recession. Turnover for the year 2016 was N7.655 billion, representing a decline of seven per cent when compared with N8.210 billion in 2015. Operating profit was N1.090 billion compared to N1.516 billion in 2015, while profit after tax dropped to N316.762 million from N744.378 million recorded in 2015

Continuing, he said” The Board is confident that the company is in good position to remain a leading player in the industry. We are confident that the company will continue to yield good returns to shareholders.”

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