Industrial and Medical Gases Nigeria (IMG) Plc, a leading gas manufacturer, has announced a net profit of N372 million for the fiscal year 2021.
The profit represented a 27 percent increase over the N292 million earned in 2020.
Mr. Abiodun Alabi, Chairman of IMG, announced the company’s hybrid 63rd Annual General Meeting (AGM) on Friday in Lagos.
Its stockholders also approved the issuance of one bonus share for every five ordinary shares.
Alabi, represented by IMG Non-Executive Director Mr. Adebayo Adeleke, stated that the bonus shares underscored the company’s strategic decision to reinvest profits to build a stronger financial foundation shortly.
In reviewing the industrial gas market, he noted that, despite the challenging operating environment, the company generated impressive profits.
According to him, some of the challenges in 2021 will be insufficient/expensive foreign exchange to maximize opportunities, plant breakdowns, and an increase in energy costs.
“Total revenue for the period was N3.69 billion, up from N3.17 billion in 2020, and profit after tax for the year increased to N372 million, up from N292 million in 2020.”
“Our bottom line increased due to a focus on operational efficiencies, tight cost control measures, improved service delivery, new business generation, and determined efforts by management and staff,” he said.
Mr. Ayodeji Oseni, the company’s Managing Director, explained that the company’s strategic goals were to position itself for global competitiveness and increased shareholder value through the development of innovative products and services.
Oseni expressed confidence that the company would continue to perform well, regardless of the nature of the operating environment.
“Our short and medium-term strategic objectives will continue to align with the dynamism prevalent in the marketplace today, even as we focus on the future and expansion of the business.”
“Management and staff will continue to focus our efforts and resources on the Nigerian economy’s growth opportunities in the food and beverage, oil and gas, healthcare, energy, and agricultural sectors.”
“As a company, we will continue to position ourselves to capitalize on opportunities in these sectors and boast our performance in 2022,” he said.
Meanwhile, the company’s shareholders praised its performance in the face of a difficult operating environment.
Mrs. Bisi Bakare, speaking on behalf of other shareholders, stated that they were pleased with the company’s overall performance.
“We are pleased with IMG because, despite the operating environment’s challenges, the company made profits all around.”
“Given where the company is coming from, the bonus shares declared are worth even more than the dividend.”
“We believe the company’s future is bright,” she said.
According to the News Agency of Nigeria (NAN), the recent divestment of Linde Group from the company and acquisition of its 60% stake by T.Y. Holdings increased the Holding’s stake to 72%.
As part of the brand positioning, the company’s name was changed from BOC Gases to IMG.