- Records N437.196bn Revenue in 2021 Financial Year
ALTHOUGH it sacked hundreds of its workers in May last year by declaring redundancy, the Nigerian Breweries PLC (NB PLC) has less than nine months after that declared a 71.8% rise in its profit.
The Management of NB PLC had attributed the redundancy to “on-going efforts to re-align Company operations in order to remain competitive and profitable.” However, an investigation by National Record revealed a carefully laid plot in which the leadership of NUFBTE under Comrade Lateef Idowu Oyelekan had contrived the redundancy to ease out of the union members perceived to be agitating against his determined effort to elongate his tenure in office through an emergency delegates’ conference.
The redundancy plot, National Record had reported, was hatched with the support of the top leadership of the Nigeria Labour Congress (NLC) and some bureaucrats in the Ministry of Labour and Employment.
NB PLC doing well, says Board of Directors
A breakdown of the audited accounts of the NB PLC released by its Board of Directors indicates that the company’s profit for the year 2021 grew by 71.8%, rising from N7.525 billion in 2020 to N12.927 billion in 2021.
Similarly, the company in its audited financial statement for the year ended December 31, 2021, declared a revenue of ₦437.196 billion, which represents a 29.7% increase compared to ₦337.006 billion recorded during the corresponding period in 2020.
A statement signed by the Company Secretary/Legal Director, Uaboi Agbebaku, disclosed that the Board of Directors commended the management for placing the company on the path to recovery from the debilitating impact of the COVID-19 pandemic and other challenges faced during the year.
According to the statement, the Board would be recommending to shareholders at the company’s forthcoming Annual General Meeting (AGM) the declaration of a total dividend of ₦12.921 billion at 50k per share, representing a 100% dividend payout ratio.
The company had in October 2021 paid an interim dividend of N3.230 billion which translated to 40k per share. The final proposed dividend of N9.69 billion at N1.20k per share will be payable to shareholders upon approval on April 25, 2022.
The statement also noted that only qualifying shareholders whose names appear on the company’s Register of Members at the close of business on March 9, 2022 will be paid the final dividend. According to the statement, the Board would also recommend shareholders for their approval at the forthcoming AGM, a right of election for Qualifying Shareholders to receive new ordinary shares in the company instead of the final dividend in cash.
Agbebaku revealed that the company remains committed to delivering improved performance in the years ahead. It would also continue to deploy cost-efficient measures to keep its balance sheet strong and healthy while ensuring that the safety and welfare of its employees, customers, and partners remain well protected.
The redundancy
National Record had reported that the management of Nigerian Breweries PLC had in a meeting with the leadership of the Nigerian Union of Food, Beverages and Tobacco Employees (NUFBTE) held on Thursday, 27th May, 2021 at the company’s Lagos Brewery Bar signed an agreement that abruptly terminated the employment of a total of 250 employees of the company.
The agreement signed between Nigerian Breweries and NUFBTE leadership reads: “Management briefed the Union on the Company’s plan to carry out an outplacement and early retirement exercise as part of the on-going efforts to re-align Company operations in order to remain competitive and profitable.”
It further stated that: “In recognition of the hardship the redundancy exercise may impose on the affected employees, Management has decided to pay an ex-gratia goodwill bonus in addition to the NJIC negotiated redundancy benefits in the industry. Therefore, the exit package will be as follows:
“1. Three (3) months basic salary in lieu of notice for those on redundancy list and six (6) months’ salary in lieu of notice for those proceeding on early retirement
“2. Industry negotiated redundancy benefit
“3. Service Gratuity (Ordinarily, this is mutually exclusive of 2 above)
“4. Pension fund contribution in line with the rules of the fund
“5. Ex-gratia goodwill bonus.”
