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CHAMPION Breweries Plc has assured its shareholders that its plans to cut operation costs will soon return the company to profitability and ultimately payment of dividends.
Assuring shareholders at its 43rd Annual General Meeting (AGM) in Lagos, Chairman, Dr. Elijah Akpan, said the Akwa Ibom-based brewing company has gained momentum through deliberate steps towards achieving its long-term growth.
According to him, the Board and Management have taken steps towards ensuring that the company remains profitable.
“Besides management successfully launching the new Champion Beer bottles, it has also undertaken major capital investment with respect to providing alternative energy solution for the Company.
“This is with a view to significantly reducing the production cost, hence positioning itself favourably to compete in the market,” he said.
This, he added, has further boosted management’s morale in achieving growth, development and success of the company in the incoming financial year.
He also informed shareholders that as part of management’s steps to increase the stock’s value and payment of dividends, the company has concluded the capital re-structuring exercise in the year under review.
“The effect is that the N8.5 billion in the company’s Accumulated Loss account as at December 31, 2017 was transferred to its share premium account, thereby reducing it by the same amount” he said.
He acknowledged shareholders’ confidence, trust and support for the board, management and employees, saying, “With the feat being achieved, we are confident that your patience in your investment will be rewarded in the nearest future.”
He also expressed the board’s appreciation to the management, technical partners and investors for deployment of improved technology, marketing standards and best practices in which the company now operates, while also commending the Akwa Ibom State Government “for providing a conducive environment to operate.”