SHAREHOLDERS of 11PLC (formerly Mobil Oil Nigeria Plc) have approved N2.6billion for payment as dividend translating to 800 kobo per share for its shareholders for the financial year ended December 31, 2017. However, the company‘s profit dropped marginally by 1.4 percent to N15.3 billion in 2017 from N15.5billion posted in 2016. However, financial sales revenue grew significantly to N125.26 billion in 2017, up by 33 percent from N94.11 billion recorded in 2016.
Speaking during its 40thAnnual General Meeting, AGM, recently in Lagos, Chairman of the company Ramesh Kansagra, said “I thank you all for recognizing and acknowledging our efforts in 2017, the positive year we saw a result of huge effort towards enhancing sales and marketing to bring further awareness to our products and services as far as the public is concerned”.
Shareholders lauded the company’s giant strides but expressed concern over the marginal deep in profit, a matter which the chairman ascribed to hard hurdles of operating in the industry.
Kansagra said: “As regards reduction in profitability, I will like distinguished shareholders to be aware that the cost of oil product business in Nigeria is essentially government regulated. We are all expecting the government to deregulate, but instead of deregulating, not only have they continued to regulate, they set the price at which we can sell some of our key products and what we can buy them.
Government has not largely encouraged private enterprise to thrive in this industry; private enterprises have very little money to make in the sale of oil products”.