Dangote finally turns corner
Nigerian company reports a profit for the 15-month period after four successive losses under Tiger Brands
Nigeria’s Dangote Flour Mills, which failed to make a profit under Tiger Brands’ control, has reported a 10.6-billion naira (R445m) after-tax profit for the 15 months to December 2016. After four successive years of losses, Tiger Brands sold the Nigerian-based consumer products’ company back to Aliko Dangote for $1 in December 2015. At the time Dangote, who is Africa’s richest man, undertook to inject 10-billion naira to revitalise the loss-making company. On Thursday, the company said the profit hike was driven by a more than doubling of revenue to 105.8-billion naira compared with 48-billion naira in 2015. During the review period there was a sharp increase in sales of flour, noodles, spaghetti and other pasta products. The 10.6-billion naira after-tax profit represented an improvement on the 12.5-billion naira loss notched up in the 12 months to December 2015. "Since the takeover, we have taken a lot of steps to reposition the company through expansion to drive growth," Dangote ...
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