Skyway Aviation Handling Company Boosts Dividend Payout by 81.82%
Skyway Aviation Handling Company (SAHCO) has announced a significant 81.82 per cent increase in its dividend payout to shareholders, rising to N406.07 million in 2023 from N223.34 million the previous year.
At the company’s annual general meeting in Lagos on Thursday, Chairman Taiwo Afolabi revealed that SAHCO would be paying a 30 kobo dividend per ordinary share of 50k, up from the 16.50k per share distributed in 2022.
Afolabi stated, “The Board of Directors, subsequent to the reporting date, recommended the payment of a dividend of 30 kobo (2022: 16.5 kobo) per share on the issued ordinary share capital of 1,353,580,000 ordinary shares, amounting to NGN406,074,000 (2022: NGN223,340,700). The dividend proposed is subject to the approval of shareholders at the next Annual General Meeting; withholding tax will be deducted at the point of payment.”
In addition to the increased dividends, the chairman reported a substantial rise in the firm’s revenue, reaching N8.2 billion in 2023, up from N4.3 billion the previous year.
Afolabi attributed the company’s successes to the dedication and active engagement of its staff, supported by ongoing training and regular interaction. “Regardless of the challenges we faced during the year in review, it is my pleasure to inform you that we were able to record some positive points in our performance,” he said.
He further noted, “In our last AGM, we announced total revenue of about N11.1 billion for 2022, but as of the end of the 2023 financial year, our company’s revenue stood at N16.5 billion. We have also grown our gross profit from N4.3 billion in 2022 to N8.2 billion in the year under review.”
Afolabi also highlighted the improvement in the company’s assets, with total current assets increasing to N34 billion from N29.2 billion in 2022.
Outgoing Managing Director Basil Agbarumi reaffirmed the strong performance and potential of Nigeria’s aviation sector, noting its significant contribution to the national economy. “Data from the National Bureau of Statistics shows that the aviation sector contributed about N117 billion, which is 4 per cent of the national GDP in the first quarter of 2023; it supports about 200,000 jobs and pays about 8.5 billion in tax annually,” Agbarumi said.
This robust financial performance and strategic growth underscore SAHCO’s commitment to delivering value to its shareholders while supporting the broader economic development of Nigeria’s aviation industry.