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PEOPLES DAILY, MONday, AUGUST 1, 2016
Business
Fidson drops by 32 per cent in Q2
Stories from Ngozi Onyeakusi, Lagos
F
idson Healthcare Plc. has incurred a 32 per cent depreciation in its turnover for the first half of 2016. According to the company, the poor performance was as a result of the low sales figure was as a result of unavailability of products, a direct consequence of the scarcity of foreigners exchange shortage experienced by the manufacturing sector during the period. Fidson said it only accessed 30 per cent of its foreign
exchange needs in the first six months of the year. The paucity of foreign exchange, for the importation of products and essential raw materials, and macroeconomic headwinds were disruptive to the manufacturers in the pharmaceutical industry including the company’s business. Key extracts of the six-month half-year report for the period ended June 30, 2016 showed that sales dropped by 32 per cent from N4.032 billion in first half 2015 to N2.61 billion in first half 2016. Profit-after tax also declined to N39.582 million in 2016 as against N324.206 million recorded in the
comparable period of 2015. Fidson’s growth strategies are premised on the recent move to the company’s new World Health Organisation Good Manufacturing Practice (WHOGMP), where local production recently commenced. The newly completed state-of-the-art facility will provide several benefits including increased profitability, increased efficiency from economies of scale, increased product offerings as well as job creation with an additional 300 jobs expected to be created. Aside from increasing production capacity, the new
factory would enhance the company’s business prospects by enhancing its ability to tender for WHO sponsored programmes, which Nigerian pharmaceutical manufacturers are unable to access, losing out to foreign companies in these tenders. Despite the fall, the management of Fidson Healthcare Plc has reassured that the healthcare company remains on the path to attaining significant growth in the near future as its focus on its strategies for market expansion, brand building and opportunities that exist through local and international
partnerships would lead to better returns for shareholders. Fidson stated that its cost optimisation strategy, which it embarked on a couple of years ago, continued in 2016 in line with the strategy to drive efficiency in the face of a challenging business environment. The management noted that the strategy saw Fidson reducing its operating cost by over 60 per cent in the period under review, assuring that the company will continue to drive efficiency into its processes, which will continue to result in savings on administration expenses.
L-R: Group Managing Director Diamond Bank,Dr. Benedict Ihekire, Rector J-C Best Schools International, Mrs. Edna Kingsley Onuorah and Director J-C Best Schools International Mr. Kingsley Onuorah, at the Convocation Ceremony of the school held at U.K EL-Bethel Art and Super Science College, over the weekend in Abuja.
Access Bank CEO, Wigwe speaks in support of Agriculture
G
MD/CEO of Access Bank Plc, Herbert Wigwe has restated the Bank’s capacity and desire to support the Federal Government’s efforts in diversification of the economy, especially in the agricultural sector. In a message posted from his Twitter handle @HerbertOWigwe, he said, ‘As our nation desires to
diversify its economy, Agriculture has become the new focus of government and the private sector and as such, Access Bank Plc is well positioned to provide necessary support in this sector.’ Wigwe advised Nigerians to take advantage of the various incentives in the financial system that support agriculture. He noted that agricultural intervention
schemes from the Central Bank of Nigeria (CBN) and some of other facilities come at single-digit interest rates adding that Access Bank was ready to help customers access any of the agricultural intervention schemes. According to him, some of the schemes include Commercial Agriculture Credit Scheme (CACS), Micro, Small and Medium
Enterprise Development Fund (MSMEDF), Non-Oil Export Stimulation Fund (ESF) and Anchor Borrower Programme (ABP) ‘Our Bank also participates in other agricultural schemes, such as Nigeria Incentive Based Risk Sharing System for Agricultural Lending (NIRSAL), Agricultural Credit Guarantee Scheme Funds
(ACGSF). We indeed provide funding for all agricultural activities along the entire value chain.’ When asked why he chose Twitter to express his line of thinking, he responded that he wanted to give an engaged audience the opportunity to share their thoughts and join the conversation on how we can move Nigeria forward.