Unilever Ghana reports 10% growth in revenue supported by increase in sales

GHANA – Unilever Ghana Limited posted revenues of US$120.35 million (GH¢632m) in 2018, representing a 10 per cent increase from US$109.49 million (GH¢575m) that the consumer good company generated in 2017.

The company said that the growth was strongly supported by increase in sales volumes during the period under review.

The Company’s operating profit before tax for 2018 rose to US$47.61 million (GH¢250m), compared to US$12.38 million (GH¢ 65m) recorded in 2017, while profit after tax improved to US$36.37 million (GH¢191m) in 2018 from US$9.14 million (GH¢48m) in 2017.

Speaking during the recently held company’s Annual General Meeting, Mrs Gladys Amoah, Managing Director of Unilever Ghana, said the company would continue to prioritise its investment in building efficient process equipment as a means of meeting customers demand to achieve growth.

“The company has invested more than US$7.43 million (GH¢39m) in infrastructure plants such as biomass boiler, an oral offshore project, treatment plant, among others to deliver quality and efficient service to customers,” she added.

Amoah also noted that the company had put in place sound operational control systems to strengthen the firm’s corporate governance.

She said that this is aimed at safeguarding the interests of shareholders and stakeholders by adopting standard accounting practices to facilitate transparency in the disclosure of information.

“The company had a robust internal control system, which is well documented and regularly reviewed. The system incorporates internal control procedures designed to provide reasonable assurance that assets are safeguarded”.

Additionally, Mr Edward Effah, the Board Chairman of Unilever Ghana Limited, said that the company has also benefited from the strong growth in the country’s economy.

Mr Effah highlighted that the economy accelerated to 8.5 per cent in 2017, making it the second-fastest growing African economy, after Ethiopia, reports Ghana News Agency.

He said growth for the first quarter of 2018 was 6.8 per cent, above 6.7 per cent recorded in 2017 adding that the economy is projected to grow by 7.3 per cent in 2019 and a slower 5.4 per cent in 2020.

On the outlook for 2019, Mrs Amoah said the company would continue to build on the strong financial performance achieved and increase the operational intensity with customer focus for sustained growth.

The board of the company recommended to pay a dividend of GH¢0.80 (US$0.15) per share from the 2018 profits, amounting to a total of US$9.52 million (GH¢50m), which shareholders approved.

Some of the stakeholders commended the company for the achievements and urged management to continue to institute effective governance management measures to ensure sound fiscal performance.

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