UPDC assures shareholders of long-term value addition, pays dividend
The UACN Property Development Company Plc (UPDC) has assured investors that the firm would maintain its focus of long-term value creation for shareholders, just as it has put modalities in place to enable it take advantage of emerging opportunities in the market.
The Chairman of the company, Larry Ettah, stated this while addressing shareholders at the company’s yearly general meeting held in Lagos recently.
Besides, the company’s shareholders approved a dividend of N859,375,000, representing 50 kobo per ordinary share due to every investor of the company for the 2014 financial year.
Ettah noted that the Nigerian market remained attractive as there were significant potentials available in the residential segment, as well as opportunities in the hospitality, retail, commercial and industrial segments of the market in the near future.
He however, pointed out that the challenges being faced by the industry in terms of title uncertainties, high cost of funding, inadequate mortgage financing and poor infrastructure were expected to persist in the medium term and would continue to prevent effective demand in the low/medium residential market segments.
ccording to him, despite the challenging business environment, the company posted revenue of N10.08 billion (Group N11.70 bilion) as against 2013 revenue of N9.33 billion (Group N11.29 billion).
Profit before tax (PBT) was N2.04 billion (Group N3.54 billion) against N4.38 billion (Group N3.71 billion) in 2013.
He noted that in recent years, foreign private equity firms have invested millions of dollars in the Nigerian Real Estate market, attributing the interest in the country’s market to huge demand, which is driven by increasing urban population and changing shopping culture among the expanding middle class.