Portland Paints restructuring boosts firm’s performance

Portland Paints and Products Nigeria PLC (PPPNP), has said the ongoing restructuring exercise has impacted positively on its bottom-line, as it recorded a profit after tax of N8, 597 million.

This, according to the firm, is a major reversal from the N232.98 million losses recorded in the previous year.The Chairman of the company, Larry Ettah, while addressing shareholders during the firm’s yearly general meeting in Lagos on Wednesday, attributed the improved performance to proactive cost reduction and optimisation approach in all areas of operations to ensure the survival of the business and sustained value creation for stakeholders.

He pointed out that the firm is focusing on restructuring to drive further growth and enable it deliver better value to all stakeholders.He said: “In response to the challenges posed by the business environment, your Board and Management proactively worked towards cost reduction and optimisation in all areas of our operations to ensure the survival of the business and its sustained value creation for stakeholders.

“Although your company has been undergoing restructuring of its operations in the reporting year, which has been exacerbated by the daunting challenges in the operating environment, the company was able to report a modest result in 2016. Your company recorded revenue of N1.971 billion in 2016, which is a nine per cent drop from the N2.168 billion of the previous years. The company Profit after Tax was N8.597 million, a major reversal from the N232.98million loss recorded in the previous year.

“In view of this level of performance, the Board is not recommending the payment of dividend in 2017, your company will focus on further consolidating on the initiatives we started in 2016, expand our distribution network and improve our brand visibility to ensure we deliver on our corporate objectives.”