Vitafoam targets yearly 20% growth in turnover, PBT to increase footprint in West African sub-region

POISED to increase shareholders’ value and boost profitability, Vitafoam Plc has pledged its commitment to grow its turnover and Profit Before Tax (PBT) by 20 per cent on an annual basis.

Besides, the company has concluded plans to expand its business activities across West African Sub-regions.

The Acting Group Managing Director of the company, Taiwo Adeniyi, while addressing stockbrokers during the ‘Facts Behind Figures’ of the company in Lagos yesterday stressed that the company plans to achieve this by growing its frontier through offering unique polyurethane products, increase the trajectory in the areas of regional and sub regional coverage, as well as protecting its core business.

This, according to him, would enable the company to make up with production losses incurred due to persistent terrorism activities in the Northern region.

He added that the company will revitalize route to market, achieve 60 per cent focus on retail touch points and also to centralize group shared services for operational efficiencies.

On measures to improve profit outlook in the new fiscal year, Adeniyi explained that efforts would be geared towards building advantage brands and expanding route to the market in term of structure sale team and factory upgrade and build technical competencies across the core business.

“To grow the frontier through unique offering in polyurethane panels (PU), reinforce its strategy direction and take advantage of investment in PU system. Also, to commercialise its new product, Visco elastic and shoe soles.”

He added that the company would increase its route to market expansion in the country, increase regional coverage and full integration across the West African sub-region.

Concerning the excessive price of the company’s household products, Adeniyi said: “We do price barometer on a monthly basis and pricing for an economy like ours is purely perception and many times you come to factory to buy same products available in the market, you find out that dealers play on consumers intelligence.

“To control this, we have established household shops to correct the perception of making our products expensive than the competitors.”