Vitafoam as a metaphor for corporate foresight

SIR: Quoted companies are under pressure to meet the great expectation of their shareholders and other stakeholders in an operating environment characterised by high production cost and low consumers’ purchasing power. This is in addition to compliance with the highest standard of corporate governance and other post listing requirements of Nigerian Exchange Limited (NGX).  

The company doled out N1.9 billion, which translated into a dividend of N1.52 per Ordinary Share of 50 kobo each for its 2022 financial performance. It is one of the topmost tax payers to the government over the years. Its rewarding dividend policy may have endeared it to investors that hold tightly to its shares. 

The Group Managing Director, Mr. Taiwo Adeniyi is the brand personality and he says: “We delivered the dream of Vitafoam beyond mattresses. Our diversification policy is strategically targeted at turning our competitors to our customers. The birth of five subsidiaries with expansion to Sierra Leone in the last 10 years has delivered that aspiration and keeps adding value to the business in no small measure.”

As a key player in the manufacturing space in Nigeria, the company is not without its headwinds. But in pursuit of problem-solving for humanity, it established Vitablom Nigeria Limited, a subsidiary that focuses highly siliconised fiber products. It produced an array of top quality pillows, bedsheets and duvets for everyone, including mother and child. The company is a major player in the soft furnishing, beddings, flat sheet fibre and scouring sponge market in Nigeria.
 
A keen observer was quick to say that the sustained growth and good performance from the company had always been predicated on customer -centric operations, focused on quality from the view point of our customers.

Market watchers are apprehensive that manufacturers in Nigeria may face harder times as the current operating environment will further shoot up production costs and associated expenses while consumer demand may thin out.
• Sola Oni, an integrated communications strategist, chartered stockbroker and commodities trader, is the chief executive officer, Sofunix Investment and Communications.