Malawi Stock Exchange (MSE)- listed Illovo Sugar Malawi has posted a K30.1 billion increase in its profit after tax for the year ending August 31 2023.
Last year, the firm earned K26.6 billion in profit but has made K56.7 billion this year.
This is according to a published financial statement the company issued yesterday and signed by its Board Chairperson Jimmy Lipunga and Managing Director Lekani Katandula.
The statement says the performance was achieved largely through increased sales volumes on the domestic market, cost management efforts and optimisation of operational efficiencies.
The group achieved increased domestic sales volumes by 11,882 tonnes during the year under review.
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The statement adds that sales were largely supported by the Route to Consumer initiative aimed at delivering sugar to the last-mile customer, and favourable cross border arbitrage which saw some of our sugar being informally exported to neighboring countries by various traders.
“The group will persist in implementing strategies to ensure resilience and growth remains fundamental to its operations, with a particular emphasis on safety as a foundation for achieving these objectives,” reads the statement.
Considering the excellent business performance for the year ended August 31, 2023, the directors have declared a second interim dividend of K12.60 per share, in addition to an interim dividend of K10.80 per share.
A final dividend of K5.80 per share will be proposed to the shareholders at the annual general meeting for their approval for payment in March 2024.
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This will bring the total dividend for the year to K29.20 per share, compared to the previous year’s full dividend of K21.00 per share.
