According to Cutix Nigeria Plc’s forecast, revenue will rise by N12 billion in 2023, N15.6 billion in 2024, and N20.3 billion in 2025.
A profit before tax (PBT) objective of N2.1 billion for 2023, N2.8 billion for 2024, and N3.65 billion for 2025 were also stated by the corporation.
Ijeoma Oduonye, the company’s managing director and chief executive officer, said during the company’s “Facts Behind the Figures” event to honor the 40th anniversary celebration in Lagos that the company’s sales increased from N3.2 billion in 1987 to N30 billion in 2022.
She claims that while total dividends increased from N2.9 million in 1992 to N1.215 billion in 2022, the company’s profit before tax increased from N111 million to N3.996 billion in that same year.
Oduonye said that the company that makes cables and wires started out in business in 1984 with a capital of N400,000 and later raised N1.6 million through an initial public offering (IPO) in 1987.
She claimed that thanks to the issuance of bonus shares, the company’s share capital has now increased to N1.76 billion.
Oduonye attributed the company’s improved performance to its creativity and strategic business model, which allowed it to consistently provide shareholders with favorable returns on their investments.
She claimed that despite the tumultuous macroeconomic environment, an influx of subpar cables and wires, the lack of access to foreign exchange, unfriendly government policies, a plethora of taxes, port congestion, and a shortage of qualified technical manpower, the company was still able to perform admirably.
The value of the annual dividends investors get has climbed steadily over the years, she said, adding that the company has also declared bonus issues nearly every three years in the ratio of one for one, one for two, and one for three shares owned.
In her account, Cutix was “a quintessential stock and the best example of a well-managed indigenous company in Nigeria as its performance history showed that it outperformed the overall NGX market in return by over seven times.”
Since dividends have been announced annually since 1989, according to Oduonye, an investment of N1,040 made in the shares 35 years ago would now be worth N1,925,042.88.