IMG net profit increases by 27% in 2021

Industrial and Medical Gases Nigeria (IMG) Plc, a leading manufacturer of gases, has declared a net profit of N372 million for 2021 financial year.

The profit represented an increase of 27 per cent when compared with N292 million achieved in 2020.

IMG Chairman, Mr Abiodun Alabi, made the disclosure at its hybrid 63rd Annual General Meeting (AGM) on Friday in Lagos.

Its shareholders also endorsed the declaration of one bonus share for every five ordinary shares.

Alabi, represented by IMG Non-Executive Director, Mr Adebayo Adeleke, said the bonus shares underlined the company’s strategic decision to reinvest its profit to build a stronger financial base in the nearest future.

He, reviewing the industrial gas market, noted that in spite of the inclement operating environment, the company posted remarkable profits.

He said some of the challenges in 2021 were inadequate/expensive foreign exchange to maximise opportunities, plant breakdowns and increase in energy cost.

“Total revenue for the period was N3.69 billion up from N3.17 billion achieved in 2020 while profit after tax for the year also rose to N372 million from the N292 million achieved in 2020.

“Focus on operational efficiencies, tight cost control measures, improved service delivery, generation of new business and determined efforts by management and staff were responsible for the increase in our bottom line.”, he said.

Its Managing Director, Mr Ayodeji Oseni, explained that the company’s strategic objectives were to position for global competitiveness and enhanced shareholder value through creation of innovative products and services.

Oseni expressed optimism that the company would continue to operate optimally, irrespective of the nature of the operating environment.

“Our strategic objectives in the short and medium term will continue to align with the dynamism prevalent in the marketplace today even as we keep our eyes on the future and expansion of the business.

“Management and staff will continue to focus our efforts and resources on the growth opportunities within the food and beverage, oil and gas, healthcare, energy, and agricultural sectors of the Nigerian economy.

“As an organisation, we will continue to position our business to capitalide on opportunities in these sectors and boast our performance in 2022,” he said.

Meanwhile, shareholders of the company gave their commendations over its performance in the face of the tough operating environment.

Speaking on behalf of other shareholders, Mrs Bisi Bakare said that they were happy at the company’s good performance in all metrics.

“We are quite happy with IMG because with the challenges in the operating environment, the company made profits all round.

“The bonus shares declared is even more than dividend in value and this is commendable, going by where the company is coming from.

“We believe the future of the company is bright,” she said.

Reports have it that recent divestment of Linde Group from the company and acquisition of its 60 per cent holding by T.Y. Holdings, increased the Holding’s stake to 72 per cent.

The development led to the change of the company’s name from BOC Gases to IMG as part of brand positioning.