The Board of Directors of Nestle Nigeria Plc will next week Friday meet to decide the final dividend payable to the shareholders for the year ended December 31, 2009.
The Nigerian Stock Exchange (NSE) said in its weekly report that the notice of the meeting was communicated to it by the Nestle Nigeria in line with Exchange’s post-listing re-quirements.
In its tradition, Nestle Nigeria had last November announced an interim dividend of N1.95 for the third quarter ended September 30, 2009. The company had last year paid similar N1.95 interim dividend for 2008 before paying a final dividend of N10.60 to bring the total dividend for 2008 financial year to N12.55 per share.
Analysts said given the interim performance of the company, its final results for the year ended December 31, 2009 would be better than 2008, thus investors should expect higher dividend.
In its unaudited 2009 results for the third quarter ended September 30, 2009, Nestle Nigeria Plc grew its turnover by 32 per cent from N37.74 billion to N49.90 billion. Profit before tax rose by 24 per cent from N8.2 billion to N10.04 billion, while profit after tax grew by 32 per cent from N5.49 billion to N7.22 billion.
Nestle is known for a robust dividend payment policy  and has paid  total dividend of N39.78 billion between 1999 and 2008, which represented 97 per cent of the profit of N40.937 billion  for during that period.
Meanwhile, five other companies have reported improved interim results, thereby raising investors’ hope for higher dividend.
Northern Nigerian Flour Mills Plc reported a turnover of N7.921 billion for the third quarter ended December 31, 2009, up from N6.589 billion recorded in the corresponding period of 2008. Profit after tax soared from N99.4 million to N388.31 million.
Nigerian Bag Manufacturing Company Plc posted a profit after tax of N371 million for the third quarter ended December 30, 2009, compared with N79.2 million in 2008.
Julius Berger Nigeria Plc reported a profit after tax of N2.3 billion for the third quarter to September 30, 2009, up from N1.97 billion in 2008, while Chellarams Plc posted a profit after tax of N248 million for the half year ended September 30, 2009 compared with N199.72 million in 2008.
Resort Savings and Loans Plc reported a profit after tax of N231.4 million for the third quarter ended September 30, 2009, as against N79.9 million in 2008.