At the yearly general assembly of Dangote Sugar Refinery Plc, Aliko Dangote, the chairman of Dangote Industries Limited, shed light on the significant challenges faced by the company in 2023, particularly due to the devaluation of the Nigerian naira.
Addressing attendees on Tuesday, Dangote emphasized the adverse effects of the naira devaluation, which saw the currency plummet from N460 to N1,400 against the US dollar. He underscored the substantial negative impact this had on Dangote Industries Limited, particularly within the food and beverages sector.
Dangote stressed that the devaluation had posed significant challenges for the company, affecting its operations and financial performance. He noted that many companies, including those in the food and beverages sector, may struggle to distribute dividends as a result of these economic challenges.
Despite the hurdles faced, Dangote reassured stakeholders that the company is diligently working towards overcoming these challenges and delivering dividends to shareholders this year. He highlighted the commitment of Dangote Industries Limited to navigate through the turbulent economic environment and ensure the company’s sustainability.
“We are doing whatever it takes to make sure that at the end of the day, we will be paying dividends because if you look at our dividends last year, it was almost 50 percent more so we will try and get out of the mess,” Dangote stated.
He acknowledged the widespread impact of the naira devaluation on businesses across various sectors but remained optimistic about the company’s resilience in the face of adversity. Dangote expressed hope for a potential rebound of the naira, which would alleviate some of the financial strain experienced by companies.
Dangote’s remarks underscore the challenges posed by economic fluctuations and the importance of proactive measures to mitigate their impact on businesses. Despite the uncertainties, Dangote Industries Limited remains steadfast in its commitment to shareholders and its pursuit of sustainable growth and profitability.
