One of Nigeria’s leading logistics companies, Red Star Express Plc, has posted a turnover of N7.3 billion in the year under review which is 10 percent higher than the preceding year.
The profit before tax increased from N572 million to N653 million, while profit after tax also increased from N334.4 million to N426.8 million.
This was declared at the recently organized 24th Annual General Meeting (AGM) of the company held in Lagos according to a statement.
The board of directors declared a gross cash dividend of 40 kobo for every 50 kobo share totalling N236 million which will be paid on September 7, 2017 subject to the deduction of appropriate withholding tax.
Chairman of the company, Dr. Mohammed H. Koguna, expressed delight that the company posted a profit from its preceding year in spite of challenges.
“I am happy to inform you that despite the challenges posed by the environment during the financial year under review, our staff and management worked assiduously to ensure that our company posted a satisfactory result. Lower oil revenues, tight capital controls, increased inflationary pressure and exchange rate volatility combined to make 2016 a challenging year for Nigeria,” he said.
He said Red Star Express remained steadfast in her policy of making sure that the social and economic welfare of its stakeholders are preserved and sustained through the Red Star Foundation.
The company awarded 20 additional scholarships to secondary school students from the Eastern, Western and Northern parts of Nigeria.
In the course of the year, the company opened a branch office in the Niger Republic and is gradually building capacity in pickup and delivery of mails and packages.
Red Star Express is a licensee of FedEx (Federal Express), and one of the most reputable companies in the Nigeria logistics industry which was incorporated in October 1992.