FLOUR MILLS EXPLAINS IMPROVED PERFORMANCE

Flour Mills Nigeria Plc has attributed the improvement in the company financial report for 2013 to the focus on core business.

This was made known at a press conference held in Lagos by the Group Managing Director, Mr. Paul Gbededo, who said that “the result was made possible by improved performance of our core business.”
In spite of the suspension of the cement business which accounted for 17 per cent of its income last year, the company recorded a gross income of N225.6 billion, representing an increase of 23 per cent.
He also revealed the company’s plans to increase its earning capacity in the years ahead with continuous investment in new milling technology and new acquisitions.
Flour Mills Nigeria Plc is determined to ensure that its agro-allied strategy provides sustainable returns on capital invested by maximizing local content in group products, he said, adding that the company grew profit after tax for 2012/2013 financial year to N8.7 billion.

The GDM said the company has expanded sale and distribution network to ensure better routes to market and wider distribution of its range of products through the restructured distribution channels down to the final consumer, and invested more in advertising to consolidate the position as the leading food and agro-allied company in Nigeria.
On power generation, he said the company is awaiting the approval of the Federal Government to enable it deliver a portion of its 50 megawatts of electricity to businesses around Apapa and also to the national grid.
Flour Mills currently generated 50 megawatts through its gas and diesel power generators which is in excess of its 32 megawatts requirement and it intends to sell the excess capacity to its neighbours around Apapa, while what remain would be supplied to the national grid.