Vono Products Nigeria Plc has told its shareholders that the company has a bright future as it intensifies its integration plans with Vitafoam
The shareholders of Vono Products Nigeria Plc have expressed support for the strategic plans put in place to reposition the company as it copes with challenges of competition and hostile operating environment. They also expressed acceptance of the assurance of the Board that brighter future lies ahead of the company.
These expressions were made at the Annual General Meeting of the company held yesterday in Lagos, where it was disclosed that the organization had embarked on a number of initiatives to reposition it as a leading brand in the Nigeria’s manufacturing sector. The disclosure was made by the chairman, Mr Mohammed Yinusa, who expressed delight at the ability of the company to weather the storm at a time of difficult operating climate. adding that it was in the process of integrating with Vitafoam Nigeria Plc. for enhanced shareholder value.
Speaking with journalists, the acting Managing Director, Mr Olatunji Anjorin, explained that the company was not just a manufacturer of foams as it has series of other products in its portfolio. According to him, the company would roll out many innovative products that appeal to different segment of the society including children and youth. Anjorin, noted that as a major brand, Vono Products would continue to live up to expectation of its diverse stakeholders. “We are sensitive and innovation. We are taking advantage of social media space to ensure full inclusion of the young ones in our new approach to product development “We are looking at our payment system aesthetically to make our products affordable by different segment of the society.”
Giving further details, Anrorin said, “We have put in place a lot of strategies which would help improve our performance. We are sensitive to innovation we would take advantage of the social media in publicizing our products. Also our target market is the youths. “The older generation knows about Vono Products but the younger ones do not.
The company is also working on the upgrade of its equipment in order to improve the quality of our product which will compete favorably in the market especially with the imported brands. “We are also looking at ur payment system aesthetically to make our products affordable by different segments of the society.” The chairman had expressed joy that despite the inclement operating environment, the company achieved operating revenue of N889.7million, a modest growth of more than 5% over the previous year. The company’s operating profit improved significantly by 5% to N26.4 million in 2014 from N17.4million recorded in 2013. .
“The growth in turnover, particularly reflected the marketing efforts of the growing customers’ satisfaction with our products. The business continues to gain momentum, recording another modest improvement on our profit before tax (PBT),” Yinusa said. On the proposed integration of Vono Products with Vitafoam Nigeria Plc, Anjorin explained that professionals had commenced work and the outcome would be made public later.
Commenting on the tough operating environment, Anjorin lamented the high cost of infrastructure in Nigeria. He appealed to the federal government to create an enabling environment were manufacturers could operate at optimal level. He also emphasized the need for quality products saying that government policy should discourage high influx of inferior products in the real sector. He thanked the shareholders for their unalloyed support for the company and assured them of great prospects ahead.
Shareholders who spoke with The UNION expressed satisfaction at the performance of the company in the 2014 financial year, adding that the measures put in place to reposition the company would yield the desired result. Mr Kenneth Ofoha, recently elected into the audit committee said “I am very glad that I was elected as a member of the audit committee as a representative of the minority shareholders. Vono Product is trying but they need aggressive marketing strategy and employment of more hands in order to carry the product along to the market. I strongly believe that Vono would bounce back to life.”