- FAAC disburses N1.678trn to FG, States, LGs for February
The shareholders of Dangote Cement Plc, BUA Cement, Transcorp Power, Lafarge Cement, and three other big firms on the Nigerian Exchange Limited are to share an estimated N633.95 billion as a dividend payout in the 2024 financial year.
This is about a 2.65 per cent increase when compared to the N654.1 billion dividend payout by these seven companies in the 2023 financial year.
Despite the challenges in the operating environment, these firms declared impressive profits in the 2024 financial year, which translated to dividend payout.
For instance, Dangote Cement, which declared N503.2 billion profit in 2024, an increase of 10 per cent from N455.6 billion in 2023, has proposed a dividend of N30.00 per share, which is N506.21 billion.
Dangote Cement, for the second consecutive year, is paying shareholders a dividend of N30.00 per share.
The cement marker’s market capitalisation at the Exchange is currently at N8.1 trillion as the stock price has remained at N480 per share lately.
The group’s profit before tax increased to N732.5 billion, from N553.1 billion recorded in 2023. With a net tax expense of N229.3 billion, the group’s net profit was N503.2 billion
“On Monday, June 23, 2025, the dividends will be paid electronically to shareholders whose names appear in the Register of Members as of Monday, June 9, 2025, and who have completed the e-dividend registration and mandated the Registrar to pay their dividends directly into their bank accounts,” the company said in a statement posted on NGX.
Similarly, the management of BUA Cement recommended for the approval of shareholders a payment of N2.05 dividend per one ordinary share of 50 kobo each, out of the profits declared in the financial year ended 2024 from N2.00 paid in 2023.
In terms of value, BUA Cement is paying shareholders N69.42 billion as dividends in 2024, up by 2.5 per cent from the N67.73 billion paid in 2023.
Transnational Corporation Plc (Transcorp) and two other listed subsidiaries quoted on the Exchange have also proposed a total N55.24 billion dividend in 2024, up from N29.57 billion proposed in 2023.
The breakdown showed that Transcorp Hotel Plc dividend payout moved from N2.05 billion in 2023 to N7.6 billion in 2024, while Transcorp Power proposed a dividend of N37.5 billion in 2024, up by 59.8 per cent from N23.46 billion in 2023.
In addition, the management of Transnational Corporation proposed a dividend of N10.16 billion in 2024, an increase of 150 per cent from N4.06 billion in 2023.
In the year under review, Geregu Power proposed N21.25 billion as a dividend to shareholders, up by 6.25 per cent from N20 billion in 2023, while Lafarge Cement Plc management recommended N19.33 billion dividend payout to shareholders in 2024, down by 36.8 per cent from N30.6 billion paid in 2023.
“The Board of Directors has proposed a gross dividend of 120k (2023: 190k) on every ordinary share in issue, amounting to N19, 329,354,315.78 (2023: N30, 604,811,869.90).
The proposed dividend is subject to approval by the Shareholders at the Annual General Meeting,” the management of Lafarge Cement disclosed in the 2024 financial statement posted on NGX.
FAAC disburses N1.678trn to FG, States, LGs for February
Also, the Federation Account Allocation Committee has shared N1.678 trillion among the Federal Government, States, and Local Government Areas for February 2025.
This represents a decrease of N25 billion from a total of N1.703 trillion shared for January 2025.
The distributable revenue in January was a notable 19.6 percent increase, or N279 billion, compared to the N1.424 trillion shared by the three tiers of government in December 2024.
The February revenue was distributed at the March 2025 FAAC meeting held in Abuja, which was chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.
The meeting was attended by the Accountant General of the Federation, Shamseldeen Ogunjimi, according to a communiqué issued by FAAC and made available by the Director of Press and Public Relations, Office of the Accountant-General of the Federation, Bawa Mokwa.
“This is about a 2.65 per cent increase when compared to the N654.1 billion dividend payout by these seven companies in the 2023 financial year.”
The communiqué showed that the total distributable revenue of N1.678 trillion comprised distributable statutory revenue of N827.633 billion, distributable Value Added Tax (VAT) revenue of N609.430 billion, Electronic Money Transfer Levy (EMTL) revenue of N35.171 billion, Solid Minerals revenue of N28.218 billion, and Augmentation of N178 billion.
The communiqué stated that total gross revenue of N2.344 trillion was available in February.
“Total deduction for the cost of collection was N89.092 billion while total transfers, interventions, refunds, and savings were N577.097 billion,” it said.
The communiqué said that gross statutory revenue of N1.653 trillion was received for February, which was lower than the sum of N1.848 trillion received in January by N194.664 billion.
It said that gross revenue of N654.456 billion was available from VAT in February, lower than the N771.886 billion available in January by N117.430 billion.
The communiqué said that from the total distributable revenue of N1.678 trillion, the Federal Government received a total sum of N569.656 billion and the state governments received a total sum of N562.195 billion.
It said that the LGAs received a total sum of N410.559 billion, and a total sum of N136.042 billion (13 per cent of mineral revenue) was shared to the benefiting states as derivation revenue.
“On the N827.633 billion statutory revenue, the Federal Government received N366.262 billion and the state governments received N185.773 billion.
“The LGAs received N143.223 billion and the sum of N132.374 billion (13 per cent of mineral revenue) was shared to the benefiting states as derivation revenue,” the communiqué said.
It said that from the N609.430 billion VAT revenue, the Federal Government received N91.415 billion, the state governments received N304.715 billion and the LGAs received N213.301 billion.
“A total sum of N5.276 billion was received by the Federal Government from the N35.171 billion EMTL. The state governments received N17.585 billion and the LGAs received N12.310 billion.
“From the N28.218 billion Solid Minerals revenue, the Federal Government received N12.933 billion and the state governments received N6.560 billion.
“The LGAs received N5.057 billion and a total sum of N3.668 billion (13 per cent of mineral revenue) was shared to the benefiting States as derivation revenue,’” it said.
It said that Oil and Gas Royalty and EMTL, increased significantly while VAT, Petroleum Profit Tax, Companies Income Tax, Excise Duty, Import Duty, and CET Levies recorded a decrease.