Batu to payout all profits to shareholders

Kigali.

British American Tobacco Uganda (Batu) will this year payout Shs12.07b to shareholders up from Shs7.810b in 2016 following marked improvement in the company’s profitability.
The company will payout 100 per cent of it profits with each shareholder getting Shs249 compared to Shs159 that was paid out in 2016.
According to Batu, the company posted Shs12.07b in profits compared to Shs7.81b in 2016.
Batu’s current price per share at the Uganda Securities Exchange is Shs30,000 with a market capitalisation of Shs1.472 trillion.
Mr Mathu Kiiunjuri, the Batu managing director, told shareholders on Wednesday that cigarette sales had grown marginally by 0.5 per cent in 2017 compared to 2016 which was lower.
“Gross revenue grew by 8 per cent and profit after tax grew by 55 per cent. Operating margin also improved by 8.3 per cent during the year, reflecting growth in profitability and lower operating cost,” he said.
Batu assets grew by 0.31 per cent to Shs55b which was driven by higher current assets of Shs23.27b.
This saw its net assets at the end of the year grow to Shs43.84b.
Dr Elly Karuhanga, the Batu chairman commended the performance amid a slowdown in economic activities, highlighting that Batu remains a significant contributor to government revenue.