Omatek Ventures Plc has bounced back to profitability thereby raising the hopes of shareholders for dividend payment very soon. The company, which is the only computer manufacturing firm listed on the Nigerian bourse, has posted losses in recent years due to high interest charges and cost of operations.
However, Omatek appears to have started reaping the fruits of investment and diversification strategy as it had reported a profit of N225 million for the year ended December 31, 2012 compared to a loss of N300 million the previous year.
According to the audited results, Omatek posted a revenue of N1.386 billion in 2012 as against N369 million in 2011.Gross profit stood at N592 million and profit after tax of N101million compared with loss of N136 million. The company ended with positive earnings per share of eight kobo as against a negative nine kobo per share the previous year.
Some market operators said the return of the company to profitability was expected considering the efforts of the board and management to turnaround its fortunes in the recent years.
The Group Managing Director/Chief Executive Officer of Omatek, Mrs. Florence Seriki had disclosed that the company introduced new innovation products to the market partly aimed at delivering improved returns to shareholders.
The product include a 24-hour lighting solution that allows consumers to combine the benefits of the solar system and light-emitting diode (LED) technology to proffer solutions that reduce energy consumption considerably while saving costs by 60 to 85 per cent.
She explained that use of the solar/LED solution could result in significant operational and maintenance cost savings for schools, public offices, hospitals, hotels, street lighting implementation, rural electrification and rural water system.
The company also moved into its own property as part of efforts to reduce cost of operations, a development Seriki said would impact positively on its bottom-line going forward.
“We started operation on a leased property, but now that we have fully settled in our own property, business has as well started and we know that the future is bright and promising for all our stakeholders,” she had said.