Okomu Oil dropped its 9M 2024 results yesterday after trading hours. There was topline and bottom line growth.

About the firm

Okomu Oil Palm was incorporated on December 3 1979 as a private firm. It converted to a public firm on September 19, 1997.

Total number of shares issued is 953,900,000. Socfina of Luxembourg is the majority shareholder with a 62.6% stake. Nigerians own the balance of 37.47%.

What does Okomu do?

The firm is into the development of oil palm plantation, palm oil milling, palm kernel processing and the development of rubber plantation. Products are palm oil, palm kernel oil, palm kernel cake, banga and rubber cup lumps

Q3 2024 numbers

Turnover was up over 40% from ₦20 billion in 2023 to ₦28.9 billion in 2024.

Profit after tax rose at a much faster pace, up over 70% from ₦4.7 billion in 2023 to ₦8.1 billion in 2024.

Export sales surged by over 180%, climbing from ₦2.9 billion in Q3 2023 to ₦8.2 billion in Q3 2024. The increase could be attributed to higher volumes or the impact of the Naira’s depreciation. In Q3 2024, there was a foreign exchange gain of ₦2 billion, a significant rise from the ₦97 million gain in the same period last year.

The Surprise

The company has announced an interim dividend of N2 from the ₦8.54 in earnings per share achieved during the quarter.

What is an interim dividend? An interim dividend is one paid before the end of a company’s financial year.

The qualification date for the dividend is November 14, 2024, and the payment date is November 21, 2024.

This marks, if I am correct, the first instance of paying an interim dividend in Q3.

For H1 2024, the company paid an interim dividend of ₦8.

In total, ₦10 has been paid from the ₦29.71 earned between January and September 2024, resulting in a payout ratio of 33.6%.