Odu’a Investment Company recorded N1.96bn profit in 2023
Ogun State Secretary to the State Government (SSG), Tokunbo Talabi; SSG Ondo State, Tayo Oluwatuyi; SSG Oyo State, Prof Olanike Adeyemo; OICL, GMD/CEO, Adewale Raji; Group Chairman OICL, Otunba Bimbo Ashiru; SSG Ekiti State, Habibat Omolola Adubiaro; SSG Lagos State, Bimbola Salu-Hundeyin and PS, Cabinet, Special Services and Office of the SSG, Osun State, Olusoji Wojuade, Odu’a Independent Director, Otunba (Mrs)Debola Osibogun, and Dr Segun Aina, Odu’a Director. Back row( Odu’a Director, Yemi Ajao, Mr Seeni Adio, SAN, Chief Segun Ojo, Mr Abdulrahman Yinusa, Dr Tola Kasali, Mr Segun Olujobi, Independent Director, Mrs Foluso Olaniyan OON at the 42nd AGM of Odu’a Investment Company Limited, held in Lagos Airport Hotel, ikeja, Lagos on Thursday
Nike Popoola
Odu’a Investment Company Limited recorded Profit Before Tax of N1.96bn in 2023 financial period.
The Group Chairman of Odu’a Investment, Otunba Bimbo Ashiru, disclosed this during its Annual General Meeting that took place in Lagos on Thursday.
All of the resolutions presented for shareholders’ approval were adopted at the AGM.
The general meeting approved, among other resolutions, the company’s financial statements for the financial year 2023, as well as the payment of a cash dividend of N428m to its shareholders.
While announcing the modest seven per cent growth in operating revenue from N3.68bn in 2022 to N3.95bn in 2023, the Group Chairman reiterated that despite the economic headwinds of
2023, it was another year of good performance by the company as it posted a Profit Before Tax of N1.96bn.
Ashiru expressed satisfaction that with improved collaboration and synergy within the Group and leveraging shared services, cross selling, joint marketing and astute business innovation, Odu’a Investment is translating the timeless vision of the founding fathers of the company into reality by the
implementation of the Group’s 5-Year Strategic Plan.
He said the Group’s 5-Year Strategic Plan aims to sweat, create and revive businesses and assets to deliver continuous growth and value to shareholders and stakeholders.
According to him, notable events in the year under review included the commissioning of the Phase 1 of Westlink Iconic Villa, Alakia, Ibadan comprising 67 residential units of 3-bedroom apartments, 4-bedroom and 5-bedroom duplexes; the launching of the Odua Investment Foundation and its flagship Educational Intervention Project tagged ’’Digital Education for Innovation & Economic Development (DEFINED).’’
Odu’a Investment also secured its first ever Credit Rating in 2023 with Agusto & Co awarding it “A” Rating with a Stable Outlook, attributed to its deft management and ’’ … good operating cashflows supported by its diversified income streams and portfolio of subsidiaries and associates.’’
The Group Managing Director/CEO, Mr Adewale Raji, who officially will be retiring on 31st May, 2024 in his report, appreciated all the esteemed shareholders for the opportunity given to him to serve the company for two successive terms lasting 10 years, during which the Group with their support enthroned a new corporate governance framework that depoliticized its operations, appointments and management.
Raji said the Group in this past 10 years witnessed repositioning that was driven by its SRC – 2025 Strategy (i.e. Sweat, Revive & Create) to be a lean non-operating investment holding company focused on 8 sectors of Real Estate, Hospitality, Financial Services, Agriculture, Energy/Power, ICT/Digital, Healthcare/Pharmaceuticals and Logistics/e-Commerce.
He said, “It is such focus on ‘Sweating’ that necessitated the consolidation of the entire Group real estate portfolio under our Wemabod Limited subsidiary leading to the massive redevelopment either through own resources or joint venture partnerships of our real estate portfolio to optimize yield and return.
“Revive” is manifesting in our renovation and redevelopment of Premier Hotel at Ibadan with significant progress made in both the existing building and new developments on the site with phased re-opening starting in H1 of 2025. ‘Create’ reflects in the significant step up in our BITA Exploration and Production Ltd marginal field (PPL 249) funding thrust to implement the Field Development Plan with our partner, Pioneer Global Energy Resources.
“The company expects that once these funding and regulatory requirements are met; it will be able to achieve ‘First Oil’ within Q1 of 2025. All these translated to remarkable success in its financial performance, corporate governance, risk management, and asset optimization across its chosen sectors.”
He noted that in real terms, “OICL Profit Before Tax for 2023 actually increased by 62 per cent to N1.772bn from N1.092bn in 2022 if we strip off revaluation gains arising from our investment properties portfolio in both years.”
He also recounted that the financial year 2023 will be the 10th consecutive year that the company will be paying dividends to shareholders with the cumulative amount paid in this past decade amounting to N3.11bn.
In his review of the operating environment, Raji expressed optimism that President Bola Ahmed Tinubu administration’s pursuit of a market-driven approach to resolving underlying problems of the economy will attract long-term investments into the country to fund infrastructure and social services that includes roads, rail, power, healthcare, education, etc that will translate into sustainable economic and human capital development.
In closing, Raji expressed confidence that under the leadership of the incoming GMD/CEO of OICL, Mr. Abdulrahman Yinusa, the company will deliver on the ongoing redevelopment of the hotels in the Group, new pipeline of premium residential and commercial redevelopment projects, securing viable joint
venture partnerships for the agriculture portfolio, achieve ‘First Oil’ in the implementation of the field development plan of BITA marginal field, and facilitate the company’s mainstream participation in the turnaround of the power/electricity sector.
