National Detergent Company announces 35% dividend

Profit before tax for 2012 was OR0.76m in comparison to OR1.10m in 2011. The reduction was mainly due to increased material, increased labour and marketing support costs. The increase in cost was also due to the implementation of the new minimum wage policy, higher finance cost and depreciation due to the acquisition of new production facility at Sohar. The total accumulated profit before this year's appropriation currently stands at OR2.80m after tax. Based on the net profit, the board of NDC announced a 35 percent dividend per share.

NDC's Director and CEO V. Sundaresan said: "During 2012, NDC achieved higher volume and value sales compared to the previous year despite various challenges faced during the year like increase in material prices, manpower and operations costs. The company's conscious efforts and additional investments in brand equity building contributed to the higher sales achievement."

"Our flagship brand BAHAR has further improved its market position against multinational brands due to consistent quality and consumer loyalty. All the products, including new home care products, have performed well in 2012 in both local and export markets. The additional powder capacity of Sohar plant has helped in exploring new markets and tapping opportunities in the existing markets," he said.

The CEO of NDC said the company would continue its efforts to maintain improved sales performance, both volume and value, by broadening its range and products, and identifying new market opportunities. "Company's plans for capacity expansion in liquid and toilet soaps will help increasing its presence in local as well as in export markets in the coming years," he added.

NDC is continuing with its efforts to improve Omanisation at various levels of the organisation including the senior and middle levels, with adequate training inputs.

Mr. Sundaresan said as a responsible corporate citizen of Oman, NDC has been involved in various social initiatives like using Omani transporters for its logistics activities and giving preference to use the services of Omani nationals at every possible step. "The company encourages local talent and motivates them to become self-employed by giving training and jobs directly/indirectly related to the detergent industry. NDC has been encouraging and guiding potential Omanis to set up retail outlets to sell FMCG products and to be successful self-employed entrepreneurs," he added.

"NDC is planning to outsource some of the packing and shrink-wrapping activities to Omanis, which will help them to become entrepreneurs. It will also look at other non-core activities of the business, which can be effectively outsourced to interested nationals," Mr. Sundaresan said.