TOL Gases announces annual dividend payments to shareholders

The Board of Directors of TOL Gases Limited during the company’s Annual General Meeting in Dar es Salaam last Friday declared an annual dividend of 40/- per share to the company’s shareholders.

The approved dividend distribution is an increase from 34.78/- per share distributed in 2020.

According to the company’s financial statements for the year ending December 2021, the company’s revenue grew by 25 per cent from 19.8bn/- recorded in 2020 to 24.8bn/-, whereas Profit

After Tax (PAT) grew by 41 per cent from 2.3bn/- recorded in 2020 to 3.3bn/- in the financial year 2021.

Recent operational reforms and expansion strategies have contributed to growth in the

Company’s revenue and solidified its stance as a leading producer and supplier of industrial and medical gases in Tanzania and expanded its supply scope in to other SADC countries such as Zambia, Zimbabwe, The Democratic Republic of Congo and Malawi.

Speaking at the AGM, TOL Gases Board Chairman, Michael Shirima, commended the performance improvement and how the company stepped up its efforts to ensure the availability of medical Oxygen nationwide during the Covid-19 outbreak.

“The year 2021 was a very challenging year due to the effects of Covid-19 on all segments of the economy and society at large. I am pleased to report that the objective of keeping the nation supplied with medical oxygen at such a critical point was met, and I commend the Company for ensuring that sufficient medical oxygen was made available to patients at the various health care facilities,” he said.

Apart from reporting increased profits for the year 2021, TOL Gases Limited outlined the implementation of various strategies that are expected to significantly improve the financial performance of the Company. The Company has recently launched an additional carbon dioxide project in Rungwe District, which will double the Company’s production capacity for food grade carbon dioxide gas.

Commenting on the latest carbon dioxide plant, the Chairman said, “The additional plant will double the Company’s production capacity for carbon dioxide and is expected to improve the financial performance of the company significantly. In addition, the company has continued to invest in embedding reliability into operations and has invested significantly into new trucks and tankers to instill confidence in the Company’s ability to deliver products to our customers across the region reliably and efficiently,”

The additional carbon dioxide plant is located in Ikama village, Rungwe District in Mbeya and promises an increase in monthly revenue by 8.2bn/-, which is a 42 per cent increase in revenue from carbon-dioxide production alone.