ONE of the premier leaders in the household product manufacturing, Vono Products Plc has discontinued its production of foam blocks and plans to concentrate on domesticate on domestic and institutional furniture making.
The company made the disclosure at the 50th Annual General Meeting held in Lagos, last week, where the board chairman, Mr. Bashiru Lasisi that the company hopes to meet the needs iof educational institutionals, hospitals, hotels and domestic needs while exploring the synergy with other reputaable foam manufaurers for the polyurethane content of the preent operations.
“The company is invetsing in product development and innovation with a view to creating a competitive edge in the rapidly developing furniture industry. We will also leverage and develop our established distribution network across the country to expand and grow the furniture line,” he said.
In the report released, the company recorded a turnover of N437.3 million for the year under review as against N447.8 million in 2009. Loss before taxation increased from N247.9 million in 2009 to N393 million resulting in loss after taxation of N396.9 million as against N253.5 million for the correspondence period in 2009.
Lasisi stressed that “performance indices since the beginning of the current financial year are already suggesting a trend towards growth. The company is committed to sustaining the momentum through to the end of the financial year and beyond with the hope of attaining sustainable profitability witjhin the shortest time possible.”
He urged the federal government to pursue the power sector reform with renewed commitment and genuine desire for transformation as manufacturing sector relied mostly on alternative power supply resulting in high maintenace cost with operating margin under consistent pressure.