GIHOC Distilleries’ 2013 profit shoots up

cokerGIHOC Distilleries Company Limited, a leading local manufacturer of alcoholic beve-rages has recorded an increase in its profit before tax from GH¢3.004 million in 2012 to GH¢4.749 million in 2013.

The increase represents 58 percent growth over last year’s profit.

The board chairman of the company, Mr. Joseph Kobina Ade Coker, disclosed this at the annual general meeting (AGM) in Accra on Wednesday.

He said the total production of alcoholic beverages also improved from 6.852 million litres to 7.929 million litres, about 16 per cent more than that of 2012.

He said though the company’s performance was good, management was faced with challenges such as the depreciation of the cedi, energy crisis and declining commodity prices.

“While the prevailing economic situation partly accounted for the company’s inability to meet desired targets, another factor was the adjustment in the capital expenditure implementation programme,” he said.

Mr. Coker also indicated that the company had positioned itself to flow some of its shares to investors including local companies.

Meanwhile, the company has made progress with its expansion project through a concessionary loan of GH¢5 million from the Export Development Investment Agriculture Fund for the ‘Implementation of a five-year strategic plan’.

On her part, the Managing Director of GIHOC Distilleries, Mrs. Kay Kwao-Simmonds, explained that though her outfit operated in a difficult financial year, it was able to make use of fair opportunities to maximise its profit.

She said the company had also been able to complete the third phase of its modernisation, and refurbishment programme under the five-year strategic plan.

She said GIHOC would remain focused on building a strong corporate identity and brands capable of meeting competition from both local and imported beverages.

“The completion and commissioning of the total project would be our priority for the next fiscal year. This would make GIHOC take its rightful place as the first and leading alcoholic beverage manufacturer in the sub-region,” she said.

According to her, the company aimed at harnessing quality products, brand names, and business opportunities both within and outside the country to enhance growth, profitability and shareholder value.

Mrs. Kwao-Simmonds commended management and staff for their hard work, and urged them to even work harder to put the company ahead of their competitors.

By Charles Amankwa    

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