Twelve companies have declared N117.858 billion dividends for the half-year ended June 30, 2025, rewarding their shareholders with a significant payout.
This move reflects the companies’ strong financial performance and commitment to sharing profits with their investors. The dividend declarations are expected to boost investor confidence and attract more investment to the capital market.
For the period ended June 31, 2025, Seplat Energy in line with its dividend policy, the board of directors proposed an interim dividend of N41.609 billion, representing N70.71 per share.
Okomu Oil declared an interim dividend of N30 per share, amounting to N28.617 billion; Presco proposed a total interim dividend of N20 billion, representing N20 per share; while Transcorp Power to pay an interim dividend of N1.50 per share, amounting to N11.250 billion;
Also, United Capital, Transnational Corporation (Transcorp), Unilever Nigeria, Custodian Investment, Consolidated Hallmark Holdings, Africa Prudential and Ikeja Hotel proposed a half year return of 30 kobo, 40 kobo, 50 kobo, 25 kobo, 10 kobo, 10 kobo and N0.03 per share each, amounting to N5.4 billion, N4.065 billion, N2.873 billion, N1.471 billion, N400 million and N64.871 million respectively.
Analysts noted that Nigerian investors are motivated by more than just the potential appreciation of share prices; they are also drawn to the steady income dividends provide, saying that strong payouts tend to boost investor confidence, attract income-focused buyers, and in some cases, propel a company into the premium ranks of the exchange.
The vice-chairman of Highcap Securities Limited, David Adonri, noted that many of the Companies released dividends are indeed quite impressive.
He highlighted the significance of half-year interim dividends, describing them as a positive indicator.
He explained that interim dividends serve as a preliminary measure, saying, ‘while they provide valuable insights, they should not be the sole basis for assessing a company’s performance or its fundamental payout metrics.’
Adonri emphasised that, interim dividends act as a precursor to the final dividends, which ultimately reflect the true returns for investors. He expressed optimism about the dividends, mentioning that, ‘they have been substantial contributors to the growth of the equities market.’ Adonri noted that, the overall performance has been rewarding for both the market and investors alike, showcasing a positive outlook for the future.
Also, a senior stockbroker, Charles Fakrogha, stated that “it is encouraging to see that many companies are reporting positive results and declaring interim dividends. However, it is crucial that these decisions are made thoughtfully and not merely for the sake of fulfilling a tradition.”
He explained that, dividends should be a reflection of a company’s financial health and should prioritise the interests of investors, saying, “when a company declares interim dividends, it implies a willingness to distribute a portion of its earnings. This practice is beneficial as it provides investors with immediate returns.”
Fakrogha added that, “ultimately, the goal should be to create value for shareholders, ensuring that any dividend payments are made in good faith and with a clear understanding of the company’s financial standing.”
Speaking on the results, chief executive officer, Seplat Energy Plc, Roger Brown said, “Seplat has continued its positive trajectory in Q2 to deliver a strong performance for the first half of 2025. Our focus on integrity, reliability and production improvement activities are bearing fruit as evidenced by strong production in 2Q 2025, with onshore in the upper end of guidance, and offshore production growing 11 per cent quarter on quarter.”
