Shareholders of TOL Gases are set to reap substantial rewards as the company's dividend per share has surged by an impressive 25% owing to a significant rise in profits. The 28th annual general meeting, convened over the weekend in Dar es Salaam, resounded with enthusiasm as the dividend was endorsed at 50/- per share for the preceding year, marking a remarkable increase from the 40/- paid out in 2021.
The upbeat sentiments were echoed by Mr. Simon Mponji, the Chairman of TOL Gases, who confidently affirmed the company's favorable trajectory. "Our company's journey has been auspicious. I assure stakeholders that the company is in a robust state," Mr. Mponji asserted.
Amidst the elation, Mr. Mponji disclosed the company's strategic interest in venturing into the burgeoning natural gas sector within the country. "Our initial focus will be on Dar es Salaam. A team of seasoned experts has already been assembled to navigate the complexities of this market entry. The team's remit encompasses comprehensive evaluations of technical and financial aspects," he elaborated.
Mr. Daniel Warungu, the Managing Director of TOL Gases, revealed that shareholders gave their resounding approval for a dividend of 50/- per share, underscoring a 10/- increment from the preceding year. "Our sights are set on further augmentation in the coming year," Mr. Warungu affirmed. He noted that the company achieved a profit of 2.8 billion/- in 2022, an impressive ascent from the 2.1 billion/- recorded in 2021.
TOL Gases, previously known as Tanzania Oxygen Limited, boasts a storied legacy within the gas industry in Tanzania. It is listed on the Dar es Salaam Stock Exchange (DSE) and is predominantly owned by Tanzanians, commanding an 89% stake. Recognized as the premier manufacturer and distributor of industrial and medical gases in Tanzania, the company's evolution dates back to its establishment in 1950 as a subsidiary of the African Oxygen and Acetylene Company (AFROX) from South Africa. In 1965, it merged with East Africa Oxygen Limited of Kenya, itself a segment of the BOC Gases Group.
A pivotal transition occurred in 1986 when BOC divested from Tanzania as part of a comprehensive reorganization. Subsequently, the government assumed full ownership and management of the company, solidifying TOL Gases' position as a beacon of the nation's industrial landscape.