The 56th Annual General Meeting (AGM) of Sui Southern Gas Company (SSGC), which held here on Friday, approved the financial statements together with the Auditor's Report for the financial year ending June 30, 2010.
The AGM also approved payment of cash dividend to the shareholders at a rate of Rs 1.5 per share of Rs 10 each ie 15 percent and issue of bonus shares to the shareholders in proportion of 2.50 ordinary shares for every 10 ordinary shares held by the members ie 25 percent. A large number of shareholders were present on the occasion.
During the Annual General Meeting, fourteen directors were elected for the Company's Board for a fresh three-year term, commencing from October 29, 2010. The elected directors are Salim Abbas Jilani, Dr Faizullah Abbasi, Abbas Ali Mehkri, Abdul Rashid Lone, Ahmed Baksh Lehri, Aurangzeb Ali Naqvi, Ayaz Dawood, Fazal-ur-Rehman Dittu, Eng. M. A. Jabbar, Mirza Mahmood Ahmad, Nessar Ahmed, Shahid Aziz Siddiqui, Sher Mohammad Khan and Wazir Ali Khoja.
Salim Abbas Jilani, Chairman SSGC highlighted significant events of the year and apprised the shareholders of the performance of the Company. "The company's after tax profit grew to Rs 4,399 million, translating into an impressive Earning per Share (EPS) of Rs 6.55 per share," the Chairman announced, while adding that the OGRA's decision to revise the Unaccounted-for-Gas (UFG) benchmark from 5 percent to 7 percent along with its recognition of the company's non-operating income generated from non-licensed activities arising out of royalty from JJVL, profits from meter manufacturing plant, sales of condensate and late payment surcharge has been a driving force behind the company's rejuvenation.
The Chairman reiterated that while OGRA's determination this year has resulted in lesser penalties and consequently higher profits, the Company's Directors, management and employees realise that controlling UFG is a major challenge which needs a focused strategic approach. He said that the company must work efficiently and continue to give better EPS to the shareholders.
Jilani informed the shareholders that the company has undertaken a massive bottom-up organisational restructuring plan to put the utility back on the road to growth and profitability. He said that to rationalise the re-structuring process, business units have been established by merging distribution and customer relations divisions. The Chairman said that KESC's inability to settle its outstanding payments is a major concern since SSGC is facing tremendous difficulty in paying for the gas it purchases from the producers. He said that the Company recognises that KESC's presence is indispensable for running Karachi's households and industries. The shareholders congratulated the SSGC Directors, management and workforce for impressive results and hoped that the trend will continue in the future too.-PR