By Nkiruka Nnorom
THE Chairman of Chemical and Allied Products, CAP, Plc, Mr. Larry Ettah, has said that the plan by the Federal Government to roll out N1 trillion real estate fund as part of efforts to develop the infrastructure base of the nation will trigger investment opportunities in the industrial goods sector of the economy.
Ettah who stated this at the company’s Annual General Meeting, AGM, in Lagos, said the plan by the government to commit 31 per cent of the 2017 budget capital expenditure would also boost activity in the building materials, construction and real estate sectors.
He noted that CAP Plc was positioning to leverage on the opportunities proffered by the 2017 budget for the real estate sector to drive growth, adding, “We will be future-proofing our business by focusing on innovation and expanding local product offerings. We will also pilot colour advisory services to professionals in the building industry to further consolidate our leadership in the industry.”
Reviewing the company’s operation during the year, he said that a combination of forex scarcity, high cost of funds, rising cost of inputs and downturn in the real estate sector impacted the company’s planned growth during the year. Consequently, the company recorded sales turnover of N6.81 billion, representing three per cent decline over N7.06 billion posted in 2016, while the operating profit was down 10 per cent to N2.12 billion during the year under review.