TANZANIA Cigarette Company (TCC) posted a 21 per cent increase of net tax profit to 85.9bn/- in the year ending 2012, upfrom 70.9bn/- of the previous period.
Similarly, the company's net sales increased to 281.4bn/- in the period under review, which is equivalent to 12 per cent change compared to 250.3bn/- registered in the year before. According to the TCC financial results for the year ending December 2012, gross turnover jumped to 422.6bn/- last year from 376.8bn/- recorded in the previous period, representing a 12 per cent change.
"Apart from a challenging domestic economic environment and highly competitive export markets, the company managed to post outstanding financial results," it was stated in the financial report. The Cigarette Company also managed to post 22 per cent increase of profit before tax to 123.7bn /- in the year under review, compared to 101.4bn/- garnered in the preceding period.
The TCC board of directors that met last week recommended 20bn/- or 200/- per share as final ordinary gross dividend which is 50 per cent increase over 10bn/- or 100/- per share offered in the previous year.
The total gross dividend for the period under review, after combining the interim and gross dividend of 30bn/- or 300/- per share paid in October, last year, will thus be 75bn/- or 750/- compared to 60bn/- or 600/- offered in the previous period.
However, the final gross ordinary and special dividends are subject to shareholders' approval at the Annual General Meeting (AGM) to be held next month.
Furthermore, the amount disbursed by the company as Value Added Tax (VAT) increased to 58.8bn/- in the period in question, up from 52.9bn/- paid in the preceding year, representing 11 per cent change. Also the excise duty increased to 82.4bn/- in the year ending 2012 compared to 73.5bn/- disbursed in the year before.