Nigerian companies record impressive dividend growth rates

A recent analysis conducted by Nairametrics has shed light on the consistent dividend payments made by some Nigerian-listed companies over the past five years (2018 to 2022). This group comprises approximately 32 companies hailing from diverse sectors, including financial services, manufacturing, telecoms, and consumer goods.

These steadfast dividend-paying companies collectively distributed N3.47 trillion in dividends during the five-year period, reflecting an average 5-year compound annual growth rate (CAGR) of 14.74%. The substantial total payout underscores their commitment to providing returns to their shareholders.

For investors, the dividend CAGR holds significance, as it can exert a substantial influence on long-term investment returns. The consistency of these companies in delivering dividends signals financial stability and a commitment to rewarding their shareholders, making them an attractive option for income-focused investors in the Nigerian market.