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SIFAX Group Projects Improved Business Performance

SIFAX Group, one of the fastest growing multinational corporations with diverse interests in Maritime, Aviation, Haulage & Logistics, Oil & Gas and Hospitality, has projected an improved business performance in the country’s economy in the second half of the year.DSC_0763

This optimism is hinged on the liberal foreign exchange policy announced recently by the Federal Government through the Central Bank of Nigeria, which will in turn, create a friendlier and more conducive environment for businesses to thrive.

While speaking at the company’s mid-year business performance review session in Lagos, Mr. John Jenkins, Group Managing Director, SIFAX Group, noted that the period between January and June, 2016 has been a very challenging time for businesses in the country, especially, those with substantial interest in the logistics value chain like SIFAX Group.

He said: ‘The first half of the year has been very challenging for all businesses in the country. The previous very stringent control of the foreign exchange regime played a lot of role in the underperformance of various businesses. But things are gradually changing as the effect of the new forex policy is beginning to show and we are convinced that the second half of the year will be a lot better.”

On the company’s performance mid-year, Jenkins noted that the various subsidiaries of SIFAX Group recorded a sharp decline in business volume with an attendant decrease in revenue and profit.

“Taking into considerations the subsidiaries business performances mid-year, it’s safe to conclude that SIFAX Group has recorded between 20% and 25% volume decline in the first half of the year 2016 when compared with the same period in 2015.”

Speaking specifically, Jenkins noted that Ports & Cargo Handling Services, the port terminal management arm of the Group recorded a drop in vessel operations, throughput and gate activities.

“While the percentage of volume decline varies across all measuring indices but on the average, Ports & Cargo recorded approximately a 10% drop in container business operations and about 50% drop in volumes for general cargo goods compared with the first half of 2015.”

He also added that other subsidiaries in the inland container depot and haulage sub-sectors also recorded a not-too-cheering performance, adding that the Group expects a more robust business performance and increase market share in the second half of the year. These, he said, would be accomplished with efficient service delivery, personalized customer management system, bespoke business solutions and aggressive marketing strategy.