The power of One AkzoNobel
Looking back at the five years since the merger of different AkzoNobel verticals withyour company in 2011-12 One AkzoNobel has proved its power and edge in takingforward our mission to create everyday essentials for our customers. The time is now ripeto consolidate the gains and move forward.
Our performance this past year once again set our company apart as an integratedsolutions provider with unique advantages. Our portfolio of brands across coatings andspecialty chemicals has grown steadily and delivered sustained value to all ourstakeholders. This success is based on our culture of continuous improvement innovationand operational excellence which has made us more agile enabling growth in the face ofglobal economic uncertainties. What we do now will take us from where we are to where wedeserve to be.
In the period following the merger we rolled synergies into various companyoperations. This is reflected in a top-line CAGR of over 18 per cent in the past fiveyears with profit from our businesses growing in tandem. We ensured that this reached ourshareholders through special dividends in two of the past four years topped by furtherdistribution proposed for this year.
Based on our consistently improving performance and continuous build-up of cashsurplus the Board has recommended a special dividend of Rs 50 in addition to the normaldividend of Rs 20 per share compared with a total of Rs 20 per share in the previousyear. This takes our companys total shareholder return to 97 per cent since themerger well ahead of the benchmark Sensex which delivered a growth of 27 per cent in thesame period. We are now more confident than ever of our ability to continue servingshareholder interests while at the same time generating sufficient resources to supportour growth plans.
We expect 2016-17 to bring its own challenges and our aim will be to optimise the useof every resource available.
India is expected to continue as the global bright spot with a fast growingeconomy. And we are positioned well to be a part of this growth story with a portfolioservicing several sectors of the economy. We will keep striving towards a sustainableleadership position in the times to come.
All that has been achieved is the result of persistent efforts made by every employeeat AkzoNobel India. I would like to thank each member of our team for making 2015-16 sucha satisfying year.
I would also like to thank those who have been with us on this journey ourvalued shareholders loyal customers banks supply chain partners and all otherstakeholders for their support and faith which made this success possible. I takethis opportunity to renew our commitment towards you and our business as we come togetheronce again for an inspiring year ahead.
Nihal Kaviratne CBE