Unilever Nigeria Plc has posted N2.6 billion profit after tax in its 2008 operations against N1.2 billion recorded in the previous year.

The company's turnover also increased from N34 billion in 2007 to N37 billion in the period under review.

The chairman of the company, Apostle Hayford Alile, while addressing shareholders at the 84th yearly general meeting held in Lagos yesterday, explained that the percentage increase in profit after tax is 141 per cent, while turnover grew by 10 per cent.

He added that the company's earning per share stood at 69 kobo, from 25 kobo in 2007, which according to him represents 147 per cent.

With a dividend pay out of 65 kobo per share, Alile attributed the improved performance to prudent investment in capacity expansion, cost management, quality initiatives, as well as building of competitive customer management capabilities.

He bemoaned the on-going economic recession, which is currently causing a free fall on the Naira, against major world currencies, noting that this has posed enormous challenges to the company and the manufacturing sector.

He said: "2008 was a very difficult year that presented numerous challenges to the company.

"Initially, inflationary pressure in the global commodity market led to higher materials input cost for our product.

“The global economic downturn towards the end of the year led to the devaluation of Naira, which was partially off set by a deflationary trend for imported materials.

"Looking forward to the rest of 2009, we are facing a challenging trading environment. The global recession has equally impacted Nigeria with increasing deregulations and with the opening up of the Nigerian market, competitive pressure on our brand is increasing".

Alile added: "We shall continue to focus on smart material cost management, enabling us to provide the Nigerian consumer with products that offer good value for money proposition.

"We will continue to focus on market growth on our leading categories, improved availability at point of sale and consumer relevant innovation will equally facilitate growth"

On the future plans of the company, Alile disclosed that the company has concluded arrangement to open a powder detergent company at Agbara.

This, he said, would increase productivity and turnover volume of the company.