University Press increases dividend 20% as profit growth signals recovery

UNIVERSITY Press Plc has rewarded shareholders with a higher dividend after delivering a remarkable financial performance for the year ended March 31, 2026, underscoring a steady recovery in Nigeria’s education publishing industry despite persistent inflationary pressures and rising production costs.

The company has proposed a final dividend of 18 kobo per ordinary share, representing a 20 percent increase over the 15 kobo paid in the previous year. The dividend, subject to shareholders’ approval at the Annual General Meeting scheduled for September 24 in Ibadan, will be paid electronically to shareholders whose names appear in the register as of August 28, 2026. The register of members will be closed between August 31 and September 4.

The improved shareholder payout follows a notable turnaround in the company’s financial results, with stronger earnings reflecting increased demand for educational materials, improved operational efficiency and tighter cost management.

University Press reported higher revenue in its audited 2026 financial year, supported by increased textbook sales and growing demand from schools following renewed public and private sector investments in education. The stronger top-line performance translated into significant growth in operating profit and profit after tax, enabling the board to recommend a higher cash reward for investors while maintaining a conservative capital position.

The performance also reflected improved margins as management intensified efforts to streamline operations, optimise distribution channels and strengthen its digital publishing initiatives amid changing learning patterns.

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The proposed dividend reinforces investor confidence in one of Nigeria’s oldest educational publishing companies, which has continued to navigate a challenging operating environment marked by elevated paper prices, foreign exchange volatility and higher logistics costs that have weighed heavily on manufacturers.

Analysts said the increased payout demonstrates management’s confidence in the sustainability of the company’s earnings momentum and its ability to generate sufficient cash flows despite macroeconomic headwinds.

The company has proposed no bonus issue for the financial year. Shareholders who have yet to register for the electronic dividend payment system have been advised to complete the e-dividend mandate with the company’s registrar, Greenwich Registrars, ahead of the qualification date.

At the Annual General Meeting, shareholders are expected to consider and approve the dividend proposal alongside other statutory business, including the presentation of the audited financial statements and reports of the directors and auditors.

The higher dividend comes at a time when investors on the Nigerian Exchange are increasingly rewarding listed companies that have combined earnings resilience with consistent dividend policies, particularly amid expectations of improving corporate earnings in the second half of 2026.

University Press’ latest payout signals that the company is positioning itself to sustain its recovery trajectory while capitalising on renewed activity in Nigeria’s education sector, where demand for curriculum-based instructional materials remains strong despite broader economic challenges.