NAMDIA declares a record dividend of N$300 million to the government

Martin Endjala

The Namib Desert Company (NAMDIA) has declared a record dividend of N$300 million to the government for the 2022/23 financial year, marking a continual increase from the dividends declared in the previous years, including N$50 million for 2018/19, N$80 million for 2019/20, N$40 million for 2020/21, and N$150 million in 2021/22.

Bryan Eiseb, Board Chairperson of NAMDIA, announced this milestone at the 2022/23 annual report launch in Windhoek. This declaration, he noted, is unprecedented in the history of the state-owned entity since its inception. Eiseb emphasized NAMDIA’s commitment to establishing itself as an institution guided by robust governance principles and highlighted that the annual report serves as a testament to the institution’s dedication.

The dividend declared, according to Eiseb, strengthens the case for Namibia to maximize the value of its diamonds through NAMDIA. “For over 100 years, Namibia’s diamonds have been exported. However, we must demand more value addition for our diamonds,” said Eiseb. He advocated for more domestic cutting, polishing, and utilization of diamonds in local jewellery, asserting that Namibia should be unapologetic about leveraging its natural resources.

Deputy Minister of Finance and Public Enterprises, Maureen Hinda Mbuende, praised NAMDIA’s contribution to the country’s economy while receiving the dividend on behalf of the government. The substantial contribution, she pointed out, will bolster government initiatives across various sectors, ultimately benefiting the nation and its people.

Mbuende stressed that NAMDIA’s dividend declaration symbolizes more than just profit—it represents the company’s responsibility, accountability, transparency, and adherence to ethical practices. She commended NAMDIA’s leadership and expressed optimism about the entity’s commitment to fortifying existing partnerships and exploring new avenues for positive transformation in the diamond industry and the broader developmental landscape of Namibia.

NAMDIA Chief Executive Officer, Alisa Amupolo, highlighted the company’s robust performance during the 2022/23 financial year, with revenue reaching a significant N$3.1 billion. This performance was attributed to increased purchase entitlement, diversified sales channels, and the overall buoyancy of the diamond industry during the first half of 2022.

Chief Operations Officer, Uahoroka Kauta, disclosed that the company recorded high sales of diamonds, exceeding the standard selling price of De Beers by 15.3 percent at 275,600 carats during the reviewed year. He further revealed that NAMDIA’s cash reserves currently stand at N$513 million and that, as part of its Corporate Social Responsibility, the company invested over N$5 million in initiatives aimed at fostering sustainable development and making a positive impact on local communities during the 2022/23 financial year.

Kauta reaffirmed NAMDIA’s resolve to enhance its corporate social responsibility endeavours in the forthcoming financial year, aiming to bring about meaningful change in the lives of the Namibian people.

Revenue for the 2022/23 financial year surged by 63 percent to N$3.1 billion compared to N$1.9 billion in the previous year. The company recorded a gross profit of N$628 million, a notable increase from N$284 million in 2021/2022, resulting in a profit before tax of N$612 million and a profit after tax of N$409 million.

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