Revealed in its 2024 financial statement, the company experienced a challenging year, with declines in key financial indicators despite a surge in revenue. Revenue increased by 16.4% to N5.3 billion, up from N4.5 billion in 2023.

However, the company reported larger losses compared to 2023, with its after-tax deficit growing from N1.6 billion in 2023 to N2.3 billion in 2024.

Loss before tax surged by 46.6%, reaching N2.3 billion, up from N1.6 billion in 2023. Gross profit declined by 9.5%, falling to N1.4 billion from N1.6 billion in 2023. Finance costs also increased by 23%, rising to N12.7 million from N10.4 million.

Again, total assets dropped by 11%, falling to N27.5 billion from N30.9 billion, while total liabilities were reduced by 13.6%, from N13.1 billion to N11.3 billion.

Television remained the largest revenue contributor, bringing in N4.6 billion, or 87.6% of the total revenue. The Radio and DNS Service segments contributed N389.3 million (7.4%) and N261.3 million (4.98%), respectively.

The company’s financial statement reveals disturbing statistics regarding its ability to remain in business. As of December 2024, DAAR Communications had accrued statutory charges, including Pension, PAYE, and VAT, totalling over N4.86 billion.

Added to this, liabilities for accrued staff salaries and terminal benefits for exited staff stood at N2.24 billion.

The shake-up, which has seen the departure of several long-serving directors, is part of a broader strategy to align with regulatory requirements and ensure the company’s future growth.

Dokpesi Jnr began by clarifying that the decision to part ways with these directors was not driven by personal preference.

“It isn’t a personal decision to ask anyone to go,” he stated. “If it were up to me, I would definitely want to harness the experiences, relationships, and skill sets of our management for a little bit longer.”

As a publicly listed company on the Nigerian Stock Exchange, DAAR Communications is subject to the rules set by the Security and Exchange Commission and the code of corporate governance.

These regulations mandate that directors serve no more than two terms of five years.

Dokpesi Jnr emphasized,

“Our responsibilities to our shareholders transcend personal choices or opinions.”

He noted that many of the current management team members have been with DAAR Communications since its early days, with some serving for up to 27 years.

“Their retirement is, in fact, long overdue,” he said. “This decision should have been made five, six, or seven years ago.”

Dokpesi Jnr also addressed the political context influencing the timing of these changes. Reflecting on the Buhari administration’s impact on the organization, he noted, “During that period, the treatment of AIT and our founder was difficult. Implementing changes at that time might not have been the best idea.”

With the current political environment now more favorable, Dokpesi Jnr believes it is an ideal time for a strategic review of the company’s direction.

“The time is right for us to review where we want to go,” he remarked. “We must decide whether to continue on our existing trajectory or to pursue something different.”

He highlighted that the shake-up aims to ensure compliance with legal and regulatory standards, thereby instilling confidence in investors and supporting the company’s growth.

“We need to abide by existing laws and regulations to give the investing public confidence in our organization and its administration,” Dokpesi Jnr explained.

Finally, Dokpesi Jnr assured that these changes would create opportunities for both existing staff and external candidates.

“Opportunities will open up for people within DAAR Communications to advance into new roles, as well as for qualified individuals from outside the organization and the broader industry to contribute,” he concluded.

The notice was required, according to the government, to demolish the building and start work on the proposed Government Residential Area (GRA) Phase 5 in Ozuoba, according to a letter dated March 20, 2023, and signed by Mrs. Ebere Dennis Emenike, Permanent Secretary of the Rivers State Ministry of Works.

The Rivers State Government and Daar Communication Plc are at odds over the site where AIT and Raypower Radio Station established its Ozuoba transmission station.

The state government recently claimed the property through a motion passed by the State House of Assembly.

Part of the letter read: “Following the imminent commencement of the above project, all structure(s) impacting on the right-of-way of the project have been earmarked for demolition including your own.

“Consequently, you are by this notice requested to remove such structure(s) within 48 hours to allow for speedy progress at work please”.