FHCL Pays First-Dividend to Government
Suva, Fiji – Fiji Hardwood Corporation Limited (FHCL) has delivered its first-ever dividend payment to the Government of Fiji for the 2021 financial year, marking a significant return to the State as shareholder.
Minister for Public Enterprises, the Honourable Charan Jeath Singh, welcomed the $500,000 payment and described it as a historic milestone for the state-owned enterprise sector.
“I acknowledge the Board’s leadership in guiding the company, its management and staff towards improving operational and financial efficiency, strengthening governance, and working collectively with stakeholders to secure independent forest certification, among other strategic goals of FHCL,” the Minister said.
“The 2021 Board of Directors laid this foundation, and the current Board must now sustain this momentum,” he added.
FHCL Board Chairman Mr. Iowane Naiveli said the dividend payment reflects the collective effort across the organisation to restore confidence and reinforce accountability to the State and the people of Fiji.
“This dividend is more than a financial return. It represents discipline, sound oversight and a clear focus on strengthening the Corporation’s long-term sustainability,” Mr. Naiveli said.
The dividend follows FHCL’s return to profitability in 2021, when the company recorded a net profit before tax of $3.302 million, its first since 2018, and fully repaid approximately $8 million in outstanding debt. The result marked a decisive shift in the company’s financial position.
“I re-emphasise that good governance must be upheld at all levels of the organisation, including in our dealings with landowners and other stakeholders, as this will place FHCL in a strong position to embrace business opportunities,” Minister Singh said.
FHCL Chief Executive Officer Mr. Semi Dranibaka said the company remains focused on sustaining performance and delivering consistent returns to Government.
“Our responsibility as a state-owned enterprise is clear. We must operate efficiently, uphold accountability, and ensure that value generated from Fiji’s mahogany resources benefits the State and its people,” he said.
Mr. Dranibaka also acknowledged the dedication and resilience of FHCL staff, noting that the achievement reflects their hard work and commitment during challenging periods.
FHCL will continue to prioritise disciplined financial management, strong governance standards, and responsible stewardship of Fiji’s mahogany resources to strengthen future returns to Government.