Uganda Clays Launches a 5-Year Strategic Plan

Uganda Clays Limited (UCL) has released a five-year strategy plan with the objective of increasing shareholder value, improving staff engagement, and improving customer happiness.

Under the company’s motto, “Beauty to last,” the strategic plan, which was presented at the Annual General Meeting (AGM) of the company in Kampala, represents a renewed commitment to sustainable growth and value creation.

Reuben Tumwebaze, the managing director of UCL, expressed optimism about the company’s performance going forward, pointing to the robust housing market demand and the strong framework provided by the previous strategic plan.

“With the new strategic plan, we are poised to achieve sustainable growth and deliver significant value to our customers, shareholders, and employees,” Tumwebaze said.

This occurrence occurs at a time when producers of roofing products, such as steel companies like Roofings Group and Uganda Baati, who have produced revolutionary roofing materials, are posing a serious threat to Uganda Clays Limited.

The share price of Uganda Clays Limited has declined due to competition; it was formerly as high as Shs 29 but is currently trading on the Uganda Securities Exchange between Shs 12 and Shs 13.

UCL concludes its 2019–2023 strategy with a number of accomplishments in people and systems and business processes, including a 79% staff engagement index and a 71% kiln recovery, both of which exceeded goals.

Nevertheless, the financial performance and customer satisfaction could not meet the expectations of Shs31 billion and 60%, respectively, with a net promoter score of 13% and Shs30 billion in sales, respectively.

UCL showed excellent management stewardship by maintaining a positive Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of Shs3.6 billion in spite of these difficulties.

With the backing of a Shs7.9 billion investment in capacity development that is already enhancing production performance, the company is concentrated on earning a profit again.

Looking ahead, Tumwebaze stated that the business has gotten the necessary mining permits and partnered with regulators to guarantee a smooth installation of new machinery.