BUA Foods Plc has recorded a growth in profit by 38 per cent year-on-year to about ₦130.9 billion from ₦95.18 billion in the comparable period in 2023.
According to an unaudited financial statement published on the Nigerian Exchange, this translates to 37 per cent year-on-year growth in earnings per share, from ₦5.29 to ₦7.27.
The financial report revealed that the company recorded a revenue surge by a remarkable 110% to ₦672.3 billion against ₦320.9bn posted in 2023, driven primarily by strong performance in the sugar, flour, and pasta divisions.
According to the report, the growth was due to a year-on-year increase of 88 per cent sugar sales to ₦369.7bn from ₦196.5bn recorded in H1 2023, 164 percent in Flour sales to ₦227.9bn as against ₦86.05bn in H1 2023, and 95 per cent in Pasta sales to ₦74.03bn from ₦37.9bn in the first half of 2023.
The company’s financial performance was characterised by strong top-line growth and expanded profitability. Gross profit surged by 64% to ₦218.4 billion, driven by increased sales across its product lines. Operating profit also climbed by 75% to ₦202.3 billion, reflecting improved operational efficiency.
However, the company faced rising costs, with cost of sales soaring by 141% to ₦453.9 billion. Despite this, BUA Foods managed to expand its asset base, with total assets increasing by 3.3% to ₦1.106 trillion.
“The first half of the year has been one of significant resilience and achievements for our company,” Managing Director of BUA Foods, Engr. (Dr.) Ayodele Abioye, said while expressing delight with the results.
He added, “We attained a robust financial performance, with total revenue increasing by 110% to ₦672.3 billion compared to the same period last year. Our gross profit stands at ₦218.4 billion, reflecting a growth of 64%. This solid performance is a testament to the efficacy of our strategic initiatives, operational efficiency, and unwavering dedication of our board, management, and other members of staff.
“During this period, we have made significant strides in executing our strategic plans, successfully launching new products, specifically, macaroni, premium pasta, and semolina to meet the yearnings of our customers.
“Our diversified portfolio and expansion into new markets impacted revenue growth while strengthening our partnership with key stakeholders We also maintained a strong focus on cost optimisation, resulting in sustained margins and profitability.
“Looking ahead, we remain confident in our ability to navigate the challenges and opportunities in the market. We will continue to leverage our strong and orchestrated supply chain system to deliver a great financial performance in line with our strategic vision for sustainable growth and value creation for all stakeholders.”
