- Safiu Kehinde
BUA Food PLC recorded N1.07 trillion revenue and 82% percent increase in the company’s gross profit within nine months.
This was contained in statement issued on Thursday by the company’s Director of Marketing and Corporate Communications, Adewunmi Desalu.
According to the statement made available to NPO Reports, the company recorded the feat in its unaudited financial results for the nine months which ended in September 2024, marking a year-on-year performance leap.
The company’s revenue for the nine-month period reportedly grew by 104% to N1.07 Trillion as against N524.42 billion reported in the same period last year.
In the same vein, BUA’s Gross profit also surged by 82%, hitting N333.82 billion compared to N183.78 billion of same period in 2023.
The food manufacturing company also saw an increase in Net profit (profit after tax) by 91% to hit N201.38 billion, rising from N105.61 billion during the comparable period, last year.
Meanwhile, BUA Foods attributed year-on-year increase of 73 percent in sugar sales to N544.4 billion, 160 percent in flour sales to N389.9 billion, and 131 percent in pasta sales to N134.8 billion as key drivers of this performance.
This according to the statement, reflected the company’s commitment to creating long-term value for all stakeholders.
However, the increase in profit and revenue also resulted to increase in operating expenses by 56% which amounted to ₦43.86 billion on the back of a rise in selling and distribution costs due to inflation.
BUA Foods’ maintained that its strong financial performance positions the company to achieve one of its 2025 goals of becoming Nigeria’s biggest flour, and pasta milling company after signing strategic agreements with Turkish and Italian firms to increase its pasta production capacity to 900, 000 metric tonnes per annum and flour to 2.5 million metric tonnes per annum.
Commenting on the results, the Managing Director of BUA Foods, Engr. (Dr.) Ayodele Abioye, said expressed his excitement with the report.
He affirmed the company’s commitment to addressing food supply challenges through different partnerships and commercialization of supply chain assets.
“We are thrilled to have sustained a remarkable growth trajectory, underscoring the impact of our strategy, innovative product development, and steadfast commitment to quality, even in the face of a challenging business climate”.
“Revenue grew by 104% to N1.07 Trillion compared to the same period last year, while our gross profit stands at N333.8 billion, reflecting a growth of 82%. We saw the benefits of our production capacity expansion and product innovation, as we witnessed an 11% growth in aggregate volume which has further strengthened our position within the industry”.
“Looking ahead, we will remain steadfast in addressing current food supply challenges by leveraging newly commercialized supply chain assets and partnerships across our business divisions. We would maintain a focus on driving internal efficiencies for business growth towards delivering long-term shareholder value.
“We thank our stakeholders, particularly our customers, and consumers for their love for the brand even as we continue to nourish lives”. He said.
Meanwhile, BUA Foods Plc, are makers of BUA Sugar, BUA Rice, IRS Flour, IRS Pasta, and IRS Semolina,