BUA Foods Plc, a Fast-moving consumer Goods (FMCG) business in Nigeria, has attributed its outstanding market performance to the exciting performance of the brands in its portfolio in their different market segments.

The company, which recently announced a 5.8 trillion naira market capitalization, parades highly performing brands in the Sugar, Flour, Pasta, Rice, and Edible Oils segments of the market.

Notably, the flour business witnessed a substantial expansion in production capacity, increasing from 500,000 Metric Tonnes (MT) to 1,220,000 MT. At the same time, the Pasta division saw its capacity rise from 250,000 MT to 500,000 MT between 2021 and 2023.

These growths were said to have translated into revenue increases, with Flour recording a remarkable 152% surge and Pasta achieving a notable 54% growth in 2023 relative to previous year.

Additionally, BUA Foods embarked on developing its rice business during this period, with initial production capacity of 200,000 MT leveraging its commitment to utilizing locally sourced raw materials. This strategic approach not only supports national development plans but also fosters the advancement of Nigeria’s local rice industry, ultimately enhancing the economic prospects of local communities.

Despite maintaining a consistent production capacity of 1,500,000 MT since 2021, the sugar business remains one of the largest sugar refineries in West Africa and achieved an impressive 53% growth in revenue, underscoring its significance within the region’s sugar industry landscape.

While addressing journalists at the company’s head office recently, the Managing Director, Engr. Ayodele Abioye, disclosed that the market performance has continued to be boosted since the listing of the company on the Nigerian Exchange Group in 2022.

According to the MD, the strategic decision to list the company on the Nigerian Exchange Group did not only streamline its operations but has also bolstered the company’s capacity to capitalize on the growth opportunities and export potentials presented by the African Continental Free Trade Area.

He revealed that the unprecedented growth recorded so far, was hinged on the business resilience and determination to weather the storm despite the economic headwinds that has confronted the entire Nigerian economy, noting that BUA Foods plays a pivotal role in driving economic growth, producing high-quality foods and creating long-term values for all stakeholders.

In his word, “As at today, we have grown the market capitalization from 720 billion naira to 5.8 trillion naira within two years. We started witnessing this unprecedented success in our financial performance since we listed on the Nigeria Exchange Group. Since January 2022, we have excelled in tough economic times and we have democratized wealth creation by delivering value across the capital market ecosystem through boosting liquidity at the stock exchange, generating returns for investors and achieving 100% dividend payout.”

He added, “Apart from growing the market capitalization, the shareholders’ count also grew from 324 in 2002 to 2,612. At the moment, over $200 million had been invested on the BUA Sugar Estate in Lafiaji, Kwara State with strong partnership with the host community. Our focus remains on increasing revenue, improving production and expanding our product mix as well as deepening markets.”

Speaking on measures put in place to sustain the growth trajectory, Abioye stated that BUA Foods Plc is actively engaging with host communities and prioritizing responsible production practices to minimize its environmental footprint.

He also hinted that the company has expanded its workforce by 57%, as a result of ongoing expansion projects at its Flour, Pasta and Rice divisions thereby contributing to the country’s economic growth.

“Over the last two years, the company has expanded its workforce by 57%, as a result of ongoing expansion projects at its Flour, Pasta and Rice divisions thereby contributing to the country’s economic growth.

“As BUA Foods embarks on its journey towards continued success, it remains firmly poised to navigate future growth and expansion with confidence and foresight. With a solid foundation and a clear vision guiding our path forward, we plan to leverage emerging opportunities to deliver sustained value for the foreseeable future,” he concluded.