BUA Foods records N130billion PAT in H1 2024
By Oluwaseyi Lawal
BUA Foods Plc, a subsidiary of BUA Group, reported a profit after tax (PAT) of N130.93 billion for the first half (H1) of 2024.
This marks a 38 percent increase from the N95.18 billion achieved during the same period in 2023.
According to its half-year financial results for 2024 submitted to the Nigerian Exchange Limited (NGX), the company generated N672 billion in revenue despite challenging business conditions and macroeconomic pressures. This revenue is 110 percent higher than the N320 billion recorded in H1 2023.
BUA Foods also noted that its gross profit rose by 64 percent to N218.4 billion, driven by increased sales in its flour, sugar, and pasta divisions. The firm reported an operating profit of N202 billion, reflecting a 75 percent improvement in operational efficiency.
However, the company incurred a foreign exchange (FX) loss of N54.6 billion in H1 2024.
Ayodele Abioye, Managing Director at BUA Foods Plc stated, “The first half of the year has been one of significant resilience and achievements for our company. We attained a robust financial performance, with total revenue increasing by 110 per cent to N672.3 billion compared to the same period last year. Our gross profit stands at N218.4 billion, reflecting a growth of 64 per cent.
“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.”
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