The unaudited financial results for the nine months ending September 2024 have been revealed by BUA Foods Plc, the company that produces BUA Sugar, BUA Rice, IRS Flour, IRS Pasta, and IRS Semolina. This represents a significant improvement in performance over the previous year.
Compared to the N524.42 billion recorded during the same period last year, the company’s revenue for the nine months increased by 104% to N1.07 trillion. In comparison to N183.78 billion in the 9M of 2023, gross profit increased by 82% to N333.82 billion, further solidifying the company’s position in Nigeria’s food manufacturing sector. Its earnings after tax climbed from N105.61 billion during the same time last year to N201.38 billion, a 91% rise.
The company’s dedication to generating long-term value for all stakeholders was demonstrated by the year-over-year increases in sugar sales of 73% to ₦544.4 billion, wheat sales of 160% to ₦389.9 billion, and pasta sales of 131% to ₦134.8 billion. Due to an increase in selling and distribution costs brought on by inflation, operating expenses increased by 56% to ₦43.86 billion.
BUA Foods’ impressive financial results put it in a strong position to meet one of its 2025 objectives, which is to become the largest flour and pasta milling company in Nigeria. The company has already signed strategic agreements with Turkish and Italian companies to increase its capacity to produce pasta to 900,000 metric tonnes annually and flour to 2.5 million metric tonnes annually, BrandSpur business and economy news reports.
Numerous awards have been given in recognition of this remarkable growth trajectory. BUA Foods became the first Nigerian firm to win the coveted Firm of the Year title at the 2024 All Africa Business Leaders Awards, which were held in collaboration with CNBC in South Africa just last week. The business also recently won the Customer-centric FMCG Corporate Brand of the Year award, the Most Valuable Indigenous Food Company of the Year award, and Flour Brand of the Year 2024 for its IRS Premium Wheat Flour.
Engr. (Dr.) Ayodele Abioye, Managing Director of BUA Foods, commented on the findings: “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 commercialised 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 added.
