BUA Cement’s profit jumps to N90 billion

31 Mar BUA Cement’s profit jumps to N90 billion

BUA Cement posted a one-quarter jump in pre-tax profit to N102.9 billion in 2021, 30.4 per cent higher than the previous years. while net profit advanced by 24.5 per cent to N90.1 billion, according to the audited financial statements of Nigeria’s second biggest cement manufacturer.

Revenue for the period enlarged 23 per cent to N257.3 billion from a year earlier, 99.1 per cent of that coming from its home market Nigeria, where it upped capacity by 3 million metric tonnes per annum through its Sokoto plant this January.

That helped earnings per share up from N2.14 to N2.66.

Profit margin stood at 35 per cent, meaning the company made a profit of N35 for every N100 sales during the year. That compares with the 34.5 per cent for the year before.

The company’s operating costs  rose to N19.3 billion from N15.2 billion partly on account of surge in administrative expenses.

BUA Cement hopes to scale up its total capacity to 20 million mt come year end, the proposed delivery time for expansion projects in Edo and Adamawa states, where new plants of 3 million mt each are expected to be completed.

The company is one of many under the BUA Group, largely owned by  Abdul Samad Rabiu, Africa’s fifth richest man by Forbes estimate, who holds 99.98 per cent of the company’s shares, according to the newly released earnings report posted on the Nigerian Exchange’s website.