BUA Foods achieves record growth with 104% revenue surge in first nine months of 2024

NIGERIA – BUA Foods Plc, a leading Nigerian food manufacturing giant, reported an exceptional 104% rise in revenue, reaching ₦1.07 trillion (US$647 million) in the first nine months of 2024.

The company recorded substantial year-on-year growth across its revenue, gross profit, and profit after tax, driven by strategic price adjustments, robust demand for key products, and significant production expansion efforts.

Gross profit saw a notable rise of 82%, totaling ₦333.82 billion (US$429 million), while profit after tax grew by 91%, ending at ₦201.38 billion (US$259 million).​

This substantial increase from the ₦524.42 billion (US$317 million) recorded in the same period in 2023 reflects the company’s robust growth strategy and strong market demand.

The company’s profit after tax saw a remarkable 91% jump to ₦201.38 billion (US$121.7 million), up from ₦105.61 billion (US$63.8 million) last year.

Major contributors to this growth included a surge in sales across its product lines: sugar sales increased by 73% to ₦544.4 billion (US$329 million), flour by 160% to ₦389.9 billion (US$235.6 million), and pasta by 131% to ₦134.8 billion (US$81.5 million).

This diverse growth across product lines solidifies BUA Foods’ position as a key player in Nigeria’s food sector​

Despite inflation and rising distribution costs, which raised operating expenses by 56% to ₦43.86 billion, BUA Foods maintained its profitability.

The company has strategically invested in expanding its production capabilities to meet increasing demand.

Recently, BUA Foods Plc entered into a strategic partnership with IMAS, a renowned Turkish flour milling equipment manufacturer, to construct four advanced wheat and flour milling factories.

This significant development would enhance BUA Foods’ production capacity by an additional 3,200 tonnes per day, marking a pivotal step in the company’s expansion strategy.

In addition, the strategic partnerships are set to expand its annual pasta production to 900,000 metric tonnes and flour production to 2.5 million metric tonnes by 2025. This aligns with BUA Foods’ vision of becoming Nigeria’s top flour and pasta manufacturer​

Engr. (Dr.) Ayodele Abioye, Managing Director of BUA Foods, expressed gratitude to stakeholders.

 “Our growth reflects our strategic focus, innovative product development, and unwavering commitment to quality, even amid challenging economic conditions,” he noted.

The company’s trajectory has garnered several awards, including Company of the Year at the 2024 All Africa Business Leaders Awards and recognition for its customer-centric and quality-driven approach.

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