BUA Foods Plc, one of Nigeria’s leading food manufacturing companies and producers of brands like BUA Sugar, BUA Rice, and IRS Flour has reported significant growth in its nine-month financial performance for 2024, with revenue reaching N1.07 trillion.
This marks a 104% increase from N524.42 billion during the same period last year.
The company’s gross profit also saw an impressive rise of 82%, climbing to N333.82 billion from last year’s N183.78 billion.
The performance reflects the company’s strong positioning and growth strategy in Nigeria’s competitive food manufacturing sector, supported by robust sales across its product lines.
BUA Foods’ profit after tax increased by 91% to reach N201.38 billion, up from N105.61 billion in the comparable period in 2023.
Growth Drivers and Market Expansion
A major factor in BUA Foods’ remarkable performance has been the significant year-on-year growth across key product categories.
Sugar sales soared by 73% to reach ₦544.4 billion, flour sales spiked by 160% to ₦389.9 billion, and pasta sales jumped by 131% to ₦134.8 billion.
The growth highlights the company's commitment to meet increasing demand while maintaining long-term value for stakeholders.
The company’s operating expenses increased by 56% to ₦43.86 billion, largely due to inflation-driven rises in selling and distribution costs.
Nonetheless, BUA Foods’ financial strength and capacity expansions have helped the company absorb these cost pressures.
Capacity Expansion and Strategic Partnerships
BUA Foods is positioned to achieve one of its primary goals for 2025—to become Nigeria's largest flour and pasta milling company.
The company recently entered strategic agreements with Turkish and Italian firms to boost production capacity, targeting 900,000 metric tonnes every year in pasta production and 2.5 million metric tonnes each year in flour production.
Accolades and Industry Recognition
In recognition of its growth and market impact, BUA Foods was named “Company of the Year” at the 2024 All Africa Business Leaders Awards, in partnership with CNBC.
This marks the first time a Nigerian company has received this honour.
The company was also recognized with several other awards, including “Most Valuable Indigenous Food Company of the Year,” “Customer-centric FMCG Corporate Brand of the Year,” and “Flour Brand of the Year 2024” for its IRS Premium Wheat Flour.
Leadership Perspective and Future Outlook
Commenting on the results, Engr. (Dr) Ayodele Abioye, Managing Director of BUA Foods, highlighted the importance of strategic innovation, efficient production, and stakeholder trust as the company’s growth engines.
“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,” he said.
“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%,” he added.
Abioye emphasized BUA Foods’ focus on meeting food supply challenges in Nigeria through enhanced supply chain assets and strategic partnerships, which he believes will support continued business growth and long-term shareholder value.
Looking ahead, BUA Foods aims to leverage its expanded production capacities, particularly in flour and pasta, and its robust distribution channels to cement its place as a dominant player in Nigeria’s food sector.
The company remains focused on addressing food supply challenges in the region, aiming to maintain its commitment to nourishing lives and adding value for consumers and stakeholders alike.
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