BUA Foods hits N1.5 trillion in revenue, profits soar 162% as it overtakes multinational competitors 

According to the company’s audited financial statements for the year ended December 31, 2024, BUA Foods recorded revenue of N1.527 trillion, more than double the N729.4 billion it reported in 2023.

This represents a 109.5% year-on-year increase and marks the highest annual revenue in the company’s history since listing on the Nigerian Exchange in 2021, when it reported N333.2 billion in topline revenue.

Pre-tax profit also soared by 162.9% to N284.32 billion, while profit after tax grew 137.3% to N265.99 billion — cementing BUA Foods’ position as one of Nigeria’s most profitable consumer goods companies.

This is despite recording a N178 billion exchange loss as currency depreciation spiked interest obligation costs.

The strong performance, however, is attributed to solid demand for the company’s core products — sugar, flour, and pasta — as well as increased production capacity, strategic pricing, and deeper market penetration across Nigeria.

These contributed to the astronomic rise in revenues, which helped boost margins.

While sugar remains BUA Foods’ top-selling product, the company saw a significant boost from its flour segment, which grew by a massive 171% year-on-year.

Sugar, long the mainstay of BUA Foods’ business, brought in N734.5 billion, making up 48% of the total revenue.

Local sales accounted for 95.5% of the company’s total revenue in 2024, underlining BUA Foods’ dominance in the Nigerian market.

The company has continued to focus on serving the domestic market with competitively priced products, benefiting from rising food demand across the country despite broader economic pressures.

On the back of its strong performance, the Board of Directors has proposed a dividend of N13 per share — more than double the N5.50 paid in 2023.

This 136.4% increase reflects the company’s commitment to delivering value to shareholders and signals confidence in its long-term earnings potential.

Rising costs and forex impact

Despite the stellar topline and bottom-line performance, BUA Foods was not immune to the macroeconomic challenges of 2024.

The company’s debt profile showed improvement, with total debt dropping to N391.85 billion, down from the previous year. Most of this remains short-term borrowing for import financing. The decline in debt helped reduce BUA Foods’ gearing ratio from a steep 210% in 2023 to a more manageable 81% in 2024.

The company’s debt profile showed improvement, with total debt dropping to N391.85 billion, down from the previous year. Most of this remains short-term borrowing for import financing. The decline in debt helped reduce BUA Foods’ gearing ratio from a steep 210% in 2023 to a more manageable 81% in 2024.

In August 2024, BUA Foods signed an agreement with IMAS, a Turkish flour milling equipment manufacturer, to construct four new wheat flour mills.

In September, the company announced another bold step — a significant expansion of its pasta production line.

To support this scale-up in production, BUA Foods also partnered with another Turkish firm, Cukurova Silo, to expand its grain storage capacity by 100,000 tonnes.