BUA Foods Plc has posted a pre-tax profit of N534.8 billion for the 2025 financial year, almost double the N284.3 billion recorded in 2024, according to its audited results filed with the Nigerian Exchange Limited (NGX).
The company’s fourth-quarter performance gave further lift to earnings, contributing N102.2 billion to annual profit, on the back of Q4 revenue of N383.4 billion, representing a 39.3 per cent increase year-on-year.
For the full year, revenue climbed by 18.1 per cent to N1.8 trillion, driven by stronger sales across its major product categories. Profitability was also boosted by growth in other income and finance income, alongside a sharp drop in finance costs largely attributed to reduced foreign exchange losses.
A breakdown of the figures shows cost of sales rose to N1.13 trillion from N987.1 billion in 2024, reflecting higher input and production costs. Nonetheless, gross profit increased by 24.3 per cent to N672.1 billion, compared with N540.8 billion recorded the previous year.
Operating expenses also trended upward. Administrative expenses rose by 41.7 per cent to N40.4 billion, while selling and distribution expenses jumped 70.7 per cent to N68.7 billion, indicating increased spending on operations and market expansion. Despite this, operating profit remained robust, rising by 19.8 per cent to N565.3 billion from N472.1 billion in 2024.
Finance income stood at N7.5 billion, while net finance costs dropped significantly to N14.3 billion, compared with N187.7 billion in the previous year, as foreign exchange-related losses eased. This development helped lift pre-tax profit by 88.1 per cent year-on-year. After an income tax charge of N27.1 billion, profit after tax settled at N507.7 billion.
An analysis of revenue sources shows bakery flour remained the company’s biggest earner, contributing N704.7 billion, or 39 per cent of total revenue. Fortified sugar followed with N571.4 billion, while pasta contributed N202.6 billion. Non-fortified sugar brought in N184.1 billion and rice generated N95.6 billion, with other product lines accounting for the balance.
On the balance sheet, BUA Foods recorded total assets of about N1.38 trillion, up 26.5 per cent from the previous year. A significant portion of this came from amounts due from related companies, valued at N844.2 billion, while property, plant and equipment stood at N394.8 billion.
Shareholders’ equity rose markedly to N702.7 billion from N429.05 billion in 2024, driven mainly by retained earnings, which increased by 65 per cent to N694.7 billion.
Total liabilities were relatively stable at N683.4 billion, compared with N666.4 billion a year earlier. Notably, current borrowings declined to N362.8 billion from N391 billion, easing pressure on the company’s short-term obligations.
Overall, the results underscore a strong financial year for BUA Foods, supported by revenue growth, improved margins and a significant reduction in foreign exchange-related finance costs, even as operating expenses trended higher.
