…Impresses Shareholders with 40.3% Revenue Growth and 12.1% PAT Increase
ABUJA, August 31, 2023
Abdul Samad Rabiu, Chairman of BUA Cement Plc, Nigeria’s second-largest cement company, announced during the BUA Cement FY2022 Annual General Meeting that the company plans to commission its Obu Line 3 factory and Sokoto Line 5 factory by Q1 2024 with a combined capacity of 6million metric tonnes per annum. This expansion will raise the company’s total installed production capacity to 17 million metric tonnes per annum (mtpa). The announcement accompanied the presentation of BUA Cement’s full-year results, demonstrating a substantial 40.3% increase in revenue which reached ₦361.9 billion in 2022 from N257.3 billion in 2021. Additionally, BUA Cement’s Profit after Tax (PAT) recorded a 12.1% rise, climbing to ₦101.0 billion in the year under review, compared to N90.1 billion in FY2021.
Addressing shareholders, Chairman Abdul Samad Rabiu emphasized that despite the challenging macroeconomic environment, BUA Cement is steadfast in its commitment to being the preferred provider of quality cement for dependable housing and infrastructure development in Nigeria. He further stated that the introduction of the new production lines in early 2024 positions BUA Cement to address the growing cement demand within Nigeria, and also expand export volumes to neighboring African countries.
Abdul Samad Rabiu stated, “BUA Cement will continue its unwavering focus on innovative product delivery, efficient logistics, and tailored sales solutions for our diverse customer base across Nigeria, and Africa. In addition, we are dedicated to improving the well-being of our host communities through sustainable development initiatives.”
Regarding the issue of high cement prices in the country, Abdul Samad Rabiu highlighted that BUA Cement Plc’s forthcoming introduction of the Obu Line 3 and Sokoto Line 5 in Q1 2024 aims to alleviate the surge in demand in Nigeria and contribute to making cement more accessible and affordable, in line with the direction of the Federal Government to boost infrastructure development. He affirmed, “Our company remains resolute in its strategies, chiefly centered on market consolidation. We have a presence in every market throughout the nation. The completion of Lines 3 and 5 in Obu and Sokoto respectively, will empower us to offer better prices, and more significant quantities of cement to the domestic market, thus strengthening our market share across Nigeria, and Africa. I am confident in BUA Cement’s ability to play a role in reducing cement prices in Nigeria.”
Engr. Yusuf Binji, Managing Director of BUA Cement Plc, underscored the company’s dedication to efficient energy utilization in the cement production process. He also revealed potential plans for introducing a new product in the upcoming year to align with customer needs and preferences. Engr. Binji stated, “BUA Cement is attuned to customer demands and market trends. Whilst we continue to work on making our production process more energy efficient, we are also exploring the possibility of introducing a new product next year.”
BUA Cement is Nigeria’s second-largest cement company with a current installed capacity of 11 million metric tonnes per annum. The company aims to reach 17 million metric tonnes per annum with the completion of two new plants in Edo and Sokoto by early 2024.
