Business
BUA Foods Reports N125bn Profit as Revenue Rises 24% in Q1 2025
BUA Foods Plc (NGX: BUAFOODS) has announced a strong performance for the first quarter of 2025, with profit after tax rising by 124% to ₦125.28 billion, according to its unaudited financial results released to the Nigerian Exchange Limited.
The company’s revenue grew by 24% year-on-year, reaching ₦442.1 billion in Q1 2025, up from ₦356.9 billion in the same period of 2024. This growth was fueled by a robust performance across key product categories. Revenue from Flour surged 145% to ₦176.2 billion, Pasta rose 12% to ₦41.5 billion, and Rice revenue recorded an outstanding 1,617% increase to ₦13.02 billion. However, Sugar revenue declined by 11% to ₦211.3 billion compared to ₦238.2 billion in Q1 2024.
Gross profit rose by 39% to ₦160.91 billion, from ₦115.42 billion in the previous year. This drove an improvement in gross profit margin to 36.4%, a 406 basis points increase from 32.3% recorded in Q1 2024.
Total operating expenses for the period climbed 56% to ₦22.39 billion, up from ₦14.37 billion in the previous year. Selling and distribution expenses increased by 13% to ₦11.08 billion due to higher logistics costs, while administrative expenses rose sharply by 147% to ₦11.32 billion.
Despite the rise in operating costs, BUA Foods achieved significant bottom-line growth, with Earnings per Share (EPS) more than doubling to ₦6.96 from ₦3.10 in Q1 2024.
The company’s total equities also improved by 29.2% to ₦554.34 billion as of March 31, 2025, compared to ₦429.06 billion at the end of FY 2024. The growth was primarily attributed to a 30% increase in retained earnings.
Commenting on the results, Engr. (Dr.) Ayodele Abioye, Managing Director of BUA Foods, said the company’s resilient performance in a challenging economic environment reflects its proactive supply chain management and improved internal efficiencies.
“We are pleased to begin 2025 on a strong note, as our business continued to demonstrate resilience and adaptability amidst a still-evolving macroeconomic landscape,” Abioye said.
He added, “Our ongoing investments in production capacity, product and package innovation, and route-to-market development continue to positively impact our results, enabling fulfillment of customer and consumer demand.”
Looking ahead, Abioye reaffirmed BUA Foods’ commitment to deepening market penetration and accelerating innovation to meet changing consumer needs. He expressed confidence that with a stabilizing economy and increased focus on food security, the company’s integrated business model, strong financial position, and robust execution strategy will drive sustained growth and value creation throughout 2025.