In its second annual general meeting held in Abuja on September 15, 2023, BUA Foods Plc, a prominent player in Nigeria’s fast-moving consumer goods (FMCG) industry, garnered shareholders’ approval to distribute a dividend of N4.50k per share. Moreover, the company reaffirmed its dedication to collaborating with the Federal Government to enhance food security nationwide.Thank you for reading this post, don't forget to subscribe!
The annual general meeting, overseen by Dr. Abdulsamad Rabiu, CFR, the Chairman of BUA Foods Plc’s Board of Directors, provided an opportunity to assess the company’s financial performance in 2022 and outline its prospects for 2023 and beyond.
During the meeting, Mr. Oladipo Oladele presented the external auditors’ report, conducted by PricewaterhouseCoopers (PwC), confirming that the company maintained accurate financial records in compliance with International Financial Reporting Standards (IFRS). Alhaji Musa Bichi, Chair of the Statutory Audit Committee, also affirmed that the company’s accounting practices conformed to regulatory requirements and expressed satisfaction with the responses to financial inquiries for 2022.
A shareholder, Mr. Patrick Ajudua, commended the resilience and strong performance of BUA Foods Plc’s management, despite challenging macro-economic conditions in the country. He also inquired about the progress of the company’s two plants (Flour & Pasta) and their potential contributions to expansion plans.
Other shareholders, including Alhaji Kabiru Tambari, Chief Timothy Adesiyan, and Dr. Farouk Umar, praised the Board and Management of BUA Foods Plc for their exceptional financial performance in 2022 and their commitment to the Food Sustainability Programme, which has generated economic opportunities for young people in Northern Nigeria.
In response, Dr. Abdulsamad Rabiu expressed gratitude to the shareholders for their support and highlighted the remarkable payment of over N80 billion in dividends at N4.50k per share. He acknowledged that foreign exchange challenges in the country had increased production costs for BUA Foods Plc.
Dr. Rabiu reiterated the company’s dedication, as a private sector entity, to contributing to the Food Security agenda of President Bola Tinubu’s administration. He outlined the goal of completing the Flour and Pasta plants by the end of 2023, which would significantly boost production capacity.
He stated, “Our target is to complete the 10 lines of our Flour and Pasta plants, ramping up our production capacity to 120,000 tonnes per month. This will position us as the second-biggest wheat miller in the country, and we understand the critical importance of food security as the leading indigenous food company.”
Furthermore, Dr. Rabiu assured shareholders that BUA Foods Plc had plans to expand into the West African market, targeting countries such as Ghana and Senegal. He also acknowledged the temporary border closure in Niger Republic and affirmed the company’s readiness to maximize opportunities in that market once it reopens.
In its 2022 financial year, BUA Foods Plc declared a profit after tax of N91.34 billion, demonstrating a remarkable 25% growth in revenue from N333.27 billion to N418.35 billion.