BUA Foods Plc, a leading Nigerian food processing and manufacturing company, has reported a pre-tax profit of N534.8 billion for the 2025 financial year, nearly doubling the N284.3 billion recorded in 2024.
The audited results, filed with the Nigerian Exchange (NGX), reveal full-year revenue grew 18.1% to N1.8 trillion, driven by stronger sales across its diverse product portfolio.
The company’s performance was significantly bolstered by a sharp reduction in finance costs, which fell to N21.9 billion from N203.2 billion in the prior year, largely due to lower foreign exchange losses. This financial efficiency helped propel the substantial leap in profitability despite increases in operational expenses.
Okay News reports that the fourth quarter was particularly strong, adding N102.2 billion to the annual profit. Gross profit for the year rose 24.3% to N672.1 billion, while operating profit increased 19.75% to N565.3 billion. After accounting for income tax, the post-tax profit stood at N507.7 billion.
Bakery Flour Leads Diverse Product Revenue
A breakdown of the N1.8 trillion revenue shows a diversified income stream. Bakery flour was the largest contributor, accounting for 39% of total revenue at N704.7 billion. It was followed by fortified sugar at N571.4 billion, pasta at N202.6 billion, non-fortified sugar at N184.1 billion, and head rice at N95.6 billion. The cost of sales, primarily raw materials, rose in line with higher revenue to N1.13 trillion.
Operational costs saw increases, with administrative expenses rising 41.7% to N40.4 billion and selling and distribution expenses up 70.7% to N68.7 billion. However, the company’s ability to manage its core production costs and drastically reduce financing charges ensured these overheads did not erode the strong bottom-line growth.
Strengthened Financial Position And Shareholder Equity
The company’s balance sheet strengthened considerably during the period. Total assets grew by 26.54% to N1.38 trillion, with a significant portion attributed to “Due from related companies” at N844.2 billion and property, plant, and equipment at N394.8 billion.
Total shareholder equity increased robustly to N702.7 billion from N429.05 billion in 2024, driven primarily by retained earnings, which surged 65% to N694.7 billion. On the liabilities side, total obligations saw a modest 2.5% increase to N683.4 billion, with a favorable reduction in current borrowings to N362.8 billion from N391 billion.
BUA Foods Plc, part of the conglomerate BUA Group founded by Nigerian businessman Abdul Samad Rabiu, is one of the most capitalized companies on the Nigerian Exchange. Its 2025 performance, marked by a 92.5% year-to-date share price gain in that year, underscores its dominant position in Nigeria’s fast-moving consumer goods sector.
