The full year 2023 audited financial statements and accounts of BUA Cement have shown a revenue growth of 27.4 per cent to N460bn (US$282m) compared to N361bn in 2022.
In a statement, the company, however, stated that the devaluation of the naira last June and its continued depreciation, as well as growing inflation, caused its production cost to increase by 39.5 per cent to N276bn against the N197.9bn production cost in 2023.
“In addition, a net foreign exchange loss of N70bn was recorded; with N52.5bn attributed to finance costs, associated with the construction of the additional 3Mta lines at Obu and Sokoto (include other ancillary activities) and the sum of N17.5bn attributed to foreign trade payables,” it said.
The company, however, said it reported a net profit after tax of N69.5bn.
- NIGERIA DAILY: Real Reason Warehouses Are Looted
- Matters arising from lifting of sanctions on Niger Republic
According to the MD and CEO of BUA, Yusuf Binji: “Clearly, the operating environment in 2023 was challenging, given the different headwinds confronted at the start of the year and especially with the devaluation of the naira. During the year, we launched the maiden edition of the BUA Cement Scratch and Win promo, among other initiatives, which saw BUA Cement further increase its share of the market and resulted in a 27.4 per cent rise in revenues to NGN460bn from NGN361bn in the prior year.”
He added that the company will soon commission the new 3Mta lines at Sokoto and Obu plans while activating a new 70MW gas power plant in Sokoto and eagerly awaiting the activation of the 70MW gas power plant at Obu during the first quarter of 2024.
“Apart from these, BUA Cement took delivery of over 500 trucks to support its distribution activities, which further deepened the company’s market presence,” he said.
Join Daily Trust WhatsApp Community For Quick Access To News and Happenings Around You.
