BUA Foods Records 124% Surge in Profit After Tax to N125.28 Billion in Q1 2025 Amid Robust Revenue Growth
BUA Foods Plc (NGX: BUAFOODS) has announced an impressive financial performance for the first quarter of 2025, with a 124 per cent increase in profit after tax (PAT) to N125.28 billion, compared to N55.82 billion in the same period of 2024.
This remarkable achievement underscores the company’s resilience and operational efficiency despite prevailing macroeconomic headwinds.
According to the unaudited financial results released by the leading Nigerian food processing company, revenue for Q1 2025 grew by 24 per cent to N442.1 billion, up from N356.9 billion in the corresponding quarter of 2024.
The substantial revenue increase was primarily driven by soaring sales across key product segments.
Flour led the surge with a 145 per cent rise to N176.2 billion, while Rice revenue skyrocketed by an astonishing 1617 per cent to N13.02 billion. Pasta sales also rose by 12 per cent to N41.5 billion.
However, revenue from Sugar declined slightly by 11 per cent, falling to N211.3 billion from N238.2 billion in Q1 2024.
The company recorded a gross profit of N160.91 billion in Q1 2025, marking a 39 per cent increase from N115.42 billion in the same period last year. This resulted in a gross profit margin of 36.4 per cent—up by 406 basis points from the previous year’s 32.3 per cent.
Operating expenses rose by 56 per cent to N22.39 billion, compared to N14.37 billion in Q1 2024. The increase was attributed to higher logistics and administrative costs. Selling and distribution expenses grew by 13 per cent to N11.08 billion, while administrative expenses saw a significant 147 per cent rise to N11.32 billion.
Despite the hike in expenses, BUA Foods’ Earnings per Share (EPS) doubled, climbing 125 per cent to N6.96, compared to N3.10 recorded in Q1 2024.
The company’s total equity also experienced robust growth, rising by 29.2 per cent to N554.34 billion as of Q1 2025, up from N429.06 billion at the end of FY 2024. This was largely driven by a 30 per cent increase in retained earnings.
Speaking on the Q1 results, Managing Director, Engr. (Dr.) Ayodele Abioye, expressed satisfaction with the company’s strong start to the year.
“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.
Despite operating in a high-cost environment, our proactive supply chain measures and improved internal efficiencies enabled us to sustain strong operational momentum,” he stated.
Dr. Abioye further noted that the 24 per cent increase in revenue and the 124 per cent leap in net profit reaffirmed BUA Foods’ leadership in the Nigerian food sector.
“Our ongoing investments in production capacity, product and packaging innovation, and route-to-market development continue to impact our results positively, enabling fulfilment of customer and consumer demand,” he added.
Looking ahead, he affirmed the company’s commitment to deepening market penetration and accelerating innovation to meet changing consumer needs.
With economic conditions stabilising and increased emphasis on food security, BUA Foods is optimistic that its integrated business model and strong financial base will continue to drive strategic growth and deliver value to stakeholders throughout 2025.
