BUA Cement Grows Profit by 26% to N20bn in First Quarter

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Goddy Egene

BUA Cement Plc has recorded a 25.1 per cent increase in revenue to N54 billion, from the N43.1 billion recorded in its financial results for the first quarter ended March 31, 2020.

BUA Cement’s profit before tax (PBT) grew by 15.7 per cent from N17.4 billion to N20.1 billion, while profit after tax (PAT) rose by 26.2 per cent from N15.7 billion to N19.8 billion.

Commenting on the results, , the Managing Director/CEO of BUA Cement Plc, Yusuf Binji said the performance in the Q1 financial results amid the outbreak of the COVID-19 pandemic was another landmark recorded by the company since its listing on the Nigerian Stock Exchange.

According to him, the company’s performance was buoyed by an increase in production capacity from five million metric tonnes at the end of Q1’2019 to eight million metric tonnes currently. He added that the company’s strong product differentiation strategy which translates to an increasing appreciation of BUA Cement product offering and a growing distribution network across existing and new markets also boosted the performance.

“In response to the global pandemic, we implemented our COVID business continuity programme built into our corporate governance framework. This minimises disruptions along the value chain, prioritises the safety of workers and customers; and assesses probable scenarios a prolonged lockdown would have on the business.

“Clearly, our strong-showing epitomises the effect of further growth in output but most importantly, a growing appreciation of the value and service offering we continue to afford customers in the market place: with sales revenue increasing by 25.1 per cent to N54 billion.

“We continue to anticipate changes to customer and market behaviour, aimed at further strengthening our value model, even as we continue our push into ‘new markets,” he said.

Binji said as the COVID-19 virus makes landfall, they believe the current measures in place should help minimise plausible downside risks, stressing that the company is poised to take advantage of an upturn in market activities.

“BUA Cement is committed to quality, a differentiating attribute, driven by its people, innovation and technology; and positioned to solving Nigeria and Africa’s challenges while driving economic growth and development,” he added.