BUA Foods announces dividend payouts for the fiscal year 2021

BUA Foods Plc, a prominent producer of high-quality food products and one of Africa's most valued firms by market capitalization, recently conducted its first annual general meeting at the Transcorp Hilton Hotel in Abuja.

Following shareholders ’ approval, the company announced a dividend for the fiscal year 2021 with a total worth of N63 billion, or N3.50 per ordinary share of 50 Kobo (subject to withholding tax deduction) for all shareholders listed on the company's register as of the close of business on July 13, 2022. BUA Foods became a publicly traded company on the NGX with the largest dividend distribution in the fiscal year that ended on December 31, 2021, thanks to the rapid expansion it experienced during that time.

Impressive results were seen throughout the review period in all three of the company's revenue-producing divisions: sugar, flour, and pasta. Profit before tax (PBT) surged by 63.96 percent to N77.5 billion, while operating earnings rose by 56 percent to N79.9 billion. By the end of the year, there was a N69.8 billion (+97% y-o-y) overall profit.

Upon receiving shareholders' approval at the AGM, dividend payments will begin on August 4, 2022.

Abdulsamad Rabiu, the chairman of BUA Foods, addressed the shareholders during the meeting and declared that 2021 was a turning point for the company. It mapped out a new course for the business to follow in order to realize its mission of enriching people's lives while addressing Africa's rising food need.

Further discussing the BUA's growth goals, Rabiu claimed that the plans for expansion have put the company at an advantage to offer a more diverse stream of revenue in the coming years, with a significant and observable impact to build profit for the company and investors.

As a result, the business is increasing the capacity of all of its plants while also spending in a backward integration program for sugar alongside local farmers. To further speed up revenue creation, BUA intends to restart its rice segment later this year and its edible oils division by 2024. Additionally, continued investments in export infrastructure will increase the company's ability to service markets outside of Africa, backed by strategically positioned ultramodern factories.

As it continues to lead with purpose, he continued, the company will invest in the future with a defined objective for its shareholders and create a positive impact through a sustainable approach to business run by a dedicated workforce that implements well-thought-out plans for growth and value creation.

The managing director of BUA Foods, Engr. Ayodele Abioye, said in his own remarks that 2021 was a thrilling year for BUA Foods. The company's standing as a major producer and distributor of high-quality, easily accessible, reasonably priced, and innovative food products has improved as a result of its corporate restructuring. It improved the company's ability to confidently lead even as it increased its presence across West Africa and provided efficient end-to-end supply chain while utilizing the advantageous position of its cutting-edge plants.

About BUA Foods

BUA Foods Plc (NGX: BUAFOODS) is a leading Nigerian food company specialized in the production of sugar, flour, pasta, rice, and edible oils through operations that are well-diversified and scalable. In addition to having strong relations with regional players in host communities, the Company also owns strategically placed factories throughout Nigeria. Additionally, BUA Foods is a tenacious company with a solid brand proposition and an operator with a well-established track record of supplying high-quality goods.

BUA Foods is expanding in a creative way with strategic partners around the value chain while continuing to invest in cutting-edge technologies for effective food production. The company is also in a good position to take advantage of large export opportunities in West Africa and the rest of the African continent.

BUA Foods is one of the most well-capitalized businesses on the market with its headquarters and listing in Nigeria.