BUA Cement Disburses N338.64bn Dividend, Expands Capacity To 23m Tonnes

Shareholders of BUA Cement Plc have officially approved a final dividend of N10 per ordinary share for the 2025 financial year, translating to a total cash payout of N338.64 billion to eligible investors.

The approval was granted at the company’s 10th Annual General Meeting, held on Thursday in Abuja, where it also announced plans to increase its production capacity to 23 million metric tonnes per annum by the end of next year.

Speaking at the AGM, Chairman of the Board of Directors, Abdul Samad Rabiu, said the company delivered a strong financial performance despite economic headwinds and shifting market conditions.

According to him, the 2025 financial year was characterised by economic recalibration, currency stabilisation, evolving regulatory expectations and heightened competition within the cement industry.

He said the company remained focused on operational efficiency, governance reforms and disciplined capital management throughout the period. “Our performance in 2025 reflected strengthened financial fundamentals, supported by cost optimisation and process improvements, as well as enhanced liquidity and treasury management,” Rabiu said.

He noted that the company closely monitored leverage levels, liquidity ratios and foreign exchange exposures during the year, adding that the relative stabilisation of the naira in the latter part of 2025 improved planning predictability and reduced volatility in finance costs.

Rabiu disclosed that BUA Cement recorded a landmark revenue of N1.2 trillion in 2025, representing an increase from N876.5 billion posted in 2024.

He added that profit before tax rose significantly by 367 per cent to N465.3 billion from N99.6 billion in the previous year, while profit after tax climbed by 381.7 per cent to N356 billion from N73.9 billion recorded in 2024.

“These exceptional results would not have been possible without the collective commitment of the management and staff, whose dedication, innovative thinking and relentless focus on operational excellence continue to drive the company’s performance,” he said.

The chairman also expressed appreciation to shareholders for their continued confidence in the company.

On expansion plans, the company disclosed that it is currently constructing a new three million metric tonnes per annum greenfield cement plant in Ososo, Edo State.

The project, which is nearing completion, is expected to further strengthen the company’s manufacturing footprint and support rising demand across the domestic market.

Managing Director and Chief Executive Officer of BUA Cement, Yusuf Binji, said the company was also embarking on another major expansion project in Sokoto State.

“Regarding expansion, we are also expanding again in Edo State, particularly in Ososo. In January this year, we also announced that we are going to build another new line in Sokoto,” Binji said.

“So we are going to add about six million tonnes per annum to our capacity. That is going to bring us up to 23 million tonnes per annum by the end of next year,” he added.

Binji said the company’s 2025 performance underscored its resilience, strategic agility and commitment to delivering long-term shareholder value despite prevailing macroeconomic pressures.

According to him, the impressive earnings growth reflected strong operational execution, prudent cost management and strategic business decisions adopted during a challenging economic period.

He noted that the company successfully navigated external pressures, including insecurity, high interest rates, volatile energy prices and fluctuating import costs.

“BUA Cement effectively managed its financial exposures through substitution strategies, market diversification, efficient funding structures, and enhanced working capital and cash flow management frameworks,” he said.

Some of the shareholders who spoke on the sidelines of the meeting say the company’s aggressive expansion strategy could strengthen competition in Nigeria’s cement market while supporting infrastructure development and housing delivery across the country.

The approved dividend payout also reinforces BUA Cement’s position among the highest dividend-paying manufacturing firms on the Nigerian Exchange, reflecting strong cash generation and sustained profitability.

The company’s latest expansion projects are expected to boost local cement supply, create jobs and deepen industrial activities in host communities, particularly in Edo and Sokoto states.

With the additional production lines expected to come on stream by next year, BUA Cement is positioning itself for greater market share in Nigeria’s construction and infrastructure sector amid growing demand for building materials.