BUA Foods dividend 2024 hits N13 per share after 137% profit growth. Shareholders celebrate record payout from Nigeria’s top food manufacturing firm

BUA Foods dividend 2024 has been officially declared at ₦13 per share, marking a 136% increase from the ₦5.50 payout in 2023.

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The announcement followed the company’s 4th Annual General Meeting (AGM) held in Abuja on Thursday, where shareholders applauded the record-breaking performance.

According to a press statement from Adewunmi Desalu, Director of Marketing and Corporate Communications at BUA Foods, the substantial dividend increase was driven by the company’s ₦265.9 billion profit after tax in 2024 — a 137% rise from the ₦112 billion recorded in the previous year.

At the AGM, held at the Transcorp Hilton, shareholders unanimously approved the dividend along with other resolutions, including the re-election of directors and the company’s remuneration policies.

Chairman Abdul-Samad Rabiu expressed gratitude to shareholders, citing the company’s resilience and its pivotal role in promoting food security.

“We remained steadfast in our operations and achieved notable progress on key strategic initiatives geared towards addressing food supply challenges,” Rabiu said.

He also outlined plans to double BUA Foods’ pasta production capacity by adding nine new long-cut pasta lines, and expanding the flour division with four new state-of-the-art wheat milling plants.

The company’s sugar agricultural project was also reported to be on track.

Managing Director Ayodele Abioye credited the stellar financial results to strategic investment in production systems, market expansion, and product diversification.

He praised the company’s workforce, partners, and loyal customers for their contributions to sustained growth.

BUA Foods reported a revenue surge to ₦1.53 trillion, up from ₦729.4 billion in 2023. Other key metrics include:

EBITDA: ₦481.7 billion (up from ₦215.7 billion)
EBITDA Margin: 31.5% (up from 29.6%)
Earnings Per Share (EPS): ₦14.78 (from ₦6.23)
Net Debt: Reduced to ₦360.5 billion (from ₦551.5 billion)
Total Assets: ₦1.09 trillion (slightly up from ₦1.07 trillion)
Free Cash Flow: ₦31.3 billion (down from ₦99.6 billion)
Capital Expenditure: ₦31.6 billion (down from ₦37.1 billion)

Despite a decline in capex and cash flow, the strong profit margins and earnings growth signal a robust financial position.

Key shareholder associations praised the company’s performance and transparency.

Mrs. Bisi Bakare, National Coordinator of the Pragmatic Shareholders Association, commended the board’s leadership and welcomed the dividend as “a remarkable gesture in challenging times.”

Dr. Faruk Umar, President of the Association for the Advancement of the Rights of Nigerian Shareholders, highlighted the ₦1.5 trillion revenue milestone as a standout achievement in the sector.

Patrick Ajudua, President of the New Dimension Shareholders Association, described BUA Foods as a model of value delivery and consistent growth, encouraging more investors to back the company.

With the highest market capitalization on the Nigerian Exchange Limited (NGX) in the food manufacturing sector, BUA Foods has positioned itself as a leader in feeding Africa while rewarding investors.

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As shareholders enjoy a historic dividend payout, analysts suggest that the company’s forward-looking investments in processing capacity and food innovation could further drive growth and shareholder value.

Source: Read more at arise.tv