Yusuf Binji, MD, BUA Cement; Abdul Samad Rabiu, Chairman, BUA Cement; and Ahmed Aliyu, Company Secretary, during the Annual General Meeting held in Abuja on July 8, 2021.
The increasing demand for cement, depsite the COVID-19 pandemic, and operational efficiency have pushed BUA Cement’s Profit After Tax (PAT) to N72.3 billion for the 2020 business year.
Altogether, shareholders of the company are to receive at least N70 billion as dividends. This was announced at BUA Cement Plc’s Annual General Meeting (AGM) on Thursday.
The amount represents more than 97 percent of its profit after tax for the period ended December 31, 2020.
A dividend pay-out of N70billion indicates N2.067k per ordinary share, a move which BUA Cement’s shareholders applauded at the AGM.
The declaration of a profitable year by the Cement producer is a pointer to its operational efficiency even in the face of global economic challenges compounded by the COVID-19 pandemic.
With a turnover of N204bn and declared Profits After Tax of N72.3billion in the year under review, Abdul Samad Rabiu, Chairman of BUA Cement, said the efforts of the Yusuf Binji-led Management and staff did well to ensure that BUA Cement remained the cement of choice for quality in Nigeria.
In his comments at the AGM, he noted an increased demand for cement which had led to higher retail prices despite significantly lower ex-factory prices. Rabiu called for more investments in the cement industry as the current national production levels were not enough to meet growing national demand for cement.
Demand for cement, he said, was increasing at a rate of over three million metric tonnes per annum.
He called for new investments in the cement sector and encouraged other investors to develop new cement plants.
BUA Cement is constructing a three million metric tonnes cement factory expected to become operational in Sokoto by the end of 2021
BUA Cement officials say plans are at advanced stage to procure its new plants.
Yusuf Binji, the Managing Director of BUA Cement Plc, said the company was committed to remaining a value–driven enterprise, prioritising excellence and product quality. He said the company was well-poised to sustain current profitability despite the very competitive landscape.
“Our value proposition, in terms of product and service support offerings has positioned BUA Cement as a market leader,” he said.
“In addition, we continue to prioritise innovation and continuous improvement, thereby ensuring the continued “fit” of our products to ever-changing customer demands and needs. We are also investing in the latest plant designs which not only drive efficiency but translate into value addition to our customer through the cost savings derived.
“BUA Cement Plc is Nigeria’s second largest cement company and the largest producer in its North-West, South-South, and South-East regions; BUA Cement operates strategically from Okpella, Edo State and Kalambaina, Sokoto State.”