BUA Cement projects N102.68bn revenue in third quarter (Q3) 2022
By Philemon Adedeji
BUA Cement Plc on Monday announced to project N102.684 billion revenue for third-quarter Q3 ending September 2022.
In its forecast of statement of profit or loss and other comprehensive income obtained under the platform of Nigerian Exchange Limited (NGX), the cement firm also projected N50.248 billion as cost of sales for the period.
Challenges of insecurity and other high costs of operations attributable to poor infrastructure have also continued to make the business operating environment difficult – especially in the manufacturing sector of the economy.
BUA is also targeting to achieve a sum of N42.926 billion as profit before tax (PBT) and a sum of N35.629 billion for profit after tax (PAT) during the period.
BUA Cement, known as Nigeria’s second-largest cement producer announced a profit of N33.14 billion during the first quarter Q1 2022, representing 48.18 per cent increase year-on-year (Y-o-Y)
Further analysis of the result indicates that the company’s product categories improved, driving revenue growth in the period. Revenue growth for the period was at 58.50 per cent year on year, recorded as N96.99 billion.
As revenue from sales of cement, the company’s only revenue segment during the period increased by over 58 per cent cost of materials similarly appreciated by 66 per cent from N9.14 billion in Q1 2021 to N15.18 billion, in the current period.
The company also made money from interest income earned from investment, raking in a total of N315.63 million. This was however subdued by interest expenses during period, resulting in a Net finance cost of N30.32 million.
BUA Cement Plc, however, rose its other income mainly from Sundry income, and Insurance claims, to increase by a whopping 715.40 per cent to N185.99 million year on year.
In addition, the company’s total assets of the company stood at the sum of N783.73 billion, while Net assets appreciated by 8.32 per cent to N431.26 billion. The company’s long-term borrowings stood at N52.46 billion.
BUA Cement has earnings per share (EPS) recorded for the period increased to N0.98 in the first quarter Q1 of 2022 from N0.66 in the first quarter Q1 of 2021, representing a significant increase of 48.48 per cent. The company is scheduled to pay its shareholders a total of N2.60 as dividend for the financial year ended 31 December 2021.
