BUA cement reports profit of N33bn in Q1 2022

BUA cement reports profit of N33bn in Q1 2022BUA cement producer, has released its first quarter (Q1) 2021 unaudited results reporting a profit of N33.14 billion during the period, representing 48.18 per cent increase year-on-year (Y-o-Y).

Further analysis of the result shows that the company’s product categories improved, during revenue growth in the period. Revenue growth in 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 perr increased by over 58 per cent, cost of materials.

Similarly, appreciated by 66 per cent from N9.14 billion in Q1 2021 to in the current period.

The company also made money from interest income earned from investment taking in a total of N315.63 million. This was however subdued by interest expenses during the period, resulting in a finance cosy of N30.32 million.

BUA cement plc, however grew 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.

Despite the growth in top line revenues, administration expenses grew by double-digits, subduing bottom- line profit. Selling and distribution expenses grew by over 100 per cent, despite the company’s decline in its advertising and campaign spending advertising expenses  dropped mass by 88 per cent while distribution cost was recorded as N2.21 billion compared to just N615 million in the prior- year period.

In addition, the company’s total assets are now N783.73 billion, while Net assets rose by 8.32 per cent to N431.26 billion. The company’s long-term borrowing stood at N52.46 billion.

BUA cement earnings per share (EPS) for the period was at N0.98 a 48.48 per cent increase from N0.66  in Q1 2021 the company is scheduled to pay its shareholders as total N2.60 as dividend for the financial year 31 December 2021.