Table of Contents
Key Points
- BUA Foods’ H1 2025 revenue jumped 36% to $596 million, driven by strong sugar, flour, pasta, and rice segment growth.
- Net profit nearly doubled to $169.8 million as pricing strategies and reduced finance costs supported earnings.
- BUA Foods’ market cap hit $5.7 billion after stock gained 5.32%, with retained profits now totaling $445 million.
BUA Foods Plc, the Lagos-based food giant majority-owned by Nigerian billionaire Abdul Samad Rabiu, posted strong results for the first half of 2025, exceeding expectations from analysts and investors. Between January and June, the group’s revenue rose sharply to nearly $600 million, helping profits almost double during the same period.
According to its unaudited financials for the six months ended June 30, 2025, BUA Foods generated N912.5 billion ($596 million) in revenue, up 36 percent from N672.4 billion ($439.2 million) recorded in the same period last year. The rise was driven by solid performance across all business segments, reflecting continued demand for its wide range of food products.
Sugar, flour, pasta drive growth
Sales from its sugar business grew by 8 percent to N398.1 billion ($260 million), up from N369.8 billion ($241 million) in the first half of 2024. Flour sales jumped 66 percent to N378.2 billion ($247 million), compared to N227.3 billion ($148.4 million) in the same period last year.
The pasta segment also posted a strong showing, with revenue climbing 31 percent to N96.9 billion ($63.3 million), while the rice division saw a remarkable surge, rising more than 2,900 percent to N39.3 billion ($35.7 million) from just N1.3 billion ($0.85 million) a year earlier.
With stronger sales across all categories, net profit for the half-year nearly doubled, rising from N130.9 billion ($85.5 million) in H1 2024 to N260 billion ($169.8 million) in H1 2025. The group attributed this gain to higher sales volumes, favorable pricing strategies, and reduced finance costs during the period.
CEO cites resilience, supply chain wins
Commenting on the results, Ayodele Abioye, Managing Director of BUA Foods, said the company was encouraged by the progress made in the second quarter, despite broader economic headwinds.
“We are encouraged by the sustained performance recorded in the second quarter of 2025, amidst an improving macroeconomic environment,” Abioye said. “Key indicators such as inflation and a deepened exchange rate margin continue to shape consumer behavior and operational decisions; however, our resilience as a business remains evident through consistent topline and bottom-line growth driven by our time-tested and unique strategic business model.”
He added that BUA Foods remains focused on strengthening its operations, improving supply chain efficiency, and maintaining affordability across its product range. “We remain committed to strengthening our growth levers, driving agility through our integrated supply chain systems and continued investments across all manufacturing operations,” he said.
Retained profits now at $445 million
BUA Foods operates several core businesses including BUA Sugar Refinery, BUA Oil Mills, IRS Flour, IRS Pasta, and BUA Rice. Abdul Samad Rabiu and his son, Isyaku Naziru Rabiu, control a combined 94.25 percent stake in the company. Abdul Samad holds 92.63 percent, while Isyaku owns 1.62 percent, representing 291.34 million shares.
Following the strong half-year showing, BUA Foods’ total assets rose from N1.09 trillion as of Dec. 31, 2024, to N1.33 trillion ($869 million) as of June 30, 2025. Retained earnings increased from N421 billion ($275 million) to N681 billion ($445 million), while shareholders’ equity climbed from N429 billion ($280.4 million) to N681.1 billion ($445 million).
The company’s share price also responded positively. Over the past week, BUA Foods stock rose 5.32 percent on the Nigerian Exchange, boosting its market capitalization to N8.7 trillion ($5.7 billion) and reaffirming its position as one of the most valuable listed firms in the country.
