From Uche Usim, Abuja
BUA Cement Plc on Thursday announced an increase in revenue by 19.3 per cent to N209.4 billion in 2020 compared to N175.5 billion in 2019.
Presenting the statement of accounts to its shareholders at the 5th Annual General Meeting (AGM) of the firm, its Executive Chairman, Abdul-Samad Rabiu, said BUA experienced growths in all performance indices, amid the destabilising effects of the COVID-19 pandemic.
While revenue grew by 19.3 per cent in the year under review, the Chairman said volume sales rose to 5.1 million tons, as Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) increased by 18 per cent to N96.8 billion from N81.9 billion in 2019.
“With EBITDA margin being resilient at 46.2 per cent, we also recorded 19.4 per cent growth in Profit After Tax (PAT) to N72.3 billion and 19.6 per cent rise in Earnings Per Share (ESP) to N2.14 from N1,79 as at 2019”.
“In view of our sustained performance, the board has recommended for your approval a dividend of N2.067 per ordinary share”, he informed BUA’s shareholders.
He also announced plans to commission additional production lines, to raise the firm’s current cement capacity of 11 metric tons per annum in 2021 to 20 metric tons per annum by 2022.
According to him, the addition of new lines to the existing ones, is a strategy to tame the country’s sustained demand for cement, which leads to exhorbitant prices to the detriment of builders and potential homeowners.
Rabiu informed BUA shareholders that efforts were on for the commissioning of Kalambaina line-3, which, according to him, will add 3mmtpa to the existing 8mmtpa in 2021.