BUA Foods Plc recorded a 20 per cent increase in total assets to N1.67 trillion in the first half of 2026, reinforcing its financial position despite a decline in revenue during the period.
According to the company’s unaudited financial results for the six months ended June 30, 2026, total assets rose from N1.39 trillion in the corresponding period of 2025, while shareholders’ equity expanded by 41 per cent to N1.01 trillion. The stronger balance sheet is expected to support the company’s long-term expansion strategy and planned investments across its operations.
Revenue declined by 16 per cent to N765.12 billion from N912.51 billion in the same period last year. BUA Foods attributed the drop to moderated pricing across its key product categories as it responded to prevailing inflationary pressures and changing market conditions.
Despite lower revenue, the company delivered stronger earnings, driven by improved operational efficiency and tighter cost management. Profit after tax rose by 12 per cent to N292.27 billion, while profit before tax increased by 14 per cent to N314.90 billion. Operating profit also climbed 13 per cent to N320.50 billion.
Gross profit grew by seven per cent to N363.23 billion, with the gross profit margin improving significantly to 47.5 per cent from 37.2 per cent recorded a year earlier. Operating profit margin also strengthened to 42 per cent, up from 31 per cent, reflecting enhanced cost discipline and improved returns.
Commenting on the results, Managing Director Ayodele Abioye said the company remained resilient despite a challenging operating environment.
He noted that disciplined cost management, improved supply chain execution and a more efficient product portfolio enabled the company to expand profitability even as revenue declined. According to him, the performance highlights the strength of BUA Foods’ business model and its ability to execute effectively under difficult market conditions.
Looking ahead, Abioye said the company will focus on translating its operational improvements into higher sales volumes during the second half of the year while sustaining profitability, increasing market share and delivering long-term value to shareholders.
BUA Foods is currently executing one of its largest expansion programmes, investing in wheat milling, edible oils, noodles and integrated manufacturing facilities. The company said these investments are designed to strengthen domestic food production, expand its market presence and support Nigeria’s long-term food security objectives while positioning the business for sustainable future growth.