BUA Foods to pay shareholders N81 billion dividend

From Abubakar Yunusa ABUJA

BUA Foods will pay shareholders a dividend per share of N4.50 translating to a payout of N81 billion for fiscal year 2022, the food company’s audited earnings report showed on Saturday.
The planned dividend is subject to shareholders’ approval at the firm’s forthcoming annual general meeting.
Similarly, appropriate withholding tax will be applied at payment.
In 2021, the company paid a dividend of N3.50, with the payout totalling N63 billion.
BUA Foods’ current cash plan followed a remarkable year marked by record revenue of N418.3 billion, after sales grew by 25.5 per cent year on year.
The company highlighted in the document that sales volume was driven especially by its fortified and non-fortified sugar products, while bakery flour, pasta, bran and molasses contributed the rest of its turnover.
Nigeria, the group’s primary market, accounted for 86 per cent of sales, unlike the previous year when it accounted for all revenue, affirming the progress of the company’s expansion drive into the rest of Africa.
After-tax profit stood at N91.3 billion compared to N69.8 billion a year earlier. That implies BUA Foods will be paying 88.7 per cent of its profit as dividend.
AbdulSamad Rabiu, Africa’s 4th richest man by Forbes ranking, holds 92.6 per cent of the shares in BUA Foods.