Abayomi Susan
BUA Cement Plc delivered a strong financial performance in the first half of 2026, reporting an 80 per cent increase in profit to N324.9 billion, buoyed by disciplined cost management, expansion into new markets, and improved foreign exchange conditions.
The company recorded a net foreign exchange gain of N16.57 billion during the period, a significant turnaround from the N782.8 million gain posted in the corresponding period of 2025 and the N9.70 billion foreign exchange loss recorded for the full 2025 financial year.
The sharp improvement reflects a more stable foreign exchange environment following the major currency adjustments witnessed over the past two years.
As a result, BUA Cement significantly reduced its net finance costs to N3.41 billion, down from N31.37 billion in the first half of 2025, despite maintaining substantial borrowings. Finance income also rose markedly to N18.73 billion, supported by increased interest earnings on cash reserves.
The company continued to generate robust operating cash flows while simultaneously rewarding shareholders and investing aggressively in future growth.
Net cash generated from operating activities stood at N278.45 billion, underscoring the strength of its cash-generating capacity. During the period, capital expenditure exceeded N60.67 billion, with the bulk of the investment directed towards property, plant, and equipment to support ongoing production expansion.
BUA Cement’s investment in production assets remained strong, with the value of its property, plant, and equipment increasing to N1.22 trillion, up from N1.18 trillion at the end of 2025. Construction work-in-progress also rose significantly to approximately N183.86 billion, reflecting the company’s sustained expansion efforts.
According to the company’s earnings report, BUA Cement is advancing plans to increase its installed production capacity from 17 million metric tonnes per annum to 20 million metric tonnes, including the development of a new greenfield cement plant in Ososo, Edo State.
Commenting on the company’s performance, Managing Director and Chief Executive Officer, Yusuf Binji, said BUA Cement remains focused on driving sustainable growth while maintaining strict cost discipline.
“We have delivered a strong quarter despite the constraints encountered,” Binji said.
He noted that the company’s growth initiatives and cost optimisation programmes are beginning to yield positive results, expressing confidence that ongoing operational improvements will further enhance productivity and cost efficiency in the coming quarters.
“I am very encouraged by our outlook and performance over the next quarters,” he added.
The strong half-year performance reinforces BUA Cement’s commitment to expanding its market presence, strengthening operational efficiency, and delivering long-term value to shareholders.
