BUA Cement Plc yesterday announced a dividend of N1.75 per share for the year ended December 31, 2019. The dividend announcement followed the presentation of the audited results to the Nigerian Stock Exchange (NSE) and capital market community.
Details of the financial performance showed that BUA Cement recorded revenue of N175.518 billion in 2019, up from N119.013 billion in 2018. Cos of sales jumped from N59.060 billion to N93.075 billion in 2019. Gross profit stood at N82.443 billion in 2019, compared with 59.952 billion in 2018.
The management strived to contain administrative expenses from N12.522 billion to N10.516 billion in 2019. However, distribution and selling expenses soared from N6.081 billion to N11.844 billion in 2019.
Operating profit printed at N71.428 billion in 2019, up from N42.842 billion in 2018. Net financing cost increased from N3.675 billion to N5.192 billion.
But a tax payment of N5.625 billion in 2019 as against a tax credit of N24.905 billion in 2018, made BUA Cement to end the year with profit after tax of N60.610 billion compared with N64.072 billion in 2018. Based on the performance, the board has recommended a dividend of N1.75 per share.
When the company was listed early this year, the Managing Director of BUA Cement, Yusuf Binji, said the company was poised to add even more value to the Nigerian economy as a whole through this listing.
“Over the past few years, we have significantly ramped up capacity and currently boast the most efficient and integrated operations in the Nigerian Cement Industry. This new publicly listed company will continue to deliver exceptional value to all stakeholders in the foreseeable future.”
According to him, the merger provided a compelling opportunity to capture significant synergies and create value for the benefit of the shareholders of both companies in the form of stronger competitive position of the enlarged company, economies of scale, enhanced operations and administrative efficiencies that will accrue.
Meanwhile, the stock market sustained its positive performance yesterday as the NSE All-Share Index (ASI) gained 1.09 per cent to close at 24,202.87. Similarly, market capitalisation added N100.4 billion to close at N12.6 trillion.
Activity level advanced as volume and value traded rose 2.7 per cent and 33.9 per cent to 339.8 million shares and N3.9 billion respectively. The most active stocks by volume were Access Bank Plc (80.6 million shares) GTBank (41.9 million shares), and Zenith Bank Plc (39.7 million shares).