Economy
BUA Cement Blames Naira Devaluation for 31% Fall in Net Profit
By Adedapo Adesanya
BUA Cement Plc saw its profit after tax decline by 31.2 per cent in 2023 due to foreign exchange losses, triggered by the devaluation of the Naira by the Central Bank of Nigeria (CBN), amid a 27.4 per cent rise in revenue.
The company’s chairman, Mr AbdulSamad Rabiu, disclosed this on Thursday in Abuja at its 8th Annual General Meeting (AGM).
He informed shareholders that the cement maker witnessed an increase in net revenue of N460 billion within the period from N361 billion in 2022.
Last year, Nigeria carried out currency devaluations to prop up the Naira and this affected the operations of many companies.
“Profit after tax declined by 31.2 per cent to N70 billion from N101 billion recorded in the corresponding period in 2022.
“This was impacted by foreign exchange losses, which arose from the devaluation and the continued depreciation of the Naira,” he said.
The BUA board chairman explained that despite the reduction in the company’s bottom line, it is committed to shareholder value, announcing a dividend of N2 per share for the year ended December 31, 2023.
Mr Rabiu said that the operating environment within the period was challenging as global growth declined to 3.2 per cent in 2023 from 3.5 per cent recorded in 2022.
“Conversely, global inflation peaked at 6.8 per cent in 2023. Across Sub-Saharan Africa, economic growth declined to 3.3 per cent relative to the 4.0 per cent recorded in 2022, driven majorly by the global slowdown, weather shocks and supply-side issues,” he said.
He said that the company would continue to implement and pursue its strategic goals of expansion and increasing market share.
He said that it would also explore solutions that will enable it to sustain value creation for its shareholders and other stakeholders.
According to Mr Rabiu, the company also improved its capacity utilisation to 61.2 per cent in 2023 from 59.8 per cent in 2022, due to an increase in cement volumes dispatched, adding that the increase in volumes dispatched also increased market share.
“Furthermore, Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) rose to N169 billion from N155 billion recorded in the prior year,” he said.
On his part, Mr Yusuf Binji, the Managing Director of the company, said that the major challenges faced during the year arose from the currency redesign policy of the Central Bank of Nigeria (CBN).
Mr Binji said that the 2023 general elections and foreign exchange volatilities also created major challenges.
“Like every manufacturing business, some of our inputs are dollar-denominated, and with the devaluation and continued depreciation of the Naira, we recorded rising energy and other raw materials’ costs.
“Also, the depreciation of the Naira led to the revaluation of existing liabilities on the balance sheet, which resulted in an exchange loss of N70 billion,” he said.
By Adedapo Adesanya
The Nigerian Postal Service (NIPOST) and the KLM Royal Dutch Airlines have signed a direct international mail partnership to boost delivery and ease bottlenecks around Nigerian logistics.
The Postmaster General of NIPOST, Mrs Tola Odeyemi, confirmed this agreement between both parties, describing its as a milestone in many years.
According to Mrs Odeyemi, NIPOST operated without any direct partnerships with international airlines, relying heavily on multiple third-party handlers, resulting in delays, higher costs, and uncertainty around the delivery of packages.
“With this new partnership, KLM will now handle our outbound international mail directly, with no middlemen involved,” she wrote in the announcement on X, formerly, known as Twitter, noting that the deal will bring faster and more reliable delivery, reduced risk of loss or damage, lower handling charges, and access to over 200 countries through KLM’s global network.
KLM Royal Dutch Airlines is the national carrier of the Netherlands and offers services – passenger and cargoes – to 164 destinations worldwide and boasts about 116 aircrafts as of 2025.
“This breakthrough is possible because we have begun clearing longstanding debts owed to international carriers. We are actively working to rebuild global trust, and this partnership is only the first of many doors that will reopen,” she added.
She also noted that NIPOST is currently in strategic discussions with Ethiopian Airlines to serve African and Eastern routes, further strengthening the country’s regional and continental logistics framework.
“Our goal is clear and unwavering: to connect Nigeria regionally and globally, efficiently, securely, and affordably,” she noted.
The NIPOST chief also noted that the development serves as a major win for Nigerian businesses especially Small and Medium Enterprises (SMEs).
According to her, some of the benefits cover those who export goods, or sell products online, as it introduces quicker, more affordable international shipping, greater peace of mind with improved reliability, and new potential to reach and grow in global markets.
“I remain grateful to the incredible teams working diligently behind the scenes, and to every Nigerian who continues to believe in our mission. We are not just delivering mail, we are delivering solutions and moving Nigeria forward,” she added.
By Dipo Olowookere
For now, investors will no longer be able buy or sell shares and securities of Golden Guinea Breweries Plc on the floor of the Nigerian Exchange (NGX) Limited.
This is because the stock exchange has suspended the beer maker due to its failure to file its financial statements for the 2024 fiscal year despite.
Companies listed on the local bourse are required as stipulated in the listing rules to submit their financial results within a certain period and when this is breached, the necessary sanctions are meted out on them.
As for Golden Guinea Breweries, it violated Rule 3.1, Rules for Filing of Accounts and Treatment of Default Filing, (Default Filing Rules), which necessitated the NGX to wield its big stick on the firm.
Trading in the equities of Golden Guinea Breweries was suspended last Tuesday via a notice to the investing community.
Investors will only be able to trade the company’s stocks and other securities when the financial statements are released for the perusal of the investing public.
“Trading license holders and the investing public are hereby notified that pursuant to the provisions of Rule 3.1, Rules for Filing of Accounts and Treatment of Default Filing, (Default Filing Rules), which states that, If an Issuer fails to file the relevant accounts by the expiration of the Cure Period, the exchange will: a) send to the issuer a second filing deficiency notification within two business days after the end of the cure period; b) suspend trading in the issuer’s securities; and c) notify the Securities and Exchange Commission (SEC) and the market within 24 hours of the suspension.
“Trading in the shares of Golden Guinea Breweries Plc has been suspended from the facilities of Nigerian Exchange Limited effective Tuesday, May 6, 2025, for not filing its Unaudited Financial Statements for the period ended December 31, 2024.
“In accordance with the default filing rules set forth above, the suspension of trading in the shares of the company shall be lifted upon the submission of the relevant financial statements,” the notice read.
By Adedapo Adesanya
Shareholders of the Central Securities Clearing System (CSCS) Plc at the weekend approved the 17.3 per cent increase in total dividend for the financial year ended December 31, 2024.
The board of the firm proposed the payment of N8.8 billion as cash reward to investors for the year under review compared with the N7.5 billion paid a year earlier, translating to a dividend of N1.76 per share, up from N1.50 in 2023.
Speaking at the 31st Annual General Meeting (AGM) of the organisation in Lagos, the Chairman of CSCS, Mr Temi Popoola, highlighted the company’s robust financial performance in 2024, emphasising its ability to convert revenue growth into solid bottom-line despite inflationary pressures and currency headwinds.
He attributed this resilience to increased capital market trading activity, favorable yields in the fixed income market, and foreign exchange gains, alongside the growing demand for CSCS’s expanding suite of services.
Mr Popoola, who doubles as the chief executive of the Nigerian Exchange (NGX) Group Plc, addressed the potential impact of ongoing tariff tensions on global capital markets but expressed confidence in Nigeria’s economic outlook for the year 2025.
He noted that structural reforms such as fiscal discipline, infrastructure investment, and improved ease of doing business are laying the foundation for sustained growth and stronger investor confidence.
Mr Popoola also noted that tariff adjustments could stimulate local industry development, fostering innovation and creating new value chains.
On his part, the chief executive of CSCS Plc, Mr Haruna Jalo-Waziri, provided shareholders with a comprehensive overview of the business landscape, noting the complexities of the global economy in 2024 and the specific challenges faced in Nigeria, including high inflation, naira devaluation, and rising borrowing costs.
He examined that despite these challenges, the economic impact of robust government spending, a stronger services sector, and improved oil revenues, supported by favorable global oil prices and a weaker Naira, could translate to positives.
Mr Jalo-Waziri also emphasised the central role of innovation in CSCS’s strategy, noting the successful launch of the CSCS Chatbot for real-time, 24/7 customer support and the rollout of the Debt Management Office (DMO) Portal.
Business Post reports that the portal developed in collaboration with the debt office, streamlines the subscription process for FGN Savings Bonds, making it faster, more transparent, and more user-friendly for a broader investor base.
During the AGM, shareholders also confirmed the election of Mrs Aisha Muhammed-Oyebode and Mrs Bola Adesola as Independent Non-Executive Directors, alongside the re-election of Mrs Chinelo Anohu and Mr Ibrahim Dikko in similar roles.
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