BUA Cement recorded a net foreign exchange gain of N16.57 billion during the first half of 2026 compared with only N782.8 million in the same period last year and a N9.70 billion foreign exchange loss for the full 2025 financial year.
This marked reversal reflects the relatively more stable exchange rate environment that has followed the sharp currency adjustments experienced over the previous two years.
The improvement helped reduce overall net finance costs to just N3.41 billion, compared with N31.37 billion in the corresponding period of 2025, despite the company continuing to carry substantial borrowings. Finance income also increased sharply to N18.73 billion, supported by higher interest earned on cash balances.
BUA Cement continued to generate significant operating cash flows despite paying substantial dividends and investing heavily in capacity expansion.
Net cash generated from operating activities stood at N278.45 billion, demonstrating the business’ strong cash conversion capability. Capital expenditure reached over N60.67 billion, largely invested in property, plant and equipment as the company continues expanding production capacity.
Property, plant and equipment increased to N1.22 trillion from N1.18 trillion at the end of 2025, reflecting continued investment in production assets and projects under construction. Construction work-in-progress alone rose to about N183.86 billion, highlighting ongoing expansion activities.
The earning note stated that BUA Cement is progressing with plans to expand installed production capacity from 17 million metric tonnes per annum to 20 million metric tons, including the construction of a greenfield cement plant in Ososo, Edo State.
Commenting on the results, Yusuf Binji, managing director and chief executive officer, said the company remained focused on capturing new growth opportunities while maintaining 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 were gaining traction and expressed confidence that ongoing process improvements would deliver higher productivity and better cost management in the coming quarters.
“I am very encouraged by our outlook and performance over the next quarters,” he added.
