Abdul Samad Rabiu’s Food Business Earns $261 Million, Q1 2024

At the start of 2024, BUA Foods Plc, a leading company in the Nigerian food sector, recorded a remarkable increase in revenue. With Abdul Samad Rabiu at the helm, the company’s earnings soared to N356.92 billion ($261 million) in the first quarter, up from N144.32 billion ($105.4 million) in the same period last year, marking a 147.3 percent increase. 

This surge solidifies BUA Foods’ position as Nigeria’s top food conglomerate.

Explosive growth in sugar and flour sales

The revenue growth was primarily driven by a substantial rise in sugar sales. Fortified sugar sales, a significant contributor, nearly tripled, reaching N197.96 billion ($144.7 million) up from N61.61 billion ($45 million). Similarly, sales of non-fortified sugar climbed to N39.92 billion ($29.2 million) from N31.41 billion ($23 million).

Abdul Samad Rabiu’s leadership also saw increases in other key areas. Sales of bakery flour jumped to N80.64 billion ($59.1 million) from N29.64 billion ($21.7 million), and pasta sales increased to N37.04 billion ($27.12 million) from N19.4 billion ($14.2 million).

The impressive revenue growth translated into a significant increase in operating profit, which rose by 117.5 percent to N104.72 billion ($76.4 million), up from N48.15 billion ($35.1 million) in the previous year’s first quarter. Moreover, profit after tax climbed by 37.9 percent to N55.82 billion ($40.7 million) from N40.47 billion ($29.5 million).

Abdul Samad Rabiu’s strategic vision

Under Abdul Samad Rabiu’s guidance, BUA Foods has diversified its operations, encompassing sugar refining, flour milling, pasta production, and rice processing. This diversity has been a key factor in the company’s success. BUA Foods, listed in 2022, also boasts a substantial asset base, including the expansive 20,000-hectare Lafiagi integrated sugar estate.

As of March 31, 2024, the company’s total assets slightly increased to N1.08 trillion ($790 million) from N1.07 trillion ($781.6 million) at the end of 2023. Total equity rose to N317.89 billion ($232.6 million) from N262.06 billion ($191.4 million), and retained earnings increased to N309.82 billion ($226.8 million) from N254 billion ($185.87 million).

Abdul Samad Rabiu, along with his son, Isyaku Naziru Rabiu, holds a 99.8% stake in the food unit, demonstrating their deep commitment to the company’s continued growth and success in the Nigerian market and beyond. With these results, BUA Foods Plc continues to enhance its position as a leader in profitability and innovation in the food industry.