BUA Foods to Expand Production After Approving ₦504bn Dividend

BUA Foods Plc has announced plans to significantly expand its production capacity after shareholders approved a record ₦504 billion dividend during the company's fifth Annual General Meeting (AGM) held in Abuja.

The company said its next phase of growth will include increasing flour milling and pasta production, launching a noodles business, completing edible oil operations, and establishing an integrated feed mill. These investments are expected to position BUA Foods as Nigeria's largest indigenous food manufacturing company by next year.

Chairman of BUA Foods, Abdul Samad Rabiu, said the expansion is aimed at strengthening Nigeria's food manufacturing industry rather than simply increasing the company's size.

He noted that greater production capacity would improve competition, enhance food availability, create jobs, and support the country's long-term food security goals.

Shareholders also approved a final dividend of ₦28 per ordinary share, amounting to ₦504 billion, alongside the company's audited 2025 financial statements and other statutory resolutions.

BUA Foods reported a strong financial performance for 2025, recording ₦1.77 trillion in revenue, representing a 16 percent increase from the previous year, while profit after tax rose by 95 percent to ₦518.4 billion.

The company said it remains committed to keeping staple foods affordable by improving operational efficiency, strengthening local sourcing, diversifying energy sources, and reducing production costs despite inflation and foreign exchange challenges.

Speaking after the AGM, Non-Executive Director Kabiru Rabiu called for increased investment in agriculture, improved irrigation systems, affordable farm inputs, and stronger security measures to boost food production and enhance Nigeria's food security.

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