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By Adewale Sanyaolu
BUA Cement has said that it recorded a net foreign exchange gain of N16.57 billion during the first half of 2026, compared with N782.8 million in the same period last year and a N9.70 billion foreign exchange loss for the full 2025 financial year.
A statement by the firm disclosed that 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 statement added that this 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.
The company’s finance income also rose sharply to N18.73 billion, supported by higher interest earned on cash balances.
BUA Cement said it continued to generate significant operating cash flows despite paying substantial dividends and investing heavily in capacity expansion.
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Net cash generated from operating activities stood at N278.45 billion, demonstrating the business’s strong cash conversion capability, even as its capital expenditure surged to a record N60.67 billion, largely invested in property, plant and equipment as the company continued expanding production capacity.
Also during the period under review, BUA Cement’s total assets, including 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 on-going expansion activities.
According to the firm’s earnings note, BUA Cement is progressing with plans to expand its installed production capacity from 17 million metric tonnes per annum to 20 million metric tonnes per annum through the construction of a greenfield cement plant in Ososo, Edo State.
Commenting on the results, the Managing Director and Chief Executive Officer, Yusuf Binji, noted that the company has remained focused on capturing new growth opportunities while maintaining excellent cost management practices.
“We have delivered a strong quarter despite the constraints encountered,” Binji said.
