BUA Cement Plc
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 Contents PageStatement of Significant Accounting Policies 2
Statement of Profit or Loss and Other Comprehensive Income 8
Statement of Financial Position 9
Statement of Changes in Equity 10
Statement of Cash Flows 11
Notes to the Unaudited Financial Statements 13
Statement of Significant Accounting PoliciesMaterial Accounting Policies
The following are the significant accounting policies adopted by the Company in the preparation of its Financial Statements.
Basis of preparation
These Financial Statements have been prepared in compliance with IAS 34 Interim Financial Reporting and relevant International Financial Reporting Standards (IFRSs) as issued by the International Accounting Standards Board (the IASB).
These Financial Statements were prepared under the historical cost convention. The principal accounting policies applied in the presentation of the Financial Statements are set out below. These policies have been applied to all the periods presented except for the adoption of new accounting policies.
Revenue
Revenue is measured at fair value of the consideration received or receivable net of value added tax, excise duty returns, customer discounts, and other sales related discounts.
Revenue from the sale of products is recognised in profit or loss when the contract has been approved by both parties, rights have been clearly identified, payment terms have been defined, the contract has commercial substance and collectability has been ascertained as probable. Collectability of customer payment is ascertained from the customers' historical records, guarantees provided and advance payments made, if any.
The four steps recognition process for revenue is listed below:
Identify the contract with a customer
Identify the performance obligation in the contract
Determine the transaction price
Allocate the price to the performance obligation
Recognise revenue.
Cost of goods sold
These are the costs of internally produced goods sold. The cost of internally produced goods includes directly attributable costs such as the costs of direct materials, direct labor and energy costs, as well as production overheads, including depreciation of production facilities. The costs of goods sold includes write-downs of inventories, where necessary.
Selling and distribution expenses
Comprises the cost of marketing, cost of organising the sales process and distribution.
Foreign currency
Items included in the financial statements of the Company are measured using the currency of the primary economic environment in which they operate ('the functional currency'). The functional currency and presentation currency of the Company is the Nigerian Naira.
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from settlement of foreign currency transactions and from the translation of exchange rates of monetary assets, and denominated in currencies other than the Company's functional currency are recognised as the foreign exchange gain or loss in profit or loss.
Financial instruments
Financial instruments represent the Company's financial assets and liabilities. Financial assets and financial liabilities are recognised in the Company's statement of financial position when the Company becomes a party to the contractual provisions of the instrument. These instruments are typically held for liquidity, investment, trading or hedging purposes. All financial instruments are initially recognised at fair value plus directly attributable transaction cost, except those carried at fair value through profit or loss where transaction cost is recognised immediately in profit or loss.
Financial instruments are recognised (derecognised) on the date the Company commits to purchase (sell) the instruments (trade date accounting).
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Statement of Significant Accounting PoliciesFinancial instruments (continued) Financial assets
Financial assets include trade and other receivables, cash and bank balances and certain other assets. Financial liabilities include term loans, bank overdraft, trade and certain other liabilities. The Company classifies its financial assets into one of the categories discussed below, depending on the purpose for which the asset was acquired. The Company has not classified any of its financial assets as held to maturity.
Subsequent measurement
Subsequent to initial measurement, financial instruments are measured either at fair value or amortised cost, depending on their classifications below. The Company's accounting policy for each category is as follows:
Trade and other receivables
These assets are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. They arise principally through the provision of goods and services to customers, but also incorporate other types of contractual monetary assets. They are initially recognised at fair value plus transaction costs that are directly attributable to their acquisition or issue, and are subsequently carried at amortised cost using the effective interest rate method, less provision for impairment.
Impairment provisions are recognised when there is objective evidence (such as significant financial difficulties on the part of the counterparty of default or significant delay in payment) that the Company will be unable to collect all of the amounts due under the receivable terms. The amount of such a provision being the difference between the net carrying amount and the present value of the future expected cash flows associated with the impaired receivable.
For trade receivables which are reported net, such provisions are recorded in a separate allowance account with the loss being recognised within administrative expenses in the statement of profit or loss and other comprehensive income. On confirmation that the trade receivable will not be collectable, the gross carrying value of the asset is written off against the associated provision.
Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short term highly liquid investments with original maturities of three months or less that are readily convertible to a known amount of cash.
Impairment of financial assets carried at amortised cost
The Company assesses at each reporting date whether there is objective evidence that trade and other receivables are impaired. Trade and other receivables are impaired if objective evidence indicates that a loss event has occurred after initial recognition and that loss event has a negative effect on the estimated future cash flows of the receivables that can be estimated reliably. Criteria that are used by the Company in determining whether there is objective evidence of impairment include:
Known cash flow difficulties experienced by the customer
A breach of contract, such as default or delinquency in repayment for goods and service
Breach of credit terms or conditions and
It is becoming probable that the customer will enter bankruptcy or other financial reorganisation.
Financial liabilities
These include the following items:
Bank borrowings
Bank borrowings are initially recognised at fair value, net of any transaction costs incurred. Borrowings are subsequently carried at amortised costs. Any difference between the proceeds (net of transaction costs) and the redemption value is recognised in the profit or loss over the period of the borrowings using the effective interest method.
General and specific borrowing costs directly attributable to acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period to get ready for their intended use or sale are added to the cost of those assets, until such time when the assets is substantially ready for intended use or sale. All other borrowing costs are recognised in profit or loss in the period in which they are incurred.
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Statement of Significant Accounting PoliciesFinancial instruments (continued)
Trade payables and other short-term monetary liabilities
These are initially recognised at fair value and subsequently carried at amortised cost using the effective interest method.
Fair value
Fair value is the amount for which an asset could be exchanged or a liability settled between knowledgeable and willing parties in an arm's length transaction. The best evidence of the fair value of a financial instrument on initial recognition is the transaction price, i.e., the fair value of the consideration paid or received, unless the fair value is evidenced either by comparison with other observable current market transactions in the same instrument, without modification or repackaging or based on valuation techniques, such as discounted cash flow models and option pricing models whose variables include only data from observable markets.
When such valuation models with only observable market data as inputs or the comparison with other observable current market transactions in the same instrument indicate that the fair value differs from the transaction price, the initial difference will be recognised in the profit or loss immediately. The Company does not have any financial instrument (derivatives, etc.) that warrant such.
Derecognition of financial instruments
Financial assets are derecognised when the contractual rights to receive cash flows from the financial assets have expired or where the Company has transferred its contractual rights to receive cash flows on the financial assets such that it has transferred substantially all the risks and rewards of ownership of the financial asset. Any interest in transferred financial assets that is created or retained by the Company is recognised as a separate asset.
Financial liabilities are derecognised when they are extinguished, i.e., when the obligation is discharged, cancelled or expires. Where an existing financial liability is replaced by another from the same party on substantially different terms, or the terms of an existing financial liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, with the difference in the respective carrying amounts being recognised in profit or loss.
Offsetting of financial assets and financial liabilities
Financial assets and liabilities are offset and the net amount is reported in the statement of financial position when there is a legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis or realise the asset and settle the liability simultaneously. The legally enforceable right is not contingent on future events and is enforceable in the normal course of business and in event of default, insolvency or bankruptcy of the Company or counterparty.
Retirement benefits
The Company operates two defined benefit schemes for its employees: defined contribution scheme and defined benefit scheme. The defined pension contribution plan is based on a percentage of pensionable earnings funded through contributions from the Company (10%) and employees (8%). The Fund is administered by pension fund administrators. Contributions to this plan are recognised as an expense in the profit or loss, in the periods during which services are rendered by employees.
Defined benefit schemes, also referred to as employee end of service gratuities are regarded as post-employment benefits.
Intangible assets
Licences
Licences are shown at historical cost. They have a finite useful life and are subsequently carried at cost less accumulated amortisation and impairment losses.
Software
Cost associated with acquiring software programmes are capitalised at historical cost. They have a finite useful life and are subsequently carried at cost less accumulated amortisation and impairment losses.
Exploration assets
Exploration assets are carried at cost less accumulated amortisation and impairment losses. The accumulated capitalised costs from exploration assets are amortised using straight-line method.
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Statement of Significant Accounting PoliciesIntangible assets (continued)
The Company also amortises other intangible assets with a limited useful life, using the straight-line method over the following periods:
Item
Depreciation method
Average useful life
Exploration asset
Not Depreciable
Not depreciable
Mineral rights
Straight-line
7-40 years
Licences
Straight-line
2-5 years
Computer software
Straight-line
3 years
Current taxation
The tax for the period comprises current, education and deferred taxes. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, the tax is recognised in other comprehensive income or directly in equity, respectively.
Deferred taxation
Deferred tax is recognised when the carrying amount of an asset or liability in the statement of financial position differs from its tax base. Recognition of deferred tax is restricted to those instances where it is probable that taxable profit will be available against which the difference can be utilised. The amount of the asset or liability is determined using tax rates that have been enacted or substantively enacted by the reporting date and are expected to apply when the deferred tax liabilities / (assets) are settled / (recovered).
Dividends
Dividends are recognised when they become legally payable. Dividend distribution to the Company's shareholders is recognised as a liability in the Company's financial statements in the period in which the dividend is approved by the Company's shareholders at the AGM or when paid.
Property, plant and equipment
All property, plant and equipment are stated at historical cost less depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to the acquisition of the items.
Subsequent costs are included in the assets carrying amount or recognised as a separate asset as appropriate only when it is probable that future economic benefits associated with the item to the Company and the cost can be measured reliably. The carrying amount of any component accounted for as a separate asset is derecognised when replaced. All other repairs and maintenance cost are charged to the profit or loss during the financial period in which they are incurred.
Capital work-in-progress is not depreciated. Depreciation of assets commences when assets are available for use. Depreciation on other assets is calculated using straight-line method over their expected useful economic life as follows:
Item | Depreciation method | Average useful life |
Land | Not depreciable | Not depreciable |
Buildings | Straight-line | 30 - 50 years |
Plant and machinery | Straight-line | 3 - 40 years |
Furniture and fixtures | Straight-line | 5 years |
Motor vehicles | Straight-line | 4 years |
Quarry equipment | Straight-line | 5 years |
Tools, computers, laboratory and office equipment | Straight-line | 5 years |
Trucks | Straight-line | 4 years |
Construction work-in-progress | Not depreciable | Not depreciable |
The residual values and useful lives of these assets are reviewed and adjusted if appropriate at the end of the reporting year.
Property, plant and equipment are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of the estimated selling price in the ordinary course of business less cost to sell and value in use. Impairment losses and reversal of previously recognised impairment losses are recognised within administrative expenses in profit or loss.
An item of property, plant and equipment is derecognised upon disposal, or when no further future economic benefit is expected from its use or disposal. Gains or losses on disposal are determined by comparing the proceeds with the carrying amount and are recognised within other income or other expenses (net in profit or loss).
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Statement of Significant Accounting PoliciesProperty, plant and equipment (continued)
Quarry exploration and evaluation expenditures are accounted for using the successful efforts method of accounting. Costs are accumulated on a quarry-by-quarry basis. Geological and geophysical costs are expensed as incurred. Costs directly associated with quarry and exploration are capitalised until the determination of minable reserves are evaluated. If it is determined that commercial discovery has been achieved, these costs are charged as expenses.
Capitalisation is made with property, plants and equipment or intangible assets according to the nature of the expenditure. Once commercial reserves are found, exploration and evaluation assets are tested for impairment and transferred to development tangible or intangible assets. No depreciation or amortisation is charged during the exploration and evaluation period.
Inventories
Inventories are stated at the lower of cost and net realisable value after providing for any obsolescence and damages determined by the Management. Costs are those expenses incurred in bringing each product to its present location and condition and are computed as follows
Raw materials, spare parts, and consumables: Actual costs include transportation, handling charges and other related costs
Work in progress and finished goods: Cost of direct materials, direct labor and other direct cost-plus attributable overheads based on standard costing
Finished Goods: Direct cost plus all production overheads.
Inventories are initially recognised at cost and subsequently at the lower of cost and net realisable value. Cost comprises all costs of purchase, costs of conversion and other costs incurred in bringing inventories to their present location and condition. Net realisable value is the estimated selling price in the ordinary course of business less estimated costs of completion and the estimated cost to sell.
Allowance is made for excessive, obsolete and slow-moving items. Write-downs to net realisable value and inventory losses are expensed in the period in which the write-downs or losses occur.
Related party disclosures
Parties are considered to be related if one party has the ability to control the other party or exercise significant influence over the other party in making financial and operating decisions.
Related parties include:
Entities over which the Company exercises significant influence
Shareholders and key management personnel of the Company
Close family members of key management personnel
Post-employment benefit plan which is for the benefit of employees of the Company or of any entity that is a related party of the Company.
Key management personnel comprise the Board of Directors and key members of the Management Team having authority and responsibility for planning, directing, and controlling the activities of the Company.
The Company enters into transactions with related parties on an arm's length basis. Prices of transactions with related parties are determined using the current market price or admissible valuation method.
Basic earnings per share
Basic earnings per share is calculated by dividing the net profit for the year attributable to equity holders of the Company by the weighted average number of ordinary shares outstanding at the statement of financial position date.
Provisions
Provisions are recognised when the Company has a present legal or constructive obligation as a result of a past event, and it is probable that the Company will be required to settle that obligation and the amount has been reliably estimated.
Provisions for restructuring costs are recognised when the Company has a detailed formal plan for the restructuring that has been communicated to affected parties. Provisions are not recognised for future operating losses.
Borrowing costs capitalised
Borrowing costs that relate to qualifying assets, i.e., assets that necessarily take a substantial period to get ready for their intended use or sale and which are not measured at fair value are capitalised. All other borrowing costs are recognised in profit or loss.
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Statement of Significant Accounting PoliciesRight- of-use-asset
Rights-of-use assets are initially measured at cost comprising of the following:
The amount of the initial measurement of lease liability
Any lease payments made at or before the commencement date less any lease incentives received
Any initial direct costs, and
Restoration costs.
The Right-of-use and lease liability are presented separately from other non-lease assets and liability in the statement of financial position.
Leases
The Company primarily leases building used as offices and warehouse. The lease terms are typically for fixed periods ranging from 1 to 2 years but may have extension options as described below. On renewal of lease, the terms may be renegotiated.
Contracts may contain both lease and non-lease components. The Company has elected not to separate lease and non-lease components but instead accounts for them as a single lease component. Lease terms are negotiated on an individual basis and contain different terms and conditions, including extension and termination options. The lease agreement does not impose any covenants; however, leased assets may not be used as security for borrowing purposes.
Segment reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker. The latter who is responsible for allocating resources and assessing performance of the operating segments has been identified as the BUA Cement Leadership Team, which comprises of the Board of Directors and other Executive Officers.
Government grants
Grants from the government are recognised at their fair value where there is a reasonable assurance that the grant will be received and the Company will comply with all attached conditions. Government grants relating to costs are deferred and recognised in profit or loss over the period necessary to match them with the cost that they are intended to compensate.
Comparative figures
Where necessary, comparative figures with notes have been restated to conform to changes in presentation in the current year.
Securities trading policy
In compliance with Rule 17.15 Disclosure of Dealings in Issuers' Shares, Rulebook of the Exchange 2015 (Issuers' Rules), BUA Cement Plc maintains a Security Trading Policy which guides Directors, Audit members, employees, and all individuals categorised as insiders as to their dealing in the Company's securities. The policy is periodically reviewed by the Board and updated. The Company has made specific inquiries from all its directors and other insiders and is not aware of any infringement of the policy during the period under review.
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Statement of Profit or Loss and Other Comprehensive IncomeNotes | Unaudited 3 Months ended | Unaudited YTD | Unaudited 3 Months ended | Unaudited YTD | Audited Year end | |
₦ '000 | 30 June 2026 | 30 June 2026 | 30 June 2025 | 30 June 2025 | 31 December 2025 | |
Revenue | 2 | 373,946,055 | 728,925,338 | 289,482,962 | 580,303,927 | 1,179,444,900 |
Cost of sales | 3 | (148,812,216) | (301,892,193) | (141,876,678) | (293,944,119) | (575,263,098) |
Gross profit (loss) | 225,133,839 | 427,033,145 | 147,606,284 | 286,359,808 | 604,181,802 | |
Other income | 4 | 189,357 | 509,703 | 310,664 | 1,057,381 | 1,504,754 |
Impairment writeback/ (loss) on financial assets | 5 | - | - | - | - | 188 |
Selling and distribution costs | 6 | (25,003,893) | (40,446,285) | (15,400,732) | (29,814,850) | (63,609,998) |
Administrative expenses | 7 | (8,557,473) | (15,825,259) | (6,158,153) | (12,208,756) | (27,826,062) |
Operating profit | 191,761,830 | 371,271,304 | 126,358,063 | 245,393,583 | 514,250,684 | |
Finance income | 8 | 7,451,572 | 18,730,157 | 5,235,339 | 6,764,236 | 17,010,577 |
Finance costs | 9 | (11,021,702) | (22,138,532) | (18,816,200) | (38,137,483) | (56,288,777) |
Net finance cost | (3,570,130) | (3,408,375) | (13,580,861) | (31,373,247) | (39,278,200) | |
Net exchange gain / (loss) | 9(a) | 3,561,342 | 16,574,654 | 1,619,632 | 782,823 | (9,696,264) |
Minimum tax | 12(a) | - | - | 665,338 | - | - |
Profit before taxation | 191,753,042 | 384,437,583 | 115,062,172 | 214,803,159 | 465,276,220 | |
Income and deferred taxes | 12(a) | (43,251,952) | (59,559,105) | (15,290,897) | (33,907,936) | (109,237,944) |
Profit after taxation | 148,501,090 | 324,878,478 | 99,771,275 | 180,895,223 | 356,038,276 | |
Other comprehensive income: | ||||||
Items that will not be reclassified to profit or loss: | ||||||
Remeasurements on net defined benefit liability/asset | - | - | - | - | (2,264,938) | |
Other comprehensive income for the period net of taxation | - | - | - | - | (2,264,938) | |
Total comprehensive income for the period | 148,501,090 | 324,878,478 | 99,771,275 | 180,895,223 | 353,773,338 | |
Earnings per share | ||||||
Per share information | ||||||
Basic earnings per share (kobo) | 10 | 438.52 | 959.35 | 294.62 | 534.18 | 1,051.37 |
(RC 1193879)
Unaudited Financial Statements for the Six Months ended 30 June 2026
Statement of Financial PositionUnaudited
YTD
Audited Year end
₦ '000 | Notes | 30 June 2026 | 31 December 2025 |
Assets | |||
Non-Current Assets Property, plant and equipment | 13 | 1,216,847,941 | 1,179,526,058 |
Right-of-use assets | 15 | 131,837 | 185,872 |
Intangible assets | 14 | 14,392,322 | 13,498,148 |
1,231,372,100 | 1,193,210,078 | ||
Current Assets Inventories | 17 | 181,536,207 | 171,763,346 |
Trade receivables | 18 | 246,490 | 236,843 |
Prepayments and other assets | 19 | 177,963,332 | 160,125,741 |
Due from related companies | 16 | 24,020,903 | 50,411,030 |
Cash and short term deposits | 20 | 303,562,937 | 280,379,968 |
687,329,869 | 662,916,928 | ||
Total Assets | 1,918,701,969 | 1,856,127,006 | |
Equity and Liabilities | |||
Equity Share capital | 21 | 16,932,177 | 16,932,177 |
Reorganisation reserve | 21.2 | 200,004,179 | 200,004,179 |
Actuarial reserve | 21.3 | (6,352,199) | (6,352,199) |
Retained income | 448,550,426 | 462,315,489 | |
659,134,583 | 672,899,646 | ||
Liabilities | |||
Non-Current Liabilities Long-term borrowing | 22 | 487,583,803 | 313,072,476 |
Debt security issued | 23 | 14,177,301 | 24,730,823 |
Deferred tax | 12(c) | 111,630,227 | 128,209,105 |
Government grant | 28 | 936,577 | 936,577 |
Retirement benefit obligation | 24 | 9,725,734 | 9,163,468 |
Provision for decommissioning liabilities | 27 | 8,134,988 | 9,278,688 |
632,188,630 | 485,391,137 | ||
Current Liabilities Trade and other payables | 25 | 279,987,896 | 371,519,896 |
Short-term borrowings | 22 | 132,699,259 | 156,303,553 |
Lease liabilities | 15 | 126,365 | 144,936 |
Contract liabilities | 26 | 107,054,965 | 105,812,462 |
Government grant | 28 | 265,844 | 527,353 |
Income tax payable | 12(b) | 75,870,506 | 29,210,383 |
Provision for decommissioning liabilities | 27 | 2,623,921 | 1,794,202 |
Debt security issued | 23 | 28,750,000 | 32,523,438 |
627,378,756 | 697,836,223 | ||
Total Liabilities | 1,259,567,386 | 1,183,227,360 | |
Total Equity and Liabilities | 1,918,701,969 | 1,856,127,006 |
its behalf by:
Chikezie Ajaero
The unaudited financial statements and the notes on page 13-27 were approved by the board of directors on July 23, 2026 and were signed on
Chief Finance Officer FRC/2014/ICAN/0000001040
Abdul Samad Rabiu CFR, CON
Chairman FRC/2014/IODN/00000010111
Yusuf Binji
Managing Director/CEO FRC/2013/NSE/00000001746
(RC 1193879)
Unaudited Financial Statements for the Six Months ended 30 June 2026
Statement of Changes in EquityReserve on
actuarial defined Re-organisation
₦ '000 | Share capital | benefit plan | reserve | Retained income | Total equity |
Balance at January 1, 2025 | 16,932,177 | (4,087,261) | 200,004,179 | 175,699,139 | 388,548,234 |
Profit (loss) for the period | - | - | - | 356,038,276 | 356,038,276 |
Other comprehensive income | - | (2,264,938) | - | - | (2,264,938) |
Total comprehensive income for the period | - | (2,264,938) | - | 356,038,276 | 353,773,338 |
Dividends paid | - | - | - | (69,421,926) | (69,421,926) |
Total contributions by and distributions to owners of company recognised directly in equity | - | - | - | (69,421,926) | (69,421,926) |
Balance at 31 December 2025 | 16,932,177 | (6,352,199) | 200,004,179 | 462,315,489 | 672,899,646 |
Balance at January 1, 2026 | 16,932,177 | (6,352,199) | 200,004,179 | 462,315,489 | 672,899,646 |
Profit (loss) for the period | - | - | - | 324,878,478 | 324,878,478 |
Other comprehensive income | - | - | - | - | - |
Total comprehensive income for the period | - | - | - | 324,878,478 | 324,878,478 |
Dividends paid | - | - | - | (338,643,541) | (338,643,541) |
Total contributions by and distributions to owners of company recognised directly in equity | - | - | - | (338,643,541) | (338,643,541) |
Balance at 30 June 2026 | 16,932,177 | (6,352,199) | 200,004,179 | 448,550,426 | 659,134,583 |
(RC 1193879) | |||
Unaudited Financial Statements for the Six Months ended 30 June 2026 | |||
Statement of Cash Flows | |||
Unaudited | Audited | ||
YTD | Year end | ||
Notes | 30 June 2026 | 31 December | |
₦ '000 | 2025 | ||
Cash flows from operating activities | |||
Net profit (loss) before taxation | 384,437,583 | 465,276,220 | |
Adjustments for: | |||
Depreciation and impairment of PPE | 13 | 22,629,571 | 48,431,662 |
Amortisation and impairment of intangible assets | 14 | 308,514 | 683,247 |
Depreciation of right of use asset | 15 | 63,680 | 143,762 |
(Profit) or loss on sale of of assets and liabilities | 13(c) | (911) | (1,058) |
Amortisation of government grant | 4 | (261,510) | (640,870) |
Derecognition of (gains)/ losses on financial assets at amortised cost | 5 | - | (188) |
Unrealised foreign exchange loss(gain) | 9(a) | (16,574,654) | 9,696,264 |
Decommissioning liabilities adjustment | 3 | (1,228,766) | (12,976,653) |
Current service cost-defined benefit plan | 24 | 522,014 | 795,243 |
Plan participant contribution | 24 | - | (748,897) |
Finance income | 8 | (18,730,157) | (17,010,577) |
Finance costs | 9 | 22,138,532 | 56,288,777 |
Operating profit before working capital changes | 393,303,896 | 549,936,932 | |
Changes in working capital: | |||
(Increase) decrease in inventories | 17 | (9,772,861) | (11,965,914) |
(Increase) decrease in trade and other receivables | 18 | (9,647) | (8,111) |
(Increase) decrease in prepayments | 19 | (17,837,591) | (53,235,867) |
Increase (decrease) in trade and other payables | 25 | (84,964,945) | 5,598,185 |
Increase (decrease) in contract liabilities | 26 | 1,242,503 | (8,123,763) |
(Increase)/ decrease in due to/ from related parties | 16 | - | (27,639,587) |
(Increase)/ decrease in due to related parties | 26,390,127 | - | |
Cash generated from operations | 308,351,482 | 454,561,875 | |
Defined benefit paid during the year | 24 | (422,952) | (855,702) |
Tax paid | 12(b) | (29,477,859) | (2,345,433) |
Net cash from operating activities | 278,450,671 | 451,360,740 | |
Cash flows from investing activities | |||
Purchase of property, plant and equipment | 13(b) | (60,671,268) | (79,593,593) |
Proceeds from sale of property, plant and equipment | 13(c) | 3,672 | 17,465 |
Purchase of intangible assets | 14 | (1,202,689) | (826,352) |
Interest Income | 8 | 18,730,157 | 17,010,577 |
Net cash from investing activities | (43,140,128) | (63,391,903) | |
(RC 1193879)
Unaudited Financial Statements for the Six Months ended 30 June 2026
Statement of Cash Flows₦ '000
Notes
Unaudited
YTD 30 June 2026
Audited Year end
31 December
2025
Cash flows from financing activities Proceed from borrowings | 22 | 233,271,303 | 16,565,392 |
Principal repayment of borrowings | 22 | (67,910,420) | (50,126,227) |
Interest repayment on borrowing | 22 | (20,693,197) | (49,452,450) |
Principal repayment on debt security | 23 | (14,375,000) | (28,750,000) |
Interest repayment on debt security | 23 | (2,200,350) | (5,928,210) |
Interest payment on overdraft | 22 | (6,088) | (712) |
Repayments on lease liabilities | 15 | (33,124) | (206,407) |
Dividend paid to equity holders | 11 | (338,643,541) | (69,421,926) |
Net cash from financing activities | (210,590,417) | (187,320,540) | |
Net cash movement for the year | 24,720,126 | 200,648,297 | |
Cash and cash equivalent at the beginning of the period | 20 | 280,379,968 | 84,749,250 |
Effects of exchange rate differences on cash and cash equivalents | (1,537,157) | (5,017,579) | |
Total cash and cash equivalent at end of the period | 20 | 303,562,937 | 280,379,968 |
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements₦ '000
Unaudited 3 Months ended
30 June 2026
Unaudited
YTD 30 June 2026
Unaudited 3 Months ended
30 June 2025
Unaudited
YTD 30 June 2025
Audited Year end
31 December
2025
Revenue
Sale of bagged cement
348,194,689
688,774,700
289,377,399
580,067,635
1,171,877,176
Sale of bulk cement
25,751,366
40,150,638
105,563
236,292
7,567,724
373,946,055
728,925,338
289,482,962
580,303,927
1,179,444,900
Cost of sales
* Materials
17,253,978
44,561,046
34,407,492
36,930,756
86,784,789
Energy consumption
68,012,937
135,354,816
52,647,332
127,392,674
244,751,771
Staff costs
3,734,050
8,480,373
3,215,814
6,597,674
14,108,035
Lubricants
1,048,767
2,379,004
739,558
1,495,005
3,735,133
Quarry fees and royalties
2,644,862
3,870,715
827,211
1,737,906
6,062,544
Other repairs and maintenance expenses
9,614,063
17,490,525
6,331,958
12,610,236
26,592,849
Operation and maintenance service
34,813,295
66,218,765
32,180,478
85,076,530
152,846,250
charges
Other expenses
1,271,289
2,337,893
568,557
928,146
2,326,249
Water supply
101,946
130,518
6,157
11,941
32,789
Explosives
436,259
675,981
214,872
367,503
897,115
Communication expenses
90,399
180,081
86,835
211,046
604,311
Printing and stationery
2,708
2,828
506
855
2,719
Subscription dues
-
-
-
-
622
Transportation and travelling
145,808
233,334
149,333
291,878
726,317
expenses Refractories cost
3,476,045
5,777,013
2,492,054
4,300,224
14,287,591
Insurance
380,887
761,774
378,409
755,216
1,517,219
Depreciation and amortisation charge
7,155,409
14,666,293
8,251,553
16,470,817
32,963,448
Subtotal (before decommissioning adjustment)
150,182,702
303,120,959
142,498,119
295,178,407
588,239,751
** Decommissioning liability adjustment
(1,370,486)
(1,228,766)
(621,441)
(1,234,288)
(12,976,653)
Total (after decommissioning adjustment)
148,812,216
301,892,193
141,876,678
293,944,119
575,263,098
* Materials have been adjusted with opening and closing stocks movement.
** Decommissioning liability adjustment relates to a decrease in decommissioning liability of one quarry, Ikpobia that exceeds the carrying amount of the decommissioning asset in line with IFRIC 1.
Other income
Sundry income
56,519
234,876
143,627
732,269
847,519
Profit on disposal of property, plant
911
911
-
53
1,058
and equipment
Insurance income
450
12,406
7,258
7,258
15,307
Government grants
131,477
261,510
159,779
317,801
640,870
189,357
509,703
310,664
1,057,381
1,504,754
Impairment (writeback)/loss on financial assets
Impairment (writeback)/loss on trade receivables
- - - - (188)
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements₦ '000 | Unaudited 3 Months ended 30 June 2026 | Unaudited YTD 30 June 2026 | Unaudited 3 Months ended 30 June 2025 | Unaudited YTD 30 June 2025 | Audited Year end 31 December 2025 |
6. | Selling and distribution costs | ||||
Other repairs and maintenance expenses | 307 | 464 | 188 | 2,161 | 2,395 |
Advertisement and promotion | 16,766 | 25,554 | 140,747 | 154,633 | 524,412 |
Cement haulage charges | 116,779 | 235,431 | 97,146 | 203,318 | 436,963 |
Printing and stationery | 14,408 | 29,883 | 11,810 | 30,935 | 78,356 |
Distribution costs | 21,070,971 | 32,456,162 | 11,460,395 | 22,021,444 | 46,785,945 |
Depreciation | 3,248,779 | 6,497,559 | 3,248,779 | 6,497,559 | 13,805,953 |
Salaries, wages & benefits | 423,693 | 1,004,685 | 363,657 | 736,642 | 1,585,896 |
Other expenses | 34,317 | 66,204 | 20,344 | 39,055 | 124,882 |
Energy consumption | 37 | 61 | 62 | 175 | 293 |
Office running expenses | 94 | 360 | 182 | 277 | 1,340 |
Transportation and travelling expenses | 60,098 | 104,592 | 51,671 | 116,185 | 228,773 |
Communication expenses | 17,644 | 25,330 | 5,514 | 12,229 | 34,553 |
Subscription dues | - | - | 237 | 237 | 237 |
25,003,893 | 40,446,285 | 15,400,732 | 29,814,850 | 63,609,998 | |
7. | Administrative expenses | ||||
Amortisation | - | - | 1,842 | 3,771 | 6,549 |
Auditors remuneration - external audit | 50,794 | 101,588 | 53,412 | 107,343 | 231,125 |
Bank charges | 131,843 | 306,507 | 122,477 | 233,883 | 672,609 |
Depreciation | 914,065 | 1,837,913 | 757,019 | 1,546,671 | 2,482,720 |
Donation | 722,379 | 1,178,155 | 94,374 | 419,986 | 649,668 |
Employee costs | 2,424,356 | 5,090,395 | 2,032,811 | 4,478,140 | 12,144,815 |
Entertainment | 74,261 | 116,144 | 56,467 | 77,794 | 157,590 |
Directors expenses | 243,331 | 335,839 | 56,357 | 117,318 | 492,525 |
Consultancy | 313,900 | 558,768 | 246,177 | 542,031 | 1,139,275 |
Office running expenses | 34,356 | 58,664 | 39,521 | 72,264 | 143,678 |
Communication expenses | 67,661 | 127,634 | 51,269 | 92,470 | 312,855 |
Security expenses | 950,777 | 1,676,168 | 597,406 | 1,157,802 | 2,597,799 |
Directors emoluments | 340,681 | 554,905 | 275,397 | 290,591 | 979,543 |
Other repair and maintenance | 272,429 | 543,906 | 308,934 | 487,866 | 941,340 |
Public relations | 234,417 | 571,265 | 414,319 | 714,800 | 1,210,043 |
Insurance | 125,178 | 283,970 | 141,444 | 244,819 | 515,685 |
Other expenses | 544,657 | 991,137 | 316,307 | 597,389 | 1,226,117 |
Printing and stationery | 56,934 | 121,442 | 36,715 | 97,460 | 217,580 |
Promotions | 362,543 | 372,413 | 332,677 | 336,439 | 336,439 |
Subscriptions | 57,882 | 177,299 | 46,925 | 106,609 | 467,240 |
Travel - local | 635,029 | 821,147 | 176,303 | 483,310 | 900,867 |
8,557,473 | 15,825,259 | 6,158,153 | 12,208,756 | 27,826,062 | |
8. | Finance income | ||||
Interest Income | 7,451,572 | 18,730,157 | 5,235,339 | 6,764,236 | 17,010,577 |
Total interest income | 7,451,572 | 18,730,157 | 5,235,339 | 6,764,236 | 17,010,577 |
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements₦ '000
Unaudited 3 Months ended
30 June 2026
Unaudited
YTD 30 June 2026
Unaudited 3 Months ended
30 June 2025
Unaudited
YTD 30 June 2025
Audited Year end
31 December
2025
9. Finance costs
Interest expense on lease liability | 1,919 | 4,908 | 3,657 | 7,547 | 17,287 |
Interest expense on overdraft | - | - | - | - | 712 |
Unwinding of discount on provisions | (1,241,651) | 917,672 | 2,503,072 | 5,006,143 | 10,012,286 |
and other liabilities Interest expense on borrowings | 13,307,593 | 21,890,924 | 14,452,409 | 29,428,272 | 51,548,462 |
Interest expense on debt security | 1,130,406 | 2,248,390 | 1,692,898 | 3,367,193 | 6,190,591 |
issued Interest expense on defined benefit | 231,603 | 463,204 | 164,164 | 328,328 | 656,656 |
obligation | |||||
13,429,870 | 25,525,098 | 18,816,200 | 38,137,483 | 68,425,994 | |
Less: Capitalised to qualifying assets | (2,408,168) | (3,386,566) | - | - | (12,137,217) |
11,021,702 | 22,138,532 | 18,816,200 | 38,137,483 | 56,288,777 | |
9(a). Foreign exchange (gain)/loss | |||||
Net foreign exchange (gain)/loss on borrowings/cash | (3,282,207) | (15,645,489) | (690,350) | (953,060) | 7,707,984 |
Foreign exchange gains offset | 851,096 | 4,100,733 | - | - | 8,127,962 |
Net loss/(gain) on other foreign exchange transactions | (1,129,849) | (5,029,516) | (929,282) | 170,237 | (6,139,682) |
(3,560,960) | (16,574,272) | (1,619,632) | (782,823) | 9,696,264 | |
10. Earnings per share |
Basic earnings per share are calculated by dividing the profit attributable to equity holders by the weighted average number of ordinary shares outstanding at the end of reporting period.
Basic earnings per share | ||||||||
Reconciliation of earnings Net profit attributable to ordinary equity | 148,501,090 | 324,878,478 | 99,771,275 | 180,895,223 | 356,038,276 | |||
holders | ||||||||
Weighted average number of ordinary shares | Number '000 33,864,354 | Number '000 33,864,354 | Number '000 33,864,354 | Number '000 33,864,354 | Number '000 33,864,354 | |||
Basic Earning per ordinary shares (kobo) | 438.52 | 959.35 | 294.62 | 534.18 | 1,051.37 | |||
11. Dividends paid | ||||||||
Dividend | (338,643,541) | (338,643,541) | - | - | (69,421,926) | |||
Dividends are from capital profits. | ||||||||
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements₦ '000 | Unaudited 3 Months ended 30 June 2026 | Unaudited YTD 30 June 2026 | Unaudited 3 Months ended 30 June 2025 | Unaudited YTD 30 June 2025 | Audited Year end 31 December 2025 |
12. Taxation | |||||
12(a).Major components of the tax expense | |||||
Minimum tax | |||||
Minimum tax | - | - | (665,338) | - | - |
Current Company tax | 34,655,836 | 66,638,942 | 14,946,488 | 14,946,488 | 20,452,379 |
Development levy | 4,674,276 | 9,499,041 | - | - | - |
Education tax | - | - | 1,864,756 | 3,575,770 | 8,610,116 |
Police Trust Fund | - | - | 5,719 | 10,740 | 23,264 |
39,330,112 | 76,137,983 | 16,816,963 | 18,532,998 | 29,085,759 | |
Deferred Deferred tax charge/(credit) | 3,921,840 | (16,578,878) | (1,526,065) | 15,374,938 | 80,152,185 |
Split between current and deferred tax | |||||
Current tax | 39,330,112 | 76,137,983 | 16,816,963 | 18,532,998 | 29,085,759 |
Deferred tax | 3,921,840 | (16,578,878) | (1,526,065) | 15,374,938 | 80,152,185 |
43,251,952 | 59,559,105 | 15,290,898 | 33,907,936 | 109,237,944 |
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 | ||
Notes to the Unaudited Financial Statements | ||
Unaudited | Audited | |
₦ '000 | YTD 30 June 2026 | Year end 31 December 2025 |
12(b).Current income tax liabilities | ||
As at the beginning | 29,210,382 | 2,470,056 |
Provision for the period/year | 76,137,983 | 29,085,759 |
105,348,365 | 31,555,815 | |
Less: Payment during the period | (29,477,859) | (2,345,433) |
As at the End | 75,870,506 | 29,210,382 |
12(c).Deferred tax | ||
Reconciliation of deferred tax asset / (liability) | ||
At beginning of year | 128,209,105 | 47,973,774 |
Deferred tax charge/(credit) for the period - profit or loss | (16,578,878) | 80,152,185 |
Deferred tax credit for the year-OCI | - | 83,146 |
111,630,227 | 128,209,105 | |
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements13. Property, plant and equipment Reconciliation of property, plant and equipment
Tools, computers,
₦ '000 Cost | Land | Buildings | Plant and machinery | Furniture and fixtures | Motor vehicles | Quarry Equipment | Laboratory and office equipment | Trucks | Construction Work in Progress | Total |
At January 1, 2025 | 3,645,657 | 142,982,050 | 980,689,945 | 1,316,898 | 5,525,890 | 49,705,898 | 2,369,419 | 86,857,927 | 57,788,230 | 1,330,881,914 |
Additions | 97,657 | 568,118 | 12,126,893 | 212,218 | 1,375,563 | - | 1,058,079 | - | 68,164,320 | 83,602,848 |
Borrowing costs capitalised | - | - | - | - | - | (38,105,257) | - | - | - | (38,105,257) |
Disposals and scrappings | - | - | - | - | (44,000) | - | (1,995) | - | - | (45,995) |
At 31 December 2025 | 3,743,314 | 143,550,168 | 992,816,838 | 1,529,116 | 6,857,453 | 11,600,641 | 3,425,503 | 86,857,927 | 125,952,550 | 1,376,333,510 |
Additions | 54,989 | 63,144 | 401,223 | 95,698 | 926,133 | - | 504,640 | - | 57,911,275 | 59,957,102 |
Disposals and scrappings | - | - | (3,408) | - | (9,000) | - | (1,110) | - | - | (13,518) |
Changes in Estimates | - | - | - | - | - | (2,887) | - | - | - | (2,887) |
At 30 June 2026 | 3,798,303 | 143,613,312 | 993,214,653 | 1,624,814 | 7,774,586 | 11,597,754 | 3,929,033 | 86,857,927 | 183,863,825 | 1,436,274,207 |
Accumulated Depreciation At January 1, 2025 | - | (10,430,614) | (101,659,554) | (703,656) | (2,795,568) | (6,493,110) | (1,399,450) | (24,923,427) | - | (148,405,379) |
Disposals | - | - | - | - | 27,594 | - | 1,995 | - | - | 29,589 |
Charge for the period | - | (3,487,196) | (26,411,206) | (190,136) | (1,017,448) | (3,964,314) | (366,244) | (12,995,118) | - | (48,431,662) |
At 31 December 2025 | - | (13,917,810) | (128,070,760) | (893,792) | (3,785,422) | (10,457,424) | (1,763,699) | (37,918,545) | - | (196,807,452) |
Disposals | - | - | 647 | - | 9,000 | - | 1,110 | - | - | 10,757 |
Charge for the period | - | (1,753,553) | (13,306,465) | (100,805) | (600,526) | (79,646) | (291,018) | (6,497,559) | - | (22,629,572) |
At 30 June 2026 | - | (15,671,363) | (141,376,578) | (994,597) | (4,376,948) | (10,537,070) | (2,053,607) | (44,416,104) | - | (219,426,267) |
Carrying Amount | ||||||||||
At 31 December 2025 | 3,743,314 | 129,632,358 | 864,746,078 | 635,324 | 3,072,031 | 1,143,217 | 1,661,804 | 48,939,382 | 125,952,550 | 1,179,526,058 |
At 30 June 2026 | 3,798,303 | 127,941,949 | 851,838,075 | 630,217 | 3,397,638 | 1,060,685 | 1,875,426 | 42,441,823 | 183,863,825 | 1,216,847,941 |
18
13. Property, plant and equipment (continued) Revaluation of property, plant and equipment
No recent revaluation has been done by the Company. The Directors are of the opinion that the carrying value of property, plant & machinery approximate its fair value.
Included in quarry equipment is cost relating to restoration of quarry site being mined by the Company as at 31 March 2026.
13a. Depreciation charged during the year are included in: ₦ '000 | Unaudited YTD 30 June 2026 | Audited Year end 31 December 2025 |
Cost of sales | 14,341,400 | 32,253,811 |
Administrative expenses | 1,790,612 | 2,371,898 |
Selling and distribution expenses | 6,497,559 | 13,805,953 |
22,629,571 | 48,431,662 | |
13b. Purchase of PPE in the statement of cashflow. | ||
Additions to PPE | 59,957,102 | 83,602,848 |
Net borrowing cost capitalised-gain/(loss) | 714,166 | (4,009,256) |
60,671,268 | 79,593,592 | |
13c. Proceeds from disposal of PPE in statement of cash flows is analysed below: | ||
Proceed from disposal of asset | 3,672 | 17,465 |
Cost | 13,518 | 45,995 |
Accumulated depreciation | (10,757) | (29,588) |
Less: net book value of disposed assets | 2,761 | 16,407 |
Gains on disposal | 911 | 1,058 |
14. Intangible assets Reconciliation of intangible assets | |||||
₦ '000 | Exploration asset | Mineral rights | Licenses and franchises | Computer software, other | Total |
Cost At January 1, 2025 | 2,909,808 | 12,330,504 | 3,025 | 109,724 | 15,353,061 |
Additions | 194,976 | 631,376 | - | - | 826,352 |
At 31 December 2025 | 3,104,784 | 12,961,880 | 3,025 | 109,724 | 16,179,413 |
Additions | 402,395 | 800,294 | - | - | 1,202,689 |
At 30 June 2026 | 3,507,179 | 13,762,174 | 3,025 | 109,724 | 17,382,102 |
Amortisation and impairment At January 1, 2025 | - | (1,891,835) | (3,025) | (103,158) | (1,998,018) |
Amortisation | - | (676,698) | - | (6,549) | (683,247) |
At 31 December 2025 | - | (2,568,533) | (3,025) | (109,707) | (2,681,265) |
Amortisation | - | (308,514) | - | - | (308,514) |
At 30 June 2026 | - | (2,877,047) | (3,025) | (109,707) | (2,989,779) |
Carrying Amount | |||||
At 31 December 2025 | 3,104,784 | 10,393,347 | - | 17 | 13,498,148 |
At 30 June 2026 | 3,507,179 | 10,885,127 | - | 16 | 14,392,322 |
Intangible assets represent cost of quarry deposits and software licence.
Software Licence
The software licence relates to cost of licence on software used by the Company and for a 5-year period. Software licence is shown at amortised cost. The licences have been acquired with the option to renew at the end of the period.
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 | ||
Notes to the Unaudited Financial Statements | ||
Unaudited | Audited | |
₦ '000 | YTD 30 June 2026 | Year end 31 December 2025 |
15. Right-of-use assets | ||
Right-of-use asset | 131,837 | 185,872 |
Opening balance | 185,872 | 83,749 |
Additions | 9,645 | 245,885 |
Depreciation of right of use assets | (63,680) | (143,762) |
Balance at end of period | 131,837 | 185,872 |
Leases liabilities | ||
Opening balance | 144,936 | 88,171 |
Additions | 9,645 | 245,885 |
Interest expenses | 4,908 | 17,287 |
Payments | (33,124) | (206,407) |
Balance at end of period | 126,365 | 144,936 |
16. Due from related parties | ||
BUA International limited | 24,371,384 | 51,180,134 |
PW Nigeria | (350,481) | (769,104) |
24,020,903 | 50,411,030 | |
17. Inventories | ||
Fuel | 21,355,658 | 14,030,480 |
Engineering spares | 67,669,000 | 55,433,365 |
Packing materials | 3,780,381 | 4,972,649 |
Raw materials | 58,138,733 | 58,675,780 |
Goods in transit | 1,658,572 | 10,903,883 |
Work in progress | 28,242,139 | 27,643,283 |
Finished goods | 691,724 | 103,906 |
181,536,207 | 171,763,346 | |
There was no write-down of inventories recognised as an expense during the period. | ||
None of the inventories of the Company were pledged as security for loans as at the reporting date. | ||
18. Trade and other receivables | ||
Trade receivables | 246,683 | 237,036 |
Loss allowance | (193) | (193) |
246,490 | 236,843 | |
All amounts are short-term. The net carrying value of trade receivables is considered a reasonable approximation of fair value.
The Company strictly deals on cash and carry basis, with the exception of three corporate clients in the construction industry who have a corporate guaranteed bond in place with spelt out pre-agreed credit terms. Trade receivables are not interest bearing.
The average credit period of the Company's sales is 30 days. The Company has financial risk management policies in place to ensure that all receivables are received within the pre-agreed credit terms.
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 | ||
Notes to the Unaudited Financial Statements | ||
Unaudited | Audited | |
₦ '000 | YTD 30 June 2026 | Year end 31 December 2025 |
19. Prepayments and other assets | ||
Other prepayments (*) | 151,214,956 | 121,439,066 |
Prepayment for engineering and construction work | 25,696,691 | 37,757,646 |
Advance to staff | 1,051,685 | 929,029 |
177,963,332 | 160,125,741 | |
*Other prepayments relate to advance payments made to vendors for supply of products and spares. | ||
20. Cash and cash equivalents | ||
Cash and cash equivalents consist of: Cash on hand | 18,507 | 21,951 |
Bank balances | 35,297,476 | 135,412,228 |
Short-term deposits | 268,246,954 | 144,945,789 |
303,562,937 | 280,379,968 | |
Split between assets and liabilities | ||
Current assets | 303,562,937 | 280,379,968 |
Short-term deposits are made for varying periods of between 1 day and 3 months depending on the immediate cash requirements of the Company and earn interest at the respective short-term deposit rates.
The Company has not pledged its short-term deposits in order to fulfil collateral requirements with any bank. Cash and Bank equivalent is exclusive of overdraft balance.
21. Share capital | ||
Authorised 33,864,354,060 Ordinary shares of 50kobo each. | 16,923,177 | 16,932,177 |
Issued and fully paid | ||
33,864,354,060 Ordinary shares of 50k each | 16,932,177 | 16,932,177 |
Share capital |
In accounting for the merger between BUA Cement and Cement Company of Northern Nigeria (CCNN) PLC in 2019, the balances in these financial statements including share capital were presented as though the merger took effect when both entities came under common control. As a result, the changes in the share capital of BUA Cement with respect to the business combination were applied retrospectively in the 2018 & 2019 Financial Statements.
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements21.1. Shareholding structure and free float status
Company Name:
Year End:
Reporting Period:
Share Price at end of reporting period:
BUA Cement Plc June 2026
Q2 2026
₦340.20 ₦95.40
30 June 2026 30 June 2025
Description | Units | Percentage (In relation to issued share capital) | Units | Percentage (In relation to issued share capital) |
Issued Share Capital | 33,864,354,060 | 100 % | 33,864,354,060 | 100 % |
Details of Substantial Shareholdings (5% | ||||
and above): | ||||
Abdul Samad Rabiu | 18,974,995,225 | 56.03 | 18,974,995,225 | 56.03 |
BUA Industries Limited | 13,462,681,069 | 39.75 | 13,462,681,069 | 39.75 |
Total Substantial Shareholdings | 32,437,676,294 | 95.78 | 32,437,676,294 | 95.78 |
Directors' Shareholdings (direct and | ||||
indirect), excluding directors with | ||||
substantial interests | ||||
Abdul Samad Rabiu (Indirect) | 637,403,152 | 1.88 | 637,403,152 | 1.88 |
Yusuf H Binji | 1,217,383 | 0.00 | 1,057,883 | 0.00 |
Chikezie Dickson Ajaero | 800,000 | 0.00 | 450,000 | 0.00 |
Kabiru Isyaku Rabiu | 820,000 | 0.00 | 820,000 | 0.00 |
Kenneth Chimaobi Madukwe | 845,450 | 0.00 | 845,450 | 0.00 |
Finn Arnoldsen | 820,000 | 0.00 | 820,000 | 0.00 |
Shehu Abubakar | 1,000,000 | 0.00 | 1,000,000 | 0.00 |
Ganiat Adetutu Siyonbola | 31,000 | 0.00 | 103,000 | 0.00 |
Total Directors' Shareholdings | 642,936,985 | 1.88 | 642,499,485 | 1.88 |
Other Influential Shareholdings: | ||||
Total Other Influential Shareholdings | - | - | - | - |
Free Float in Units and Percentage | 783,740,781 | 2.31 | 784,178,281 | 2.32 |
Free Float in Value | ₦266,628,613,696.20 | ₦74,810,608,007 | ||
Declaration: |
BUA Cement Plc with a free float value of ₦266,628,613,696.20 as at 30 June 2026, is compliant with the Exchange's free float requirements for companies listed on the Main Board.
21.2 Reorganisation reserve
Reorganisation reserve consists of the Company's merger transactions with entities under common control.
21.3 Other reserves
₦ '000
Unaudited YTD
30 June 2026
Audited Year end
31 December 2025
Reserve on actuarial valuation of defined benefit plan
Opening balance (6,352,199) (4,087,261)
Actuarial gain/(loss) on defined benefit plan (net of tax) - (2,264,938)
Balance at end of period (6,352,199) (6,352,199)
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 | ||
Notes to the Unaudited Financial Statements | ||
Unaudited | Audited | |
₦ '000 | YTD 30 June 2026 | Year end 31 December 2025 |
22. Borrowings | ||
Bank loan | 620,283,062 | 469,376,029 |
Split between non-current and current portions | ||
Non-current liabilities | 487,583,803 | 313,072,476 |
Current liabilities | 132,699,259 | 156,303,553 |
620,283,062 | 469,376,029 | |
Borrowings classified based on average interest rate | ||
The above borrowings are further classified based on average interest rate, maturity and provider of funds: | ||
Average | ₦ '000 | ₦ '000 |
Interest Rate Union Bank Ltd - trade and clean lines facilities 21% | 1,308,702 | 1,359,109 |
First Bank of Nigeria Ltd- import finance facility 26% | 30,520,765 | 53,333,276 |
IFC-syndicated loan | 97,434,039 | 94,643,497 |
Fidelity Bank Plc - RSSF loan 5%/9% | 1,717,877 | 3,483,836 |
Union Bank ltd - RSSF loan 5%/9% | 1,717,877 | 3,483,836 |
132,699,260 | 156,303,554 | |
Fidelity Bank Plc - RSSF loan 5%/9% | 8,245,673 | 7,593,868 |
Union Bank Ltd - RSSF loan 5%/9% | 9,063,438 | 8,432,221 |
IFC-syndicated loan | 470,274,691 | 297,046,386 |
487,583,802 | 313,072,475 | |
620,283,062 | 469,376,029 | |
Movement in borrowings | ||
Movement in borrowings are analysed as follows: | ||
Opening balance | 469,376,029 | 493,138,713 |
Additional drawdowns in the year | 233,271,303 | 16,565,392 |
Principal repayments | (67,910,420) | (50,126,227) |
Interest repayments | (20,693,197) | (49,452,450) |
Interest capitalised | 3,386,566 | 12,137,217 |
Interest expense | 18,498,270 | 39,405,399 |
Exchange losses/(gains) expensed/recognised | (11,544,756) | 15,835,946 |
Foreign exchange gains offset | (4,100,733) | (8,127,961) |
Balance at end of period | 620,283,062 | 469,376,029 |
(RC 1193879)
Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026
Notes to the Unaudited Financial Statements₦ '000
Unaudited YTD
30 June 2026
Audited Year end
31 December 2025
22. Borrowings (continued)
First Bank of Nigeria Ltd - Term loans and overdraft
The facilities were provided to part finance the construction of a cement plant, importation of spare parts and raw materials. All the facilities were secured with a debenture on the fixed and floating assets of BUA Cement Plc, the corporate guarantee of BUA International Ltd and the personal guarantee of Alhaji Abdulsamad Rabiu.
Union Bank Ltd- Trade Line - Cash backed
The facility was obtained as a trade line facility for the importation of machines and equipment. It is a $28.4 million facility covered by an All Asset Debenture of the Company and the personal guarantee of Mr. Abdulsamad Rabiu.
Fidelity Bank Plc - Real Sector Support Fund (Term loans)
This facility is a ₦20 billion loan for capacity expansion. The loan is for 10 years, inclusive of a 2-year moratorium on principal. It is covered by an All Assets Debenture on the assets of BUA Cement Plc. This is a CBN intervention facility through commercial banks.
Union Bank - Real Sector Support Fund - Term loans
This facility is a ₦20 billion loan for capacity expansion. The loan is for 10 years inclusive of a 2-year moratorium on principal. It is covered by an All Assets Debenture on the assets of BUA Cement Plc. This is a CBN intervention facility through commercial banks.
23. Debt security issued | ||
BUA Cement Series 1 Bond | 42,927,301 | 57,254,261 |
Split between non-current and current portions Non-current liabilities | 14,177,301 | 24,730,823 |
Current liabilities | 28,750,000 | 32,523,438 |
42,927,301 | 57,254,261 | |
Movement in debt security issued bond | ||
Movement in borrowings are analysed as follows: | ||
Opening balance | 57,254,261 | 85,741,880 |
Principal repayments | (14,375,000) | (28,750,000) |
Interest repayments | (2,200,350) | (5,928,210) |
Interest expense | 2,248,390 | 6,190,591 |
Balance at end of period | 42,927,301 | 57,254,261 |
BUA Cement Series 1 Bond |
The Company issued a ₦115 billion semi-annual coupon bond at the rate of 7.5% per annum. The effective date of the bond was 30 December 2020. The Bond proceeds were used to reimburse the shareholder loan and for working capital finance.
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 | ||
Notes to the Unaudited Financial Statements | ||
Unaudited | Audited | |
₦ '000 | YTD 30 June 2026 | Year end 31 December 2025 |
24. Retirement benefits | ||
Retirement benefit obligation | 9,725,734 | 9,163,468 |
Reconciliation of change in defined benefit obligation | ||
Defined benefit obligation opening | 9,163,468 | 7,134,372 |
Current service cost | 522,014 | 795,243 |
Interest cost | 463,204 | 656,656 |
Plan participants contribution | - | (748,897) |
Actuarial (gains)/losses - Change in assumption - Net of tax | - | (16,560) |
Actuarial (gains)/losses - Experience adjustment- Net of tax | - | 2,198,356 |
Benefit payment | (422,952) | (855,702) |
Balance at end of period | 9,725,734 | 9,163,468 |
Amounts Recognised in OCI Actuarial loss/(gain) on defined benefit plan: | ||
- Change in assumption | - | (208,914) |
- Change in experience adjustment | - | 3,212,336 |
- | 3,003,422 | |
Deferred tax credit | - | (146,980) |
Amount recognised in OCI (net of tax) | - | 2,856,442 |
The Company operates a defined contribution pension scheme in line with the provisions of the Pension Reform Act 2004, with contributions based on the sum of employees' basic salary, housing and transport allowance, and in the ratio of 8% by the employee and 10% by the employer.
The Company's contributions to this scheme is charged to the profit and loss account in the period to which they relate. Contributions to the scheme are managed by appointed pension managers on behalf of the beneficiary staff, in line with the provisions of the Pension Reform Act. Consequently, the Company has no legal or constructive obligations to pay further contributions if the funds do not hold sufficient assets to meet the related obligations to employees.
The Company also has a retirement benefits policy (unfunded) for all its full-time employees who have served the Company for a minimum of 5 years and above. The Company has a post-retirement programme for any employee who has attained the terminal age limit of 60 years.
The above tables summarise the movement in the retirement benefit as recognised in the income statement, the unfunded status and amounts recognised in the statement of financial position.
25. Trade and other payables | ||
Trade payables | 223,340,662 | 301,197,848 |
Other payables and accrued expenses | 30,880,554 | 8,062,697 |
Accrual, provision and other liabilities | 279,117 | 279,117 |
Unclaimed dividend | 547,872 | 547,872 |
Payroll tax & other statutory obligations | 638,205 | 1,166,048 |
VAT (flip receiver only) | 7,101,961 | 31,029,964 |
Withholding tax payable | 17,199,525 | 29,236,350 |
279,987,896 | 371,519,896 | |
Changes in trade payables in the statement of cash flows is as follows: | ||
Movement in trade payables and other payables | (91,532,000) | (5,553,228) |
Effect of unrealised exchange (loss)/gain | 6,567,055 | 11,151,413 |
(84,964,945) | 5,598,185 |
(RC 1193879) Unaudited Financial Statements for the Three Months and Six Months ended 30 June 2026 | ||
Notes to the Unaudited Financial Statements | ||
Unaudited | Audited | |
₦ '000 | YTD 30 June 2026 | Year end 31 December 2025 |
26. Contract liabilities | ||
The Company has recognised the following liabilities relating to contract with customers: | ||
Contract liabilities | 107,054,965 | 105,812,462 |
27. Provisions | ||
Provisions for decommissioning liabilities (rehabilitation) | ||
Opening balance | 11,072,890 | 52,142,514 |
Increase/(decrease) as a result of change in estimate | (2,887) | (38,105,257) |
Unwinding of interest | 917,672 | 10,012,286 |
Decommissiong adjustment | (1,228,766) | (12,976,653) |
Balance at end of period | 10,758,909 | 11,072,890 |
Split between non-current and current portions | ||
Non-current liabilities | 8,134,988 | 9,278,688 |
Current liabilities | 2,623,921 | 1,794,202 |
10,758,909 | 11,072,890 | |
Provision for decommissioning liabilities | ||
Quarry decommissioning provisions relate to the expected costs of reclaiming excavated quarry sites into a habitable settlement for farming, local villagers settlement and other uses. It also includes provision for other environmental issues.
28. Government Grant | ||
Split between non-current and current portions Non-current liabilities | 936,577 | 936,577 |
Current liabilities | 265,844 | 527,353 |
1,202,421 | 1,463,930 | |
Movement in Government grants is analysed below: | ||
Opening balance | 1,463,930 | 2,104,800 |
Amount recognised in the P&L | (261,510) | (640,870) |
Balance at end of period | 1,202,420 | 1,463,930 |
Government grants have been estimated from the ₦40 billion Real Sector Support Fund (RSSF) provided by the Central Bank of Nigeria through commercial banks at rates of 5% to 9%.