Redstar Express Plc Unaudited Second Quarter Financial Report For the Period ended 30 September 2014
%age Change (+7.5%)
Profit After Tax (Millions)
%age Change (-2.8%)
Earnings Per Share
%age Change (Nil)
BUA Cement Plc posts impressive unaudited H1, 2020 financial results
Revenue increase by 12.7% to N101.3 billion; Profit After Tax (PAT) rises by 13.74% to N34.82 billion.
One of Africa’s largest cement producers, BUA Cement, has announced an impressive 2020 half-year results declaring revenues of N101.3billion and a Profit After Tax of N34.82billion representing an increase of 12.7% and 13.74% respectively from the corresponding period in 2019. This was contained in a filing to the Nigerian Stock Exchange.
Speaking on the results, Yusuf Binji, Managing Director of BUA Cement said that the continued impressive performance in 2020 despite the challenging operating environment occasioned by the COVID-19 pandemic, was a pointer to the value and strength of the BUA Cement brand and product offerings as well as a nod to the excellent implementation of the company’s Business Continuity Plan which ensured that BUA Cement was able to withstand the impact of the pandemic in the period under review.
“Our resilient performance continues to showcase the value and strength in our product offering alongside our strategic business model. Our revenues increased by 12.7% to N101.3 billion from the corresponding period in 2019 whilst Operating profits increased by 7.0%, from N38.1 billion in H1’2019 to N40.8 billion in H1’2020. Equally, EBITDA margin improved in this quarter to 48.1% – an improvement from 45.6% in Q1, 2020.”
“In a bid to further drive cost efficiencies and sustainability, we entered into strategic alliances for the supply of Liquefied Natural Gas (LNG) at the Kalambaina, Sokoto State and the management of our mining operations. Given these deliberate and strategic choices amongst other cost management efforts, we continue to combine development and innovation into our offerings and activities,” Binji added.
On the impact of the pandemic on the business, Binji noted that, “despite the prevailing economic conditions, we are quite optimistic about the future because it affords us not only with the opportunity to further evolve our business model but also provides an opportunity for accelerated development. We will continue to push to new markets aided by a focused distribution strategy.”
It should be noted that BUA Cement has also been actively involved in alleviating the impact of the virus on the most vulnerable in society while also supporting the government’s efforts by providing foodstuff, PPEs and medical equipment to host communities amongst others.
- Revenue increases by 12.7% from N9 billion in H1’2019 to N101.3 billion, as at H1’2020
- EBITDA increases by 5.8% from N8 billion in H1’2019 to N47.4 billion, as at H1’2020 (Quarter-on Quarter (q/q), EBITDA margin increases from 45.6% in Q1’2020 to 48.1%, as at Q2’2020)
- Operating profit up 7.0%, from N1 billion in H1’2019 to N40.8 billion in H1’2020
- Profit before Tax (PBT) increases by 9.8% from N7 billion, as at H1’2019 to N39.2 billion, as at H1’2020.
- Profit after Tax (PAT) up by 13.7%, from N61 billion in H1’2019 to N34.8 billion, as at H1’2020,
- Earnings Per Share (EPS) increases by 14.4% from N90 kobo in H1’2019 to N1.03 Kobo, as at H1’2020
- Cement volume dispatched up 7.9% from 2,282 kt in H1’2019 to 2,463 kt, as at H1’2020; underpinned by growing market acceptance, our COVID business continuity plan and particularly, a business environment not inundated by the Coronavirus pandemic
- To boost energy efficiency and reduce energy costs, we entered into strategic alliances for the supply of Liquefied Natural Gas (LNG) for the Kalambaina operations and management of our mining operations
- Continued push to ‘new markets’ aided by a focused distribution strategy
Conference call details
BUA Cement Plc will hold a conference call for analysts and investors on 06 August 2020 at 14:00hrs Lagos (09:00hrs New York, 14:00hrs London, 15:00hrs Johannesburg). To pre-register, please click on this Registration link to receive the dial-in details, which includes the passcode.
A copy of the presentation will be made available before the call and can also be downloaded from the Company’s website at http://www.buacement.com/presentations/
About BUA Cement Plc
BUA Cement Plc is Nigeria’s second-largest cement company and the largest producer in its North-West, South-South and South-East regions; with a combined installed capacity of 8 mmtpa and with plans underway to increase existing capacity to 11 mmtpa, through the commissioning of a new 3 mmtpa plant by the first half of 2021 in Sokoto State, Nigeria. BUA Cement operates strategically from Okpella, Edo State and Kalambaina, Sokoto State.
BUA Cement Plc is the third most capitalised company on the floor of the Nigerian Stock Exchange.
BUA Cement is committed to quality – a differentiating attribute, driven by its people, innovation and technology; and positioned to solving Nigeria and Africa’s challenges while driving economic growth and development.
More information can be found at www.buacement.com
TikTok to relocate headquarters to London following approval by UK ministers
The technology firm has been under heavy scrutiny and criticism from the US government.
ByteDance Ltd, the parent company of TikTok, is in the process of relocating its headquarters from Beijing to London, following a deal that was approved by UK ministers.
A report by Reuters also noted that the Chinese company’s founders will soon officially announce their intention to set up an office in London.
This move may likely upset President Donald Trump, who had announced plans to ban TikTok in the United States of America. The US considers the UK as a reliable ally.
Nairametrics had reported about 2 weeks ago that the Beijing-based video-sharing social networking firm, had been in discussions with the British Government over the relocation of its headquarters to London. The move has been perceived by analysts/observers seen as part of ByteDance’s strategy to distance itself from its Chinese ownership.
The technology firm has been under heavy scrutiny and criticism from the US Government over suspicions that China could be forcing it to turn over data. Earlier this year, the company was even labeled a potential counterintelligence threat by senior members of the US congress.
ByteDance recently came under intense pressure from the White House and US lawmakers to sell off TikTok’s US operations. It now has a 45-day deadline to negotiate with Microsoft over such a deal.
ByteDance Ltd is looking at all the available options to resolve its dispute with the American Government. In the meantime, Chief Executive Officer, Zhang Yiming, said no decision has been taken regarding the proposed sale of its US operations to Microsoft Corp.
The relocation of its headquarters to London might come as a surprise considering the current tension/dispute between the technology firm and the United States Government, who are close allies of the UK.
It can be recalled that amid tensions between China and some Western Countries and in solidarity with the United States, the British Government recently banned Chinese Telecom firm, Huawei’s 5G networks in the country. According to the UK Government, Huawei’s products posed a threat to the security of the UK’s infrastructure.
Manufacturing: Activity levels pick up albeit readings still below water
For the second consecutive month, the non-manufacturing PMI showed broad-based improvement.
According to the Purchasing Managers Index (PMI) data released by the Central Bank of Nigeria (CBN) for the month of July, activity levels improved, through readings still remained below 50 index points. Specifically, manufacturing PMI improved to 44.9 in July from 41.1 in June, the third consecutive month of negative (below 50) reading in the sector. However, the continued relaxation of the lockdown measures which enabled service-based
organisations to improve their scale of operations sustained the faster recovery in the nonmanufacturing PMI for the second consecutive month, as it improved further to 43.3 in July from 35.7 in June.
Although, the readings in the manufacturing sector improved in July (Save for Supplier delivery time (-4.5) which declined, the remaining four indices used in gauging the manufacturing sector strengthened in July; Production level (+8.1), New orders (+6.7), Raw materials/WIP Inventory (+2.2) and Employment level +1.2). We believe the sluggish pace of recovery in the sector when compared with the non-manufacturing sector is reflective of supply chain disruptions given the continued ban on international airline operations, FX liquidity constraints, weak production runs and subdued demand from customers. The data revealed that, of the 14 surveyed subsectors in the manufacturing sector, only transportation equipment subsector reported growth while 12 subsectors contracted.
For the second consecutive month, the non-manufacturing PMI showed broad-based improvement across the four key metrics; Business Activity (34.3 to 46.1), Level of new orders (32.5 to 43.4), Inventory level (38.5 to 42.7) and Employment level (37.4 to 41.1) used in gauging activity level. We believe the continued relaxation of the lockdown measures in the month under review enabled most service-based organisations to improve their scale of operations.
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