BUA CEMENT : AUDITED FINANCIAL STATEMENTS FOR 2022

BUA Cement Plc

Annual report and financial statements For the year ended 31 December 2022

BUA Cement Plc

Annual report and financial statements

For the year ended 31 December 2022

Contents

Corporate information	3
Report of the directors	4 - 8
Corporate governance report	9 - 17
Report of the audit committee	18 - 20
Statement of directors' responsibilities	21
Statement of corporate responsibilities over financial reporting	22
Independent auditor's report	23 - 26
Statement of profit or loss and other comprehensive income	27
Statement of financial position	28
Statement of changes in equity	29
Statement of cash flows	30
Notes to the financial statements	31 - 78
Other national disclosures:	79
Statement of value added	80
Five-year financial summary	81

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BUA Cement Plc

Annual report and financial statements

For the year ended 31 December 2022

Corporate information

Company registration number
RC 1193879
Board of Directors
Abdul Samad Rabiu CFR, CON	Nigerian	Chairman
Yusuf Haliru Binji	Nigerian	Managing Director/Chief Executive Officer
Jacques Piekarski	Swiss	Chief Finance Officer
Kabiru Rabiu	Nigerian	Non-Executive Director
Chimaobi Madukwe	Nigerian	Non-Executive Director
Finn Arnoldsen	Norwegian	Non-Executive Director
Shehu Abubakar	Nigerian	Independent Non-Executive Director
Khairat A. Gwadabe	Nigerian	Independent Non-Executive Director
Acting Company secretary
Hauwa Satomi (Mrs.)
32, Churchgate Street
Victoria Island
Lagos
Registered office
32 Churchgate Street
Victoria Island
Lagos
Plant locations
Km 164 Benin-Okene Expressway
Okpella
Edo State
Km 10 Kalambaina Road
Sokoto State
Independent auditor
PricewaterhouseCoopers
(Chartered Accountants)
Landmark Towers
5B Water Corporation Road
Victoria Island
Lagos
Principal bankers
Access Bank Plc		Nova Merchant Bank Limited
Coronation Merchant Bank Limited		Polaris Bank Limited
Eco Bank Nigeria Plc		Stanbic IBTC Bank Plc
Fidelity Bank Plc		Standard Chartered Bank Nigeria Limited
First Bank Nigeria Limited		Taj Bank Limited
First City Monument Bank Limited		Union Bank of Nigeria Plc
Guaranty Trust Bank Plc		United Bank for Africa Limited
Keystone Bank Limited		Zenith Bank Plc

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BUA Cement Plc

Annual report and financial statements

For the year ended 31 December 2022

Report of the directors

The Directors are pleased to present their annual report together with the financial statements of BUA Cement Plc ("the Company") for the year ended 31 December 2022.

• Legal form
  BUA Cement Plc was incorporated as a limited liability company on 30 May 2014 and commenced business in August 2015. The Company was converted from a private limited liability company to a public limited liability company on 16 May 2019, as a prelude to a scheme of merger. The Company merged with the defunct Cement Company of Northern Nigeria Plc in a scheme of merger on 23 December 2019 and was listed on the Nigerian Stock Exchange on 9 January 2020.

• Principal activities
  The principal activities of the Company are manufacturing and sale of cement to the general public.

• Result for the year
  The results for the year ended 31 December 2022 are set out on page 28. The profit for the year has been transferred to retained earnings. The summarised results are presented below:

	31 December	31 December
	2022	2021
	N'000	N'000
Revenue from contracts with customers	360,989,105	257,327,091
Profit before tax	120,154,050	102,873,325
Income and deferred tax expense	(19,143,424)	(12,794,314)
Profit after tax	101,010,626	90,079,011

• Dividend declaration
  The Board of Directors ("the Board") recommends for the approval of shareholders a payment of N2.80k dividend per 1 ordinary share of 50 kobo each, out of the profits declared in the financial year ended 31 December 2022 (2021: N2.60k).
  If approved, dividends paid to shareholders will be subject to the deduction of withholding tax at the appropriate rate at the time of payment.

• Directors and Directors' interests
  The names of the Directors as at year end and the date of this report are as set out in the corporate information page.
  The direct and indirect interests of Directors in the issued share capital of the Company, as recorded in the Register of Shareholding and as notified by the Directors for complying with Section 301, of the Companies and Allied Matters Act, 2020 and listing requirements of the Nigerian Exchange Group are as set out below.

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BUA Cement Plc

Annual report and financial statements

For the year ended 31 December 2022

Report of the directors

• Directors and Directors' interests (continued)

		2022	2021
		Number	Number
		of	of
		Shares held	Shares held
Abdul Samad Rabiu CFR, CON	-	19,044,995,225	19,044,995,225
Yusuf Haliru Binji	-	827,080	827,093
Chimaobi Madukwe		845,450	820,000
Kabiru Rabiu		820,000	820,000
Finn Arnoldsen		820,000	820,000
Shehu Abubakar		1,000,000	450
Jacques Piekarski		820,000	820,000
Indirect holding
Abdul Samad Rabiu	Damnaz Cement Company Limited	637,403,152	637,403,152
	BUA Industries Limited	13,562,681,069	13,562,681,069
	BUA International Limited	8,162,766	19,166,766
Total		33,258,374,742	33,268,353,755

The Directors have complied with the provisions of Section 277 of the Companies and Allied Matters Act at the date of this report.

• Statistical analysis of the shareholding as at 31 December 2022

	Number
	of
	Shares	Holder	Holders			Units
Range of Shareholding	held	%	Cumulative	Units	Units %	Cumulative
1-1000	22,061	60.76%	22,061	8,241,655	0.02%	8,241,655
1001-5000	9,486	26.13%	31,547	20,790,836	0.06%	29,032,491
5001-10000	1,623	4.47%	33,170	11,877,663	0.04%	40,910,154
10001-50000	2,555	7.04%	35,725	63,089,729	0.19%	103,999,883
50001-100000	302	0.83%	36,027	21,230,377	0.06%	125,230,260
100001-500000	194	0.53%	36,221	44,053,095	0.13%	169,283,355
500001-1000000	45	0.12%	36,266	32,793,197	0.10%	202,076,552
1000001-999999999999	41	0.11%	36,307	33,662,277,508	99.40%	33,864,354,060
	36,307	100%		33,864,354,060	100%

Substantial Interest in Shares

According to the register of members as at 31 December 2022, no individual shareholder held more than 5% of the issued share capital of the Company except the following:

	No.
	of
Shareholders	shares held	% of shareholding
Abdul Samad Rabiu CFR, CON	19,044,995,225	56.24%
BUA Industries Limited	13,562,681,069	40.05%

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