BUA Cement Plc (BUACEMENT) Earnings Call Transcript & Summary

Good morning all. Esteemed shareholders, ladies and gentlemen, the time is now 11 a.m., and it is my pleasure to welcome you to the 9th Annual General Meeting of your company. I have been informed by the Company Secretary that the quorum required under Article 52 of the Company's Articles of Association has been duly formed. Accordingly, I'm pleased to declare this meeting formally open. I will now call on [ Otunba Mukta Mukta ] to please give us the opening prayer. Mr. Otunba, if you can also please offer prayers. Otunba? Otunba, if I may, whilst your offering prayers, can we want to also offer prayers for our departed leaders, the former President, our beloved late President and elders statesman Alhaji Aminu Dantata, please. Thank you

[Foreign Language]. All praise is due to Allah, the beneficent, the merciful, master of the day of judgment. He alone do we worship and from he alone we seek for help. Ya Allah guide us on to the right path, the path of those whom you have favored, not the path of those whom we have led astray. We pay to the Almighty Allah, our -- to forgive and bless the soul of our departed former leader President Muhammadu Buhari and the elder statesman, Alhaji Aminu Dantata, may the almighty Allah forgive their souls and [indiscernible], we pray to the almighty Allah to also forgive and send blessings to the father of our Chairman, Khalifa Isyaku Rabiu, who departed some few years ago. We pray to the almighty Allah to continue to bless his soul and [indiscernible]. Ya Allah, our Chairman, Abdulsamad Rabiu has been a blessing and the source of happiness to millions of investors, to millions of [indiscernible] and the millions of noninvestors in this country, we pray to the almighty Allah to continue to spare his life, to continue to give him good health, to continue to give him wisdom, to continue to give him the strength and the vitality, to continue to bring goodness to Nigerians, the almighty Allah has made the chairman's life to be a blessing in this country, he has pursued a land of capitalism that is very sympathetic, and this is a very rare quality, so Abdulsamad, we pray to the almighty Allah to continue to bless his life. He single-handedly, he single-handedly, single-handedly brought down the prices of rice in the market. Last year about this time, we buy rice NGN 100,000, NGN 120,000 per bag and today because of his compassion, because of his care for Nigerians, he single-handedly brought down the prices of rice. Before I depart to this meeting, I bought rice for my house, the about NGN 45,000, another about NGN 60,000, last year about this time, we buy -- we bought rice NGN 120,000, so I pray to the almighty Allah to continue to give life to this blessed human being, to continue to protect him from his enemies, to give him -- continue to give him the wisdom to make Nigeria greater. I think you can see all of us here we're happy because he's putting smiles on our faces every time, every moment, every year. Mr. Chairman, Ya almighty Allah continue to bless our Chairman with sincere and hardworking lieutenants. We know in the almighty's plan, if you heart is clear and sincere, he blesses you with good to do well for the country. For BUA Cement, Ya almighty Allah, continue to strengthen BUA Cement, continue to strengthen the BUA Group, continue to strengthen whatever the chairman has put his hands in because he has also -- he is caring for Nigerians, [Foreign Language]. For those of us from far and near, may Allah take us back safely.

Thank you. Thank you, Otunba. I have the honor to introduce the distinguished members of the Board present at this morning. Seated to my immediate right is Engineer Yusuf Haliru Binji, the Managing Director of your company. And let me also inform our shareholders that Engineer Binji's contract was renewed by the Board recently for an additional term of 5 years effective December 2024. Congratulations, MD.

Thank you.

Next to him is Mr. Chima Madukwe, Non-Executive Director. And next to Mr. Chima is Mr. Finn Arnoldsen, who has been with us for almost 20 years now. Mr. Finn, you're more or less a Nigerian now. We'll be calling him chief Finn Arnoldsen, Finn is a Non-Executive Director. To my left, is Alhaji Kabiru Rabiu, a Non-Executive Director. And next to him is Mr. Chikezie Ajaero, our Executive Director and the Chief financial Officer of your company. And next to him is Ganiat Adetutu, one your own, an Independent Non-Executive Director. We also have Senator Khairat Abdulrazaq-Gwadabe and Shehu Abubakar, Independent Non-Executive Directors, who have joined virtually. Also present is Hauwa Satomi, our Company Secretary. I would also like to acknowledge the presence of the following esteemed representatives of our regulatory bodies and partners. The Nigerian Exchange Group Limited represented by [indiscernible]; the Securities and Exchange Commission represented by [indiscernible]; and the CSE, Corporate Affairs Commission, represented by Ibrahim [indiscernible] Also present at this meeting are the company's external auditors, PwC, represented by Oladele Oladipo. The company's registrar, Africa Prudential plc, represented by Catherine Nwosu. Thank you for your support and for coming. Shareholders, representatives on the Statutory Audit Committee who served during the year are Mr. Ajibola Ajayi Mr. Chairman, Mr. Kabiru Tambari and Mr. Oderinde Taiwo as members. Distinguished shareholders, ladies and gentlemen, I am Abdulsamad Rabiu, the Chairman of your company. Finally, I extend a warm welcome to all our distinguished shareholders and their duly appointed proxies. We deeply appreciate your continued support and sincerely thank you for honoring us with your presence today. Please note that this AGM is being streamed live and is accessible globally. Our goal today is to encourage active and meaningful participation from our esteemed shareholders. I'll be moving all the motions on the agenda and seconders for each motion will be invited from the floor. Please be reminded that only shareholders or their proxies are permitted to address this meeting. We kindly request that all remarks be limited to matters under consideration. To minimize disruptions, I kindly request that all mobile phones and electronic devices be switched to silent mode for the duration of the meeting. In line with Section 301, Subsection 8 of the Companies and Allied Matters Act, CAMA 2020, the register of the Directors -- of Directors shareholders is available for inspection during this meeting. An analysis the of share register is provided on Page 61 of the annual report and accounts. Also, in compliance with Section 284 of the Companies and Allied Matters Act 2020, the record of Directors attendance at Board meetings is available for inspection and can be found on Page 44 of the annual report. It is my pleasure to now invite the Company Secretary to read the notice the 9th Annual General Meeting. The notice is contained on Page 65 of the annual report and accounts.

Good morning, distinguished shareholders. Notice of the 9th Annual General Meeting. Notice is hereby given that the 9th Annual General Meeting of BUA Cement Plc. will hold on Monday, 21st July 2025, at the Congress Hall, Transcorp Hilton Hotel, No.1, Aguiyi Ironsi Street, Maitama, Abuja at 11 a.m. to transact the following business. Ordinary business. One, to lay before the members, the audited financial statements for the year ended 31st December 2024, together with the reports of the Directors, external auditors and audit committee thereon. Two, to declare a dividend. Three, to reelect the following Directors retiring by rotation: One, Khairat Abdulrazaq-Gwadabe; two, Shehu Abubakar; three, Finn Arnoldsen. Special notice is hereby given to reelect Finn Arnoldsen as a Director of the company, notwithstanding that he's 70 years old. Number four, to authorize the Directors to fix the remuneration of the auditors for the 2025 financial year. Number five, to elect members of the Audit Committee. Sixth, to disclose the remuneration of the managers of the company. Special business, seven, to approve the remuneration of the Non-Executive Directors. Number 8, to consider and pass this resolution as an ordinary resolution. In accordance with Rule 20.8(A) of Nigerian Exchange Limited rules governing transactions with related parties or interested persons that the general mandate granted to the company to procure goods and services and enter into such incidental transactions necessarily for its day-to-day operations from its related parties or interested persons on normal commercial terms be and is hereby renewed. We have notes to be noticed: One, proxy; two, stamping of proxy; three, live streaming of the AGM. Okay. Thank you. By order of the Board, Hauwa Satomi.

Thank you. Distinguished, shareholders, the Chairman's statement is on Pages 14 and 15 of the annual report, copies of which have been duly circulated to all shareholders. Do I have your permission? Thank you. I will now invite Dele Oladipo, the representative of our external auditors, PricewaterhouseCoopers, to please present a summary of the auditor's reports. Dele?

Thank you, Mr. Chairman. Good morning, distinguished shareholders. The auditor's report can be found on Pages 77 to 80 of the annual report and financial statements having been previously circulated, I'll seen the approval of the Chairman to limit my presentation just to the opinion paragraph. Thank you -- and the shareholders, the approval of the shareholders and the Chairman. Page 77. Independent auditors report to the members of BUA Cement Plc. Report on the audited financial statements. Our opinion. In our opinion, BUA Cement plc's financial statements give a true and fair view of the financial position of the company as of 31st of December 2024 and of its financial performance and its cash flow for the year then ended in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board and the requirements of the Companies and Allied Matters Act and the Financial Reporting Council of Nigeria Amendment Act 2023. Page 80. Report on other legal and regulatory requirements. The Companies and Allied Matters Act requires that in carrying out our audit, we consider and report to you on the following matters: We confirm that; one, we have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audits. Two, the company has kept proper books of accounts, so far as appears from our examination of those books and returns adequate for our audit have been received from locations not visited by us. Three, the company's statement of financial position and statement of profit or loss and other comprehensive income are in agreement with the books of accounts and returns. In accordance with the requirements of the Financial Reporting Council, we performed a limited assurance engagements and reported on management's assessment of BUA Cement plc's internal control over financial reporting as of 31st of December 2024. The work performed was done in accordance with FRC guidance on Assurance Engagement Reports on Internal Controls over Financial Reporting issued by the Financial Reporting Council of Nigeria, and we have issued an unqualified report in our report dated 20th of February 2025, signed, Oladele Oladipo, for PricewaterhouseCooper's 20th February 2025. Thank you, shareholders and Mr. Chairman.

Thank you. Thank you, Oladele. I now invite Mr. Ajibola Ajayi, the Chairman of the Statuary Audit Committee, to present the Audit Committee's report in summary on behalf of your committee. Thank you.

Thank you, Mr. Chairman. Thank you also distinguish shareholders, I'm honored to present the report of the Audit Committee on the audited financial statement for year ended 31st December 2024 on behalf of the following members of the Audit Committee that I will now call their names for them to stand up for identification: Mr. Oderinde Taiwo, Alhaji Kabiru Tambari, Alhaji Kabiru Rabiu, Mrs. Ganiat Siyonbola. With your permission, Mr. Chairman, and distinguish shareholders, I'm going to read this report on Page 75 and 76, but I will be reading on a bridge report. So on Page 75, I will read the first 2 paragraphs and then I will go to the certification page and read the compliance parts of this report. Do I have your permission, please?

Go ahead.

The audit committee is pleased to present this report for the financial year ended 31st December 2024 in compliance with Section 404, Subsection 7 of the Companies and Allied Matters Act 2020, the committee has the oversight responsibility for the company's financial statements. The Audit Committee is an independent statutory committee appointed by the shareholders and the Board. The committee performs its functions on behalf of BUA Cement plc. Now going to Page 76 for the certification and compliance. In compliance with the Provisions of Section 404, Subsection 7 of the Companies and Allied Matters Act 2020, we report as follows: we have ascertained and hereby confirmed that the accounting and reporting policies of the company are in accordance with the legal requirements and agreed ethical practices. The scope planning of audit requirements for the year ended 31st December 2024 are adequate. We are satisfied with the External Auditors Management Report, for the year ended 31st December 2024 as well as the response of the management thereto. I have the honor to sign this report on 26th February 2025 on behalf of the Audit Committee. Thank you so much.

Thank you, Mr. Ajayi. I will now proceed to the first item of the agenda, presentation of the annual report and audited financial statements for the year ended 31st December 2024, together with the reports of the Directors, the external auditors and the Audit Committee. I hereby lay before this meeting, the annual report and accounts for the 2024 financial year. This is being made in accordance with the requirements. It is my pleasure to open the floor now for questions-and-answers from our esteemed shareholders on the Directors' report and the financial statements. I think we all know the process, but anybody asking any questions should state his or her name clearly and endeavor to be brief. And I respectively urge you to avoid repeating points that have already been addressed by other shareholders and kindly also keep your questions and comments within a maximum of 2 minutes.

So let's start. Dr. Faruk, let's start with you, please.

Mr. Chairman, Directors of BUA Cement Plc, regulators and shareholders. Mr. Chairman, like our colleague who opened the meeting with prayer, everybody has to commend you, not only for looking at the interest of shareholders, but Nigerians in general, Mr. Chairman, everybody knows the philanthropic activities you have been doing, universities, organizations and we commend you for that. And now, Mr. Chairman, with the demise of Alhaji Aminu Dantata, who was like your late farther, one of the philanthropic people we had in Kano, we now believe that the burden is now going to rest on the 2 of you, your good-self and Alhaji [indiscernible] and we hope and pray, you will continue where he has stopped. The elders of Kano have decided to come and see you so that you will have peace, stability, unity and progress in this stage. Mr. Chairman, I want to commend you for the expansion you have done in our business today, was made is producing 17 million metric tons of cement in Nigeria. Should we clap for them? Mr. Chairman, from importing cement, now the capacity is such that we are exporting cement. You have provided jobs for many people. And you have also pay dividend continuously to us. Mr. Chairman, if we go to Page 12 of these accounts, where we have the performance highlights, it is clear that our revenue, Mr. Chairman, for 2024, has risen to NGN 876.5 billion, the EBITDA from NGN 186, billion, it has gone to NGN 268 billion and our profit after tax from NGN 69 billion to NGN 73 billion. Mr. Chairman, this is commendable. And like we said last year, with the expansion you have done, we expect that this year, the results will improve. My question, Chairman, is what are we doing to ensure that we help the government in reducing the price of cement. Cement is a product that every person, rich and poor, every person needs it. So -- and we have seen what you have been doing to assist the government in improving the economy. So I would like you to let us know. And then secondly, Mr. Chairman, yes, we are 17 million metric tons. Do we have any plan to expand beyond this? So Mr. Chairman, because we say that nobody should speak -- we agreed among ourselves, we shouldn't take too much time. With this, Mr. Chairman, the final thing I would like to appeal to you is that, we, shareholders attending the AGM. Sometimes, some of us are sick, some of us have passed on. If you look at [indiscernible] today, Mr. Chairman, is going under dialysis. So I would like you, Mr. Chairman, to do one thing for shareholders who are attending the AGM, tell the Company Secretary, Mr. Chairman, set a small fund, maybe NGN 20 million, I know you can do it, per annum, for any shareholder who is sick or who has passed on, we will let the Company Secretary know. Thank you very much.

A lady now. I am looking for my sister. Bisi Bakare.

Thank you, Mr. Chairman. Mr. Chairman, Board of Directors, distinguished regulators, esteemed shareholders, good morning. My name is Mrs. Bisi Bakare, I'm the national coordinator of Pragmatic Shareholders Association of Nigeria. Mr. Chairman, I will go through our financial performance of our company, I can see that we have done very well in the year 2024. Nevertheless, there is still room for improvement. Page 12, I want to join the earlier speaker to commend our -- the Board and management on the growth our revenue by 90.5% to NGN 876.5 billion. However, Mr. Chairman, from our profit after tax grew marginally by 6.3% from NGN 69.5 billion to NGN 73.9 billion. Also, I want to use this opportunity to commend the Board for the proposed dividend of NGN 2.05, out of NGN 2.18 EPS, earnings per share, please let us appreciate the entire Board. Page 14. I also commend the Board on the groundbreaking ceremony at -- for a greenfield 3 million metric tons per a plant in Ososo, Edo State. When this is completed, it will bring our total installed capacity to 20 million tonnes per annum by the first quarter of 2027, I will say congratulations to the entire Board for this also. Page 68. Regarding our CNG truck, I want to ask that when are we likely to commission our CNG truck which will replace the diesel fuel vehicles and aid the timely delivery of goods to customers? I would like to know. In conclusion -- because you said we should be brief, in conclusion on Page 12, I want to ask this Board or our management that what is this Board doing or what is our company doing to improve on our capacity utilization, which as I can find it on Page 12, decreased from 61.25 to 56.4. I think we need to do something about that. Thank you very much for the opportunity given to me, Mr. Chairman.

My respected Chairman. I'm Ambassador, Dr. [indiscernible] [Foreign Language]. My Chairman, I want to congratulate BUA Cement for these energy [indiscernible]. Last year, when we were here, most of the promises -- all the promises you give to shareholders has been fulfilled. Please give them a very round of applause. In the markets today, your cement is always what people source for. Alhaji [indiscernible] we always go to trade them, we want to BUA Cement, we want to buy BUA Cement because people love your cement. When we are using it on site, it's quick to dry, so that people -- even during raining season, we sought for it because it's the best we can use during the raining season. Please give them a very good round of applause. And after that, your pricing, if you are the only one in the market, your price will be lower than what you have given us presently but I can still attest to you that out of the 3 brands that is common in the Southwest, your price give some fraction. You see there are some little changes when you are talking of the order. Please, my Chairman, we love you for that. And my Chairman, I think why you are more blessed is because you have one of the best philanthropist we can talk of in this country. You are blessed toward us, you are blessing everybody. I want to thank you for last year, because in the Bible, it tells me that when you thank God for what he has done for you, they say, we still do more. That's what the Bible tells me. It say in Matthew chapter 7, he say, you ask, you shall get. He say, seek, the doors will be open, he said knock, that door will be open. When you put everything together is A-S-K, which means ask. We are asking for your favor. The shareholders in Nigeria need you. You are the best in the industry. You are the best in the corporate market. The only question I have for you now, when is your refinery coming to market? We want you to be the first one in that feet. Then having given us an shareholders as Non-Independent Director, [indiscernible] we only need 1 male on that Board. One thing about you, where you promise, you're just like God. God will never promise you something without doing it. You -- everything that makes God to be God, you have that quality. People love you. You are good to us, you will continue to be good. I want to tell you this morning by the grace of God, God will give you long life, good health and everything your heart desire just because you love your shareholders. And I want to tell you something, I want to congratulate the Company's Secretary, that lady beside you, she is very wonderful, she [indiscernible], any question we ask her, she always respond. Please, shareholder, give her a very good round of applause. And then my Chairman, her empowerment is more important. When we came last year, the economy cannot be compared to today. So you need to empower her the more. She is delivering -- the more you empower her, the more she stretch her hands in philanthropical way. My Chairman, I play that God will give you that blessing, that wisdom. You will continue to grow from strength to strength. And God will continue to bless you. One day somebody pray for somebody, he said, God will bless you more than Abraham, I said, it will be too much. I said, no. God should bless me more than Abraham, it's not too much. God will bless all of our shareholder. All of us are here today. We are here because we love you. It's not easy traveling up and down in Nigeria. And I want to thank you my Chairman that thank you for giving the opportunity to be a blessing. You gave me opportunity to be here today, and I want to be here next year, another year, another year. I would continue to see you in good health. Thank you, and may God continue to bless you. I'm grateful, I'm grateful, I'm grateful. [Foreign Language]. Thank you for giving me the opportunity.

[indiscernible] Thank you so much. Thank you for those comments. Can we have -- where's [ Eric ]? Eric?

I stand on the system protocol. Firstly, Mr. Chairman, I need to appreciate you because you're a friend to shareholders, particularly making our AGM to be physical. We really appreciate you. And we know that this tempo will continue. I just want to diverge a little bit to our first quarter results. The first quarter results recently published in is an indication that we have a very promising and better year ahead of us. The company pretax profits rose by 368.58% and that is to NGN 99.74 billion, while our net income increased by 351.45%, that is to NGN 81.12 billion. Another joy to us as shareholders, Mr. Chairman, is the price appreciation on the floor of Nigerian Stock Exchange. As of today, the price of BUA Cement is over NGN 100. It's even going to about NGN 130 from just NGN 88 in the recent time. So this shows to us that you are creating value, and you are creating potential for us as investors. We really appreciate this, Mr. Chairman. And also Mr. Chairman, I just want to clarify -- I want a clarification about our foreign exchange loss because we recorded about NGN 92.1 billion this year. What are we doing to reduce our foreign exchange loss? And also, Mr. Chairman, in view of the macroeconomic environment, we are and with high rates of inflation and interest, how is the company managing its production cost, particularly energy and raw material costs. Are there any plan to further optimize this, Mr. Chairman? And also, Mr. Chairman, going by this report, we -- what is our plan to use solar power and alternative fuel for our new plant in Sokoto as well as converting part of our diesel fuel truck fleet into natural gas. I don't want to take much time Mr. Chairman, and I know that next year, when we are meeting I want you to tell us more about what we are doing to improve efficiency and reduce waste in our production. When next year we are meeting Mr. Chairman, I know that our dividend will be higher than this what we are sharing this year. We are quite sure of that because you are capable and you can create an enabling environment for us to have better returns. On this note, Mr. Chairman, we appreciate you and I say God bless our company, and you and shareholders.

Thank you very much. Okay, Mrs. [ Obiday ] , please.

Good morning, Mr. Chairman, the members of the Board, regulatory authority President and my fellow shareholder. Good morning. My name is Mrs. [ E.O. Obiday ], the National Coordinator of [indiscernible] Association Incorporated. So Mr. Chairman, firstly, I would like to congratulate you in advance. I would like to congratulate you in advance. In the next 14 days, we will celebrate you and God will celebrate you. I always cherish people that was born in that month. My 2 parents were born in that month, and they are very great, very intelligent, very expressive, very good, very knowledgable and God will give you that wisdom in Jesus name. Sir, I would like to say a few words for our staff. What are we doing to keep our staff going because we have many competitors. The training aspects after giving them training how are we keeping them to retain them because at that training, it's expensive to train, is tough. After training them, what are we doing to sustain them or that will not snatch them from us. Secondly, sir, disable in our company. I don't know maybe we have any disable, if we don't have please, sir, can we employ them? A disable in a family would take care of 11 people in the family. And that means poverty is reducing. Another point, sir, our cement is not in West part of the country and the East part of the country, what are we doing to circulate our cement product. Our cement products is very, very good in building, but is not common in those areas. What are we doing to get it? If we need distributor, I don't mind. Is a market built before. And if we need a distributor, I don't mind, I will get it. The money is there. Sir, the corporate governance, I really appreciate the management and the committee because the attendance was 100% good. To get that attendance that means the committee of that corporate governance at work so much to get that attendance. Sir, our audit -- auditors, let us please take to their advice. It's very, very important. Thank you, and God bless you.

Thank you. I'm just actually wondering if maybe we go through because there are quite a lot of questions, and I would like to address all of them. And -- so the questions are really very important. So if you don't mind, let us try and address because they are more or less similar things, I'm sure you will be hearing. So please, with your permission, I would like to address all the issues raised. Thank you. Doctor, I don't know, your first question whether you are asking -- would you try and reduce the price of cement? Was that what you asked, Dr. Faruk, that we should reduce the price of cement? Okay. Let me just maybe try and explain how this works. The present cement in a year today is I think on that NGN 10,000 per bag. So if you look at -- if you take NGN 10,000 at the prevailing exchange rate, per tonne will be about NGN 200,000 and the exchange rate of NGN 1516 we're looking at $110 and $120. So the biggest issue we have is that, yes, I agree that the price of cement at NGN 10,000 per bag seems a bit high, based on what we had a few years ago. But really, it is not that high because at $120 per tonne because that is what it is. The price is not very expensive because if you go around all over, you see that the average price per tonne is between $130 to $150 per tonne globally. The biggest issue we have -- even though we have local raw materials like gypsum, like limestone and other things, but the major costs like energy, gas, they are all in -- even though in dollars, but in Naira, but more or less in dollars, they just convert the exchange rate. So that is what has been the problem, but we have been trying to ensure that we maintain the price of cement at not higher than what it is today because we also have costs. BUA, we are also trying to do is to see how we can reduce our OpEx so that with that we can now maybe transfer the savings to the market, but that may take a bit of time. So yes, we considered the fact that we are trying to support the government and all of that. But then again, the cost is the major -- OpEx is the major issue because if you look at the investments we have made in the cement sector between Dangote Group and BUA Group, there is no company that has investors as much as we have in the last 10 years in the cement industry or in any manufacturing sector, I mean, manufacturing in Nigeria because the investments of over $5 billion, $6 billion, is a lot of money. So with that, we really need to ensure that the -- there is a return on investment because we have shareholders. And I know a lot of people or shareholders who are even complaining that profit after tax has not been. And I think it was [ BC ] that asked, it's not really -- it's the marginal, but we are trying to see how we can improve on that and also at the same time ensure that we do not have high price of cement. You also wanted to know what plans we had for expansion. We are having a line that with the commission, [Foreign Language], in the next couple of years or so, of 3 million tonnes, so that is an additional line. And with that, we'll be having about 20 million tonnes once that is completed, God willing. You also suggested that we should have maybe a support fund for our shareholders. And I think you are right, we look -- discuss with the management and the Board to see how we can do something to support our shareholders. I don't know, but we'll discuss it, and will really look into it and see what we can do, Yusuf, I think we should look at that, okay? Mrs. [ Bakari ], you've said that our tax for last year was not as impressive as you'd wanted it to be, right? Well, let me promise you this year, it's going to be much better. The reason being is that last year, we had a lot of FX losses, which we have to pay. And over time -- yes, NGN 92, yes, the MD is just informing me that we had NGN 92 billion FX loss last year. So that is why we -- our profit last year was not as impressive. But this year is going to be probably 3x, 4x what we did last year from what I have seen, God willing. And then again, I just mentioned that we are expanding, and we have renewals so coming up early 2027, it's 3 million tonnes. So with that, we'll be having 20 million tonnes installed capacity. On the CNG trucks, we -- I don't know whether you are aware, the -- we have a plan that will commission sometime next year also for LNG. And with that, we are going to have CNG trucks. So we are already discussing. And I think before the end of the year, we'll place orders for the CNG trucks because you already have this LNG -- mini-LNG plant that we are setting up not far from Obu plant. And with that, it would be much easier for us to have our CNG trucks. I share your concern as regards to the capacity utilization, which is something we've been discussing with the management. I think part of the reason is because we have a new entrant, and it is becoming a bit of an issue to address that. But then again, the capacity -- cement production capacity in Nigeria is huge. If you look at Dangote, Lafarge, BUA and [indiscernible] the install capacity is much more than the demand in the country. So that is part of the program. But then again, because of the quality of BUA cement, which is the preferred product in the market, we are still seeing traction. And I think that is going to improve in the very near future. So -- my brother chief, thank you so much for your kind words. We appreciate your support. We appreciate the prayers of all our shareholders. We are doing well because of your support, our strength is coming because of what we are getting from you in terms of, all the support and prayers. So let me use this opportunity to really thank you and appreciate not only but all our shareholders because we really appreciate don't forget my [Foreign Language] don't forget to send it to our, thank you. Eric, last year, our FX loss was NGN 92 billion. This year, it has come down significantly, and I don't think we'll have much FX loss this year, right? Hence, why we believe that this year, we are looking to probably maybe about NGN 300 billion profit after tax. What did you do in the first half of the year? First quarter NGN 81 billion. So annualized, we are looking at over NGN 250 billion, that is what we want to get -- and that is because we had to provide quite a lot of money last year in terms of FX losses, which I think it was in NGN 92 billion. And going forward, in terms of energy cost, it is also going to come down. Again, as I mentioned, we are going to have our mini-LNG plant that will be commissioned [Foreign Language] early next year. And with that, we see a substantial reduction in terms of costs. And then we have also -- I don't know whether shareholders are aware, we signed a contract for a solar power 20 megawatts for Sokoto, that was signed a couple of months ago in China. And that project was signed. And I think they should be delivering that by next year. So that is also going to help support our -- bringing down our energy costs going forward. So we are doing quite a lot of things to ensure that our OpEx is down. Hence why, as I said earlier, this year, we are looking at over NGN 200 billion, NGN 250 billion of profit after tax. And that is because, one, we've had a lot of FX losses and also we are concentrating, ensuring that our energy costs and other OpEx are much lower than you know what we were having before. And [Foreign Language] this year, we'll be seeing quite a significant improvement compared to what we had previously. So the dividend this year or next year when we meet is going to be probably 4x what we are seeing today. I'm happy to report that. And finally, my baby girl, thank you. You did mention that we must try and ensure that we retain our staff. Yes, we are doing that. But then again, in administration like this, one, we have good people. It is not easy to keep all of them. For starters, most of our staff that we have -- if I look at the management team that we have Engineer Binji has been with us for probably 25 years. In fact he started his career at BUA Cement. Chima, 20 -- maybe 30 years, I think. Mr. Finn, 25 -- 27 years. Chike, maybe what? 20 years today?

[indiscernible] continuous service, yes, 20 years.

20 years. And then we have Alhaji Kabiru, probably 20 also. This is young age. Our is maybe the baby one, maybe 10 years. So if you retain our staff, but then if you have good people. People -- lot of times entice them to come. So we really have done everything to retain our staff. But then sometimes you have issues that people for one reason or the other they have to leave. But I think we are doing our best on continuing to do to ensure that we keep our people. We pride ourselves in ensuring that our staff stay and they are happy. You're talking about additional distributors. I don't understand what you meant by that. Are you saying that we should have more companies as -- my daughter? The last question you're asking about distribution or distributors. You want to be one, you want to be a distributor that's what you are saying? You're a shareholder now, there will be conflict. All right. I'm sure the MD has taken note of that, so he will do the needful. Thank you very much. And I think I have maybe addressed some of those questions and with your permission, I think, we can make progress, right. Resolution by poll and show of hands. In accordance with Section 248 of the Company's Allied Matters Act 2020, I hereby request that a poll be conducted for all resolutions presented at this meeting, except resolutions for the election of members of the statutory audit committee, which will be conducted by show of hands. Please note that proxy forms duly submitted to the registrars prior to this meeting have been collected, and the votes contained therein will be included in the final target. These proxy forms indicate that some shareholders have already cast their votes. I now invite the registrars to explain the voting process.

Thank you, Mr. Chairman. Esteemed Directors, regulatory bodies and distinguished shareholders. My name is Catherine Nwosu. I will now proceed to explain the process for casting your votes. Prior to this meeting we received and captured the voting details for 157 shareholders by proxy and holding 33,277,009,755 units of BUA Cement plc shares, which represents 98.27% of the issued share capital of the company. At this meeting, we'll be collecting the votes cast by shareholders present in addition to the proxies received to get the final voting results. Distinguished shareholders, during our creditation, you were either given a voting device or a voting access via your personal device. Please follow these steps to cast your votes. For shareholders with a voting device, you will be required to activate your keypads line by pressing any key. So please activate your keypads. This process will take just 30 seconds. Once the voting process commences, you can proceed to select 1 to vote in favor of the resolution under consideration or select 2 to vote against the resolution. The selection of any other key will be recorded as an abstain vote. For shareholders working with our personal devices, kindly log in using the voting link and token provided to you. If you did log in at the beginning of this meeting, please refresh your screen. The resolution under consideration as soon as it is announced will be displayed. You will be required to select 4 to vote in favor of the resolution or against to vote against the resolution. Also know that you can change your vote during the voting session. But once the voting period has ended, the last selected choice will be recorded as your vote. The voting period shall last for 60 seconds. Thank you, Mr. Chairman.

Thank you, Catherine. Thank you. Declaration of the dividend. The directors are recommending the declaration of a gross dividend of NGN 2.05 per ordinary share of NGN 0.50 each amounting to a total dividend payout of NGN 69,421,925,823. If approved, this dividend will be paid today, 21st of July 2025 to all shareholders whose names appear in the company's register of members as at the close of business on 3rd July 2025. I hereby move that a gross dividend of NGN 2.05 per 1 ordinary share of NGN 0.50 each be paid to shareholders whose names appear in the company's register of members as at close of business on the 3rd of July 2025. May I request a shareholder to please second -- give him a microphone, please.

Thank you, our Chairman. My name is [indiscernible]. I like to second the motion. Thank you, God bless you.

Thank you. Thank you very much. So registrar, please proceed to oversee the voting process and announce the results.

Thank you, Mr. Chairman. Distinguished shareholders, the voting has now commenced. You may please proceed, so cast your votes for the declaration of dividend. Remember, we have 60 seconds for this exercise, and we have 45 seconds remaining. [Voting]

Press 1 to vote in favor of the resolution or press 2 to vote against the resolution. For those voting with their device, select for vote in favor or select against to vote against. We have 20 seconds remaining. We are counting down. Five seconds to go. Distinguished shareholders, the voting has ended. For the resolution to approve the declaration of dividend, the results of the poll is as follows. 33,291,960,859 units of shares representing approximately 100% voted in favor of the resolution, 1,207 units of shares representing approximately 0.00% voted against. Thank you, Mr. Chairman.

Thank you. Thank you, Mrs. Nwosu. Thank you very much. I hereby declare that the resolution has been duly carried. [indiscernible ], have you seen the alert. Thank you, Catherine. I trust you. I'm sure in the next few minutes. Reelection of retiring Directors. The next item on the agenda is the reelection of the Directors that are retiring by rotation. In accordance with Section 2051 of the Company's and Allied Matters Act 2020, and Article 86 of the Company's Article of Association at the Annual General Meeting 1/3 of the directors shall retire by rotation. So the following directors are retiring by rotation and offering themselves for reelection. Mr. Finn, Mrs. Khairat Abdulrazaq-Gwadabe and Mr. Shehu Abubakar. Their profiles are on Pages 50 to 54 of the 2024 annual report. Since voting is by poll, their election of Directors should be taken individually. Mr. Finn, please can you stand. I hereby move that Mr. Finn Arnoldsen, Non-Executive Director, retiring by rotation and offering himself for reelection be and by the elected as an Independent Director of the company -- as a Non-Executive Director of the company. May I have a seconder for this motion, please. [indiscernible].

Mr. Chairman, my name is Mr. [indiscernible]. I hereby second the motion.

Okay. So I now present the motion for voting. Registrar, please oversee the election and announce the results.

Thank you, Mr. Chairman. Distinguished shareholders, the voting has commenced. Please proceed to cast your votes. We are voting for the reelection of Mr. Finn. Please press 1 to vote in favor of the resolution or press 2 to vote against the resolution. For those with online access, please select for to vote in favor of the resolution or select against if you are voting against the resolution. We have 25 seconds remaining out of the 60 seconds window. We are counting down, if you have not voted, please go ahead to cast your vote. Five seconds to go. [Voting]

Distinguished shareholders, the voting has ended. For the resolution to approve the reelection of Mr. Finn, the result of the poll is as follows: 33,278,031,200 units of shares, representing approximately 100% of the votes cast by shareholders and proxies voted in favor of his reelection. 3,490 units of shares representing approximately 0.00% voted against. Thank you, Mr. Chairman.

Thank you, Catherine. I hereby declare that the motion has been duly carried. Thank you and congratulations, Mr. Finn.

Thank you.

Next is Alhaji Shehu Abubakar. Unfortunately, Alhaji Shehu missed his flight because of the weather, so he's not able to join us, but he requested that we -- I should please extend his apologies and he would appreciate your support to be reelected. So I hereby move that. I like to show Abubakar, an Independent Non-Executive Director, retiring by rotation and offering himself for reelection be and he's hereby reelected as an Independent Non-Executive Director of the company. May I have a seconder for this motion. Yes, go ahead.

Thank you, Mr. Chairman for giving the huge opportunity to speak, sir. My name is [indiscernible]. I hereby support that motion, sir.

Thank you. I now present the motion to the meeting for voting. Register, please oversee the election and announce the results.

Thank you, Mr. Chairman. Distinguished shareholders, the voting has commenced. [Voting]

Please proceed now to cast your votes. Remember that we have 60 seconds for this exercise. Select 1 to vote in favor of the resolution or select 2 to vote against his reelection. For those using their personal devices, please select for to vote in favor or select against if you're voting against. We are counting down and have 25 seconds remaining. Distinguished shareholders, the voting has ended. For the resolution to approve the reelection of Alhaji Shehu Abubakar, the results of the poll is as follows. 33,292,079,920 units of shares, representing approximately 100% of the votes cast by shareholders and proxies voted in favor of his reelection. 156 shares representing approximately 0.00% voted against. Thank you, Mr. Chairman.

Thank you. Thank you, Registrar. I hereby declare that the motion has been duly carried. And congratulations to Alhaji Shehu Abubakar. And distinguished Senator, Khairat Abdulrazaq-Gwadabe is not with us also. And I would like to move that, Khairat Abdulrazaq-Gwadabe, an Independent Non-Executive Director, retiring by rotation and offering herself for reelection be and is hereby reelected as an Independent Non-Executive Director of the company. I appreciate someone to please second. Can I have -- lady. Madam? There is no marginalization here.

Thank you, Mr. Chairman. I second the motion, [indiscernible] is my name.

Thank you. Thank you very much. I now present the motion to the meeting for voting. Registrar, please oversee the election and announce the results. Thank you.

Thank you, Mr. Chairman. Distinguished shareholders, you may now proceed to cast your votes. The voting has commenced. [Voting]

Please press 1 to vote in favor of the resolution or press 2 to vote against the resolution. For those using their personal devices, select for to vote in favor or select against to vote against. We are counting down and have 35 seconds remaining. 20 seconds to go. 10 seconds more. Distinguished shareholders, the voting has ended. For the resolution, to approve the reelection of Khairat Abdulrazaq-Gwadabe, the results of the poll is as follows, 33,277,595,098 units of shares, representing approximately 100% of the votes cast by shareholders and proxies voted in favor of her reelection. 20 shares, representing approximately 0.00% voted against. Thank you, Mr. Chairman.

Thank you, Catherine. Thank you very much. I hereby declare that the motion has been duly carried. Thank you. The next item is remuneration of the auditors. I hereby move that the directors be and I hereby authorize to fix the remuneration of the auditors for the year ended 31st December 2025. Again, could someone kindly second this motion. Can we go behind maybe? Yes, the man with the green -- yes, please. Yes, go ahead.

[Foreign Language] representing Shareholders Association, I'm in support of the motion.

Thank you. Thank you. Registrar, please conduct the direction and help us announce the results.

Thank you, Mr. Chairman. Distinguished shareholders, the voting has commenced. [Voting]

Kindly proceed to cast your votes. Select 1 to vote in favor of the resolution or select 2 to vote against the resolution. Please let us cast our votes. For those using their mobile devices, please select for to vote in favor of the resolution or select against if you are against the resolution. We are counting down and we have 24 seconds remaining. 10 seconds more. Distinguished shareholders, the voting has ended. For the resolution to approve the remuneration of the auditors, the results of the poll is as follows: 33,277,019,135 units of shares, representing 100% of the votes cast by shareholders and proxies voted in favor of the resolution. There is no vote against this resolution. Thank you, Mr. Chairman.

Thank you. Thank you, Registrar. I hereby declare that the motion has been duly carried, election of members of the Audit Committee. The next item on the agenda is the election of shareholders' representatives to the statutory audit committee in line with the provisions of the Company's and Allied Matters Act 2020, the Board nominated representatives on the audit committee are Alhaji Kabiru Rabiu, a Non-Executive Director; and Ganiat Adetutu, an Independent Non-Executive Director. The Company Secretary has confirmed that a total of 3 valid nominations were received from shareholders to serve as members of the Audit Committee. The nominated shareholders representatives are as follows: [ Ajibola Ajayi, Alhaji Kabiru Tambari, and Oderinde Taiwo ], Consequently, since only 3 shareholder representatives are required to serve on the Audit Committee and 3 valid nominations have been received, there shall be no need for an election. I now move that pursuant to Section 404, Subsections 3 of the Companies and Allied Matters Act 2020, the Audit Committee for the financial year ended 31st December 2025 be and is hereby constituted with the following members: One, Alhaji Kabiru Rabiu; two, Ms. Ganiat Adetutu, three, Mr. Ajibola Ajayi; four, Mr. Kabiru Tamba and five, Oderinde Taiwo. May I request a shareholder to please second this motion.

Thank you, Mr. Chairman. My name is [indiscernible] I second the motion. Thank you.

Thank you. I hereby declare that the motion has been carried. Congratulations. Item number 6. The next item on the agenda is the disclosure of the remuneration of the managers of the company. May I kindly request that you refer to Note 29 in Pages 127 and 128 of the 2024 annual report for the remuneration of the managers of the company for the year ended 31st December 2024. Remuneration of Directors. The next item on the agenda is the approval of the remuneration of Directors. Pursuant to section 293 of the Company's and Allied Matters Act 2020, I hereby move that the remuneration of the nonexecutive directors of the company for the financial year ending December 31 be and is hereby fixed as follows: NGN 12,740,000 for each Non-Executive Director; NGN 14,560,000 only for each Independent Non-Executive Director and NGN 50 million only for the Chairman. Please note that the approved remuneration should be payable in 4 equal quarterly installments throughout the year. Now I will request a shareholder to second this motion. Madam, I can see you have been raising your hand since. Yes, please. Madam with the green dress.

Thank you, Chairman, for the opportunity. My name is Ms. [indiscernible], I second that motion from [indiscernible] Shareholders' Association.

Thank you very much, Madam. I now put the motion to the meeting. Registrar, please oversee the voting process and announce the results.

Thank you, Mr. Chairman. Distinguished shareholders, please proceed to cast your votes. [Voting]

The voting has commenced. Please select 1 to vote in favor of the resolution or select 2 to vote against the resolution. Those using their mobile devices, select for on the resolution that is displayed on your screen to vote in favor or select against to vote against the resolution. We have 25 seconds remaining. We are counting down. 12 seconds to go. Distinguished shareholders, the voting has ended. For the resolution to approve the remuneration of the Directors, the results of the poll is as follows: 33,292,360,249 units of shares, representing approximately 100% of the votes cast by shareholders and proxies voted in favor of the resolution. 25 shares, representing approximately 0.00%, voted against. Thank you.

Thank you, registrar. I hereby declare that the motion has been duly carried. Thank you. The general mandate for related party transactions. The next item is the resolution on related -- sorry, related party transactions. I hereby move that in accordance with Rule 20.8 (a) of the Nigerian Exchange Limited rules, governing transactions with related parties or interested presence, the general mandate granted to the company to procure goods and services and to enter into such residential transactions necessary for its day-to-day operations with its related parties or interested persons on a normal commercial terms be and is hereby renewed. Would someone please second the motion?

Thank you, my own good Chairman. [indiscernible] is the name. I hereby second the motion.

Thank you. I'll now put the motion to the meeting. Registrar kindly help conduct the election and announce the result, please.

Thank you, Mr. Chairman. Distinguished shareholders, please note that only proxies representing non-related parties are eligible to vote on this resolution. We received 145 of such proxies representing a total of 189,272,598 units of shares. We will add the vote of shareholders present to this particular volume of shares to determine the final voting result. Distinguished shareholders, the voting has now commenced. [Voting]

Kindly proceed to cast your votes. Please cast your votes. Select 1 to vote in favor of the resolution or select 2 to vote against the resolution. For those using their mobile devices, please select 4 if you wish to vote in favor of the resolution or select against to vote against the resolution. We have 30 seconds remaining. 20 seconds to go. 10 seconds more. We are counting down. Distinguished shareholders, for the resolution to approve the general mandate for related party transactions, the results of the poll is as follows: 204,501,878 units of shares representing 100% of the votes cast by qualifying shares voted in favor of the resolution. 2,079, representing approximately 0.00%, voted against. Thank you, Mr. Chairman.

Thank you, registrar. I hereby declare that the motion has been duly carried. Thank you. Distinguished shareholders, Board members, ladies and gentlemen, as there is no further business on the agenda, I would like to -- on behalf of the Board, sincerely thank you for your attendance and for your continued interest and support in the affairs of your company. We'd like to have a closing prayer. What about my brother, [ Moses ]. Can somebody give us closing prayers, please? Moses?

Yes. All right can we rise for this closing prayer.

Sure.

Father All Might, the creator of heaven and earth, we thank you for this [indiscernible], a great day that all of us have gathered together because of our company, BUA Cement. We thank you for all that is behind this company. The vision you have given the Chairman, the potential you have given the Chairman, the wisdom you have given this chairman, the strengths and the financial support and all that you have given the Chairman, the Board and management and staff of this company to achieve these great results, to achieve this great company. We thank you. We thank you. We thank you. At this point, all of us are putting one mind together, one voice together to ask you, again, that you protect us, you protect the Chairman, you protect the Managing Director, you protect all the Broad, Chairman, staffs and all the shareholders of this company and give them wisdom and strength again to work harder and harder, to work for the prosperity and good of this company and all the stakeholder. We thank you, we thank you, we thank you, God. At this point, we are asking you that you give us that journey message to all various destinations that in the end we have the cause to glorify your holy name in Jesus name we pray, Amen.

Thank you. National Anthem. [Presentation]

Thank you. Thank you all.