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12 listed firms lose N1.4tn to naira depreciation – Report

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By Kayode Sanni-Arewa

Twelve businesses suffered a cumulative foreign exchange loss of N1.40tn in 2024, as revealed in their unaudited financial statements, The PUNCH reports.

The losses, driven by the naira’s depreciation, highlight the deepening impact of forex volatility on corporate earnings across multiple sectors, including telecommunications, manufacturing, and food production.

Foreign exchange loss refers to the financial loss a company incurs due to fluctuations in currency exchange rates.

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A review of financial reports from firms such as MTN Nigeria, Nigerian Breweries, Guinness Nigeria, BUA Cement, Oando Plc, and others showed a surge in foreign exchange-related losses compared to the previous year.

MTN Nigeria Communications Plc recorded the highest among the listed companies, reporting a staggering N925.36bn loss in 2024, a 25 per cent increase from the N740.43bn recorded in 2023.

Nigerian Breweries Plc reported a N157.59bn loss in 2024, a slight increase from the N153.33bn recorded in 2023.

BUA Cement Plc reported a N92.10bn loss in 2024, up from N69.96bn in 2023. The cement giant saw its bottom line weaken due to rising costs associated with forex fluctuations.

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Oando Plc, an indigenous oil and gas company, reported an N64.17bn loss in 2024, a sharp contrast to the N132.69bn loss posted in 2023.

Guinness Nigeria Plc, a subsidiary of Diageo, suffered an N42.49bn loss in 2024, compared to a much smaller N3.89bn recorded in 2023.

BUA Foods Plc, a major player in the food processing sector, recorded N100.40bn in losses in 2024, significantly higher than N26.33bn in 2023.

Nestlé Nigeria Plc posted an N7.06bn loss in 2024, a significant turnaround from the N9.36bn forex gain recorded in 2023.

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Honeywell Flour Mills Plc recorded an N8.56m loss in 2024, a sharp decline from the N20.19m reported in 2023.

Lafarge Africa Plc reported an N600.17m loss in 2024, significantly lower than the N14.91bn loss recorded in 2023.

The Nigerian Aviation Handling Company reported a N1.85bn loss in 2024, compared to a N509.33m gain in 2023.

Beta Glass Plc suffered a N2.00bn loss in 2024, compared to a N1.79bn gain recorded in 2023.

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Nascon Allied Industries Plc recorded an N2.06bn loss in 2024, wiping out the N228.37m forex gain achieved in 2023. The company, a subsidiary of Dangote Group, struggled with increases.

Commenting, the Chief Executive Officer of Cowry Treasurers Limited, Charles Sanni, explained that the losses sustained by many manufacturing firms were largely due to their dependence on imported raw materials and the structure of their parent companies

Those manufacturing companies that have sustained these forex losses, for the fact they are listed, have parent companies and are multinationals. Some of the goods they received were probably sent on credit, and because exchange rates have changed, they are now forced to pay at the current rate,” he said.

He noted that the impact would extend beyond the companies themselves, affecting consumer demand and the overall economy.

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There is a negative correlation between consumer demand and these forex losses. Consumers already have lower disposable income, and when companies increase prices due to forex fluctuations, demand drops further. This constrains company income, weakens investor confidence, and drives up finance costs,” he said.

Sanni warned that many firms may soon struggle to declare dividends due to the erosion of their profits.

“You can only pay dividends from profits. If they pay despite these losses, they risk running into negative shareholder funds. This might not be immediate, but eventually, banks will hesitate to lend more money to them,” he said.

He stressed that government policies must be structured to create a more favourable business environment, while companies must explore alternative raw materials to reduce dependency on imports.

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“Since the naira is still unstable, companies need to rethink their financial strategies, reduce their exposure to dollar liabilities, and focus on cost-cutting measures that directly impact their bottom line,” he concluded.

Also, the Chief Executive Officer at Cowry Asset Management Limited, Johnson Chukwu, emphasised that the forex losses were a reflection of Nigeria’s weak external position rather than just a problem within the economy.

“It is not just about the economy; it is about our weak foreign exchange reserves. Manufacturing firms often have credit facilities, so when you see such wide exchange rate losses, it happens because of fluctuations in forex. It is a product of our weak foreign exchange reserves,” he explained.

He added that the prolonged forex instability had driven some companies out of Nigeria, further weakening investor confidence.

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“Some companies have left Nigeria because of these forex losses. This has slowed capital flow and affected the willingness of foreign investors to commit to the country.”

The economist further stated that Nigerian companies must reassess their financial strategies to cushion the impact of forex fluctuations.

Given that these losses have happened, I believe companies should have wisely reduced their dollar positions since there is no assurance that the naira will remain stable,” he said.

The PUNCH reported that six companies listed on the Nigerian Exchange Limited recorded a combined foreign exchange loss of N255.72bn in their financial results for the year ended December 31, 2024.

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BREAKING: Senators turn to sprinters as fire engulfs section of Senate wing

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A fire erupted on Wednesday in the Senate wing of the National Assembly complex in Abuja, prompting immediate concern and response from lawmakers and staff on the premises.

In a Footage circulating on social media, including from Africa Independent Television (AIT), shows thick smoke billowing from a room as senators and other personnel gathered nearby.

The video also captures hazy conditions inside adjacent areas, including what appears to be a pantry or kitchen space with chairs stacked and smoke visible.

According to preliminary reports, the incident occurred in a section of the Senate wing. Senators were described as being actively involved in efforts to put out the fire. No immediate reports of casualties have emerged, and those present appear to have evacuated or moved to safer areas within the complex.

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FCT Projects Commissioning: Tinubu Urges Abuja Residents to pay Ground Rent, Other Taxes To Enjoy More Developmental Projects(Photos)

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President Bola Ahmed Tinubu has urged residents and business owners in the Federal Capital Territory (FCT) to fulfil their civic obligations by paying taxes, land charges and ground rents, saying such compliance would enable government to deliver more infrastructure projects across the territory.

Tinubu made the call on Wednesday during the commissioning of the full-scope development of Arterial Road N5 (Obafemi Awolowo Way), stretching from Life Camp Junction to Ring Road III in Dape District, Abuja.

Represented by Vice President Kashim Shettima, the President said infrastructure development must be driven by a partnership between government and citizens.

“To the residents and business owners enjoying this transformation, I urge you to meet your obligations. Pay your taxes. Clear your land fees and ground rents. Your compliance gives the FCT Administration the strength to build more roads like this one,” he said.

The President described the newly completed road as a critical economic corridor that would ease traffic congestion, improve connectivity and unlock investment opportunities within the nation’s capital.

Recalling the commissioning of the Gwarinpa I District section of the road in June 2025, Tinubu said his administration had fulfilled its promise to complete the remaining section.

“On that day, we made a pledge to you. We promised not to leave this vital artery half-done. Because the Renewed Hope Agenda is not about abandoned projects; it is about delivery from start to finish.

“And so today, we are back. We are back to close the circle. We are back to commission the Dape District Section of Arterial Road N5, from Life Camp Junction to Ring Road III,” he stated.

The President stressed that the project was conceived, funded and completed under his administration, noting that it was awarded to Julius Berger Plc with a strict 15-month completion timeline after it was flagged off in October 2024.

According to him, the era when major infrastructure projects lingered for years without completion is over.

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“We conceived it, we funded it, and we delivered it. In the past, projects like this became permanent budget lines ten, fifteen years of excuses. Not under this administration,” Tinubu declared.

He commended the Minister of the Federal Capital Territory, Barr. Nyesom Wike, describing him as the administration’s “Engine of Execution” and applauded Julius Berger for delivering quality work within schedule.

“Minister Wike, you and your team have shown what happens when political will meets accountability. We fund projects to see results, not to listen to grammar,” he added.

Tinubu noted that the completion of the N5 corridor would significantly reduce travel time for commuters and provide seamless connectivity among Dape, Karmo, Gwarinpa I, Kado, Idu and Mbora districts.

He further explained that the road would provide direct access to the Idu Industrial District, thereby lowering logistics costs, attracting investments and creating jobs.

“Beyond that, this road opens a direct gateway to the Idu Industrial District. That means lower logistics costs for businesses, new investment, and more jobs for our people,” he said.

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The President also called on traditional rulers, community leaders and residents to protect public infrastructure from vandalism and ensure proper maintenance of drainage systems and streetlights.

Earlier, FCT Minister Barr. Nyesom Wike said the commissioning marked the second day of a 31-day project inauguration programme organised to commemorate the third anniversary of the Tinubu administration.

According to him, the scale of infrastructure delivery in the FCT has increased steadily since the administration came into office.

“On June 24, 2024, when we had the first-year anniversary of Mr. President, we took nine days of commissioning of projects. In the second year anniversary, we took 19 days. To the glory of God, in this third year, we are touching 31 days of commissioning of projects,” Wike said.

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The minister credited Tinubu for providing the political support needed to transform the FCT, saying the Renewed Hope Agenda had translated into visible infrastructure development across Abuja and the satellite towns.

“For the first time, development has been taken to the satellite towns in the Federal Capital Territory. This is unprecedented. Before this period, satellite towns did not know what they call government. Today, they can feel the impact and presence of government,” he stated.

Wike praised Julius Berger for completing both sections of the project within record time, revealing that the Gwarinpa section was delivered within seven months.

He also defended the FCT Administration’s handling of compensation issues during the road construction, insisting that all affected property owners whose structures were demolished were duly compensated.

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“We paid. If you are saying that because you are from that place and development has passed and government did not dash you money, we don’t dash money when we are carrying out development,” he said.

The minister dismissed protests by some individuals at the event, insisting that infrastructure projects across the territory had demonstrated the administration’s commitment to governance and development.

Earlier in her remarks, Minister of State for the FCT, Dr. Mariya Mahmoud, described the project as another milestone under the Renewed Hope Agenda and a reflection of President Tinubu’s commitment to improving connectivity, stimulating economic growth and enhancing residents’ quality of life.

Mahmoud paid tribute to Wike for what she described as his purposeful leadership and unwavering commitment to transforming Abuja through the delivery of critical infrastructure.

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She also thanked traditional rulers, community leaders and residents of Life Camp, Dape District and neighbouring communities for their cooperation throughout the execution of the project.

The minister expressed confidence that the newly commissioned road would improve transportation, boost commercial activities and support sustainable urban development in the Federal Capital Territory.

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INSECURITY: Vice principal two others killed as bandits invade Kogi community, attempt to kidnap WAEC candidates

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Panic engulfed Iluke Bunu, a community in Kabba-Bunu Local Government Area of Kogi State, on Wednesday morning after suspected bandits launched a deadly attack that left three people dead, including a school vice principal.

The bandits, who reportedly invaded the community in large numbers, were said to have targeted students sitting for the ongoing West African Senior School Certificate Examination (WASSCE), sparking fears of a mass abduction.

According to local sources, the gunmen stormed the area in the early hours of June 10, unleashing gunfire that sent residents and students scrambling for safety. The incident disrupted normal activities in the community and created widespread panic among residents.

A community member who spoke about the attack described the situation as terrifying, revealing that the sound of sustained gunfire echoed across the area as people fled to avoid being caught in the violence.

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He said we woke up to heavy gunfire this morning. The bandits entered the community and there was confusion everywhere.

Residents were running in different directions for safety, while students writing their WAEC examinations became terrified,” the source said.

The source further revealed that the attackers appeared determined to abduct students and school personnel but were thwarted by the swift intervention of security operatives and local vigilantes.

According to him, soldiers stationed at a nearby military formation responded quickly after receiving distress calls and engaged the gunmen in a fierce exchange of gunfire.

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He explained that if not for the prompt response of the soldiers and local vigilante groups, many students could have been kidnapped.

The security forces confronted the attackers and eventually forced them to retreat.

During the attack, three people reportedly lost their lives. Among the victims was Mr. Gani Anifowose, Vice Principal of Government Secondary School, Aharha-Bunu. Two other individuals were also killed in the violence, although details about their identities were not immediately available.

Another resident expressed concern over the deteriorating security situation in the area, noting that many community members remain traumatised by the incident.

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According to him, our community is facing serious security challenges. The gunshots lasted for a long time, and people are still searching for some residents whose whereabouts remain unknown,” the resident said.

Sources within the community stated that troops from the Nigerian Army formation in Suku-Kiri Bunu led the response operation.

The soldiers reportedly engaged the attackers in a gun battle, preventing them from carrying out their mission.

During the confrontation, one of the suspected bandits was allegedly shot dead, while several others escaped into nearby forests and bushes.

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The attack has renewed concerns over insecurity in parts of Kogi State, particularly in rural communities where residents have repeatedly faced threats from armed criminal groups. It has also raised fresh questions about the safety of students and educational institutions amid ongoing national examinations.

Residents have called on the government and security agencies to strengthen security presence in vulnerable communities and take decisive action to prevent future attacks on schools and innocent civilians.

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