The National Food Buffer Stock Company Limited (NAFCO) announced that its gross profit margin surged to 13.96% in 2025, up from 1.61% the previous year. CEO George Abradu‑Otoo said the improvement stemmed from stronger revenue growth and tighter cost management.
At the first Annual General Meeting of NAFCO’s shareholders, Mr Abradu‑Otoo revealed a net profit before tax of GH¢91.7 million in 2025, the highest since the company’s 2011 establishment. This figure reversed a GH¢19.4 million loss recorded in 2024.
He noted that the company had posted profits in 2018, 2019, 2020, 2022 and 2023, with the 2021 profit of GH¢2.8 million being the previous peak. The return on operating assets also improved from negative 63.80% to a positive 26.29%, signalling better asset deployment.
NAFCO paid GH¢20.3 million in taxes to the state in 2025, the highest annual tax contribution in its 16‑year history. Working‑capital management remains a key operational risk, he said, citing a marginal acid‑test ratio and calling for a stronger buffer above 1.5 to reduce financial risk.
Structural reforms were cited as a driver of the turnaround, including the creation of a dedicated Procurement Department, strengthening of Internal Audit and Food Safety units, and reconstitution of the Board and its sub‑committees. Mr Abradu‑Otoo highlighted the harmonious relationship between board, management and staff as decisive.
NAFCO also expanded regional operations, bringing all 16 offices fully functional with new vehicles, equipment and staff. In 2025 the company revamped the National Food Reserve Programme with an initial government funding of GH¢100 million to counter a reported glut of grains. By 31 December 2025, warehouses in Tamale, Badu, Kumbungu, Dzodze, Wenchi and Kumasi held 36,597 bags of maize, 21,287 bags of rice and 5,982 bags of gari.
NAFCO’s programme aims to maintain food stocks for emergencies, disasters and price spikes, supporting inflation control, post‑harvest loss reduction and government agricultural interventions. The company works with licensed buyers who purchase produce from local farmers and transport it to warehouses for cleaning and storage.
Looking ahead, NAFCO plans to strengthen liquidity and working‑capital buffers while continuing to improve operational efficiency and expand its food reserve programme.
