WorldStage Newsonline– Dangote Cement PLC, Africa’s largest cement producer has announced its unaudited results for the three months ended 31st March 2024 with 2.9% rise in profit after tax to ₦112.7 billion after strong rebound in Nigeria volumes at 26.1% to 4.6Mt.
Financial highlights of the group include group revenue up 101% to ₦817.4 billion; group EBITDA up 66.6% to ₦309.5billion at 37.9% margin; Nigeria EBITDA up 41.8% to ₦224.9 billion at 49.7% margin; Pan-Africa EBITDA increasing over threefold to ₦99.9B at 26.2% margin; Earnings per share up 3.7% at ₦6.68; Net debt of ₦558.8B; net gearing of 24.7%.
Operating highlights include group volumes up by 12.3% to 7.0Mt; strong rebound in Nigeria volumes up 26.1% to 4.6Mt; dispatched 7 ships of clinker from Nigeria to Ghana and Cameroon; Nigeria cement and clinker exports up 87.2% at 264Kt; Thermal substitution rate estimated at 10.7% for Q1 2024 vs. 8.7% in Q1 2023; Commissioned 10 of the 17 Alternative Fuel Projects across the Group
Arvind Pathak, Chief Executive Officer, said: “Driven by an uptick in economic activities, our Nigerian operations witnessed a strong rebound, with volumes up 26.1% to 4.6Mt in the quarter. Similarly, our panAfrica operations continued an upward trajectory, with volumes up 3.1% to 2.7Mt, buoyed by increased sales in Zambia and Congo.
“Despite elevated cost pressures, increased borrowing costs, and a further currency weakening, our first-quarter results reflect our commitment to navigating challenges effectively. Group revenue more than doubled to ₦817.4B, while Group EBITDA rose 66.6% to ₦309.5B. PAT was up 2.9% at ₦112.7B.
“These results underscore our ability to adapt and thrive in a dynamic business environment while delivering value to our stakeholders.
“During the quarter, we intensified our emphasis on exports, dispatching 7 ships from Nigeria to Ghana and Cameroon. As a result, our Nigerian exports surged by 87.2%, reflecting our commitment to expanding our presence in regional markets and capitalising on our export-to-import strategy.
“We continue to prioritise innovation, cleaner energy transition, and cost leadership towards achieving our vision of transforming Africa and building a sustainable future.”
Dangote Cement is Africa’s leading cement producer with 52.0Mta capacity across Africa. A fully integrated quarry-to-customer producer, we have a production capacity of 35.25Mta in our home market, Nigeria. Our Obajana plant in Kogi state, Nigeria, is the largest in Africa with 16.25Mta of capacity across five lines; our Ibese plant in Ogun State has four cement lines with a combined installed capacity of 12Mta; our Gboko plant in Benue state has 4Mta; and our Okpella plant in Edo state has 3Mta. Through recent investments, Dangote Cement has eliminated Nigeria’s dependence on imported cement and has transformed the nation into an exporter of cement serving neighbouring countries.
In addition, it has operations in Cameroon (1.5Mta clinker grinding), Congo (1.5Mta), Ghana (2.0Mta clinker grinding and import), Ethiopia (2.5Mta), Senegal (1.5Mta), Sierra Leone (0.5Mta import), South Africa (2.8Mta), Tanzania (3.0Mta), Zambia (1.5Mta).
