Dangote Cement revenue surges 69 percent to $1.56 billion in nine months

Key Points

• Dangote Cement's nine-month revenue hit N2.56 trillion ($1.56 billion), up from N1.51 trillion ($919.1 million) in 2023.
• Revenue from African operations jumped 86%, reaching N1.093 trillion ($665.4 million), aided by currency translation gains.
• Net profit increased slightly to N279.1 billion ($170 million), despite higher finance expenses of N451.2 billion ($274.7 million).

Building on its solid financial performance in the first half of 2024, Dangote Cement Plc, the multinational cement giant majority owned by Africa’s richest man Aliko Dangote, reported a significant revenue increase of 69 percent in the first nine months of 2024.

Revenue soared to N2.56 trillion ($1.56 billion) from N1.51 trillion ($919.1 million) in the corresponding period of 2023, the company disclosed in its latest financial results.

Pan-African expansion powers revenue boost

The revenue growth was largely driven by Dangote’s pan-African operations, which benefited from currency translation gains following the devaluation of the naira against the U.S. dollar. 

Revenue from these operations jumped from N588.24 billion ($358.1 million) to N1.093 trillion ($665.4 million).

In its Nigerian operations, the company reported resilient performance, with revenue increasing by 64 percent from N933.08 billion ($568 million) to N1.53 trillion ($931.4 million), supported by price adjustments in cement sales.

Cement and clinker sales volumes saw a slight increase, rising from 20,288 metric tonnes to 20,674 metric tonnes year-over-year.

Profit margins hold amid higher operating costs

Despite a surge in operating and finance costs, with finance expenses growing to N451.2 billion ($274.7 million), Dangote Cement posted a modest profit increase.

The company reported a net profit of N279.1 billion ($170 million) for the nine-month period, up from N277.5 billion ($168.9 million) in 2023.

Dangote Cement’s assets climb to $3.37 billion

Dangote Cement, 86-percent owned by Aliko Dangote, Africa’s richest man, continues to play a key role in regional trade, exporting cement to markets such as Cameroon, Ghana, and Congo. 

The company remains a key player in transforming Nigeria from a cement importer into an exporter within Sub-Saharan Africa.

The cement giant, with an annual production capacity of 52 million tonnes across 10 countries, also saw its total assets rise from N3.94 trillion ($2.4 billion) as of Dec. 31, 2023, to N5.54 trillion ($3.37 billion) by Sept. 30, 2024.

However, retained earnings dipped from N1.098 trillion ($667.5 million) to N846.1 billion ($514.4 million) due to dividend payments made at the close of the 2023 fiscal year.