Robust recovery in Nigeria, with total cement sales up 13.9%, drives 16.9% increase in Group revenue and 20.8% increase in Group EBITDA
Lagos, 20th July 2018: Dangote Cement PLC (DANGCEM-NL), Africa’s largest cement producer, announces unaudited results for the six months ended 30th June 2018.
- Group revenue up 16.9% to ₦482.4B
- Group EBITDA up 20.8% to ₦246.0B, 51.0% margin
- Nigeria EBITDA up 19.3% to ₦226.9B, 65.9% margin
- Pan-African EBITDA up 31.9% to ₦25.9B, 18.7% margin
- Earnings per share up 3.0% to ₦6.60
- Successful issuance of ₦50B Commercial Paper under ₦150B Programme; largest-ever issuance by a Nigerian company
- Strong cash generation supports net debt of ₦232.8B after ₦178.9B dividend payout
- Total Nigeria sales volumes up 13.9% to 7.8Mt
- Nigeria domestic sales volumes of 7.3Mt, at nearly 66% market share
- Pan-African volumes down 3.9% to nearly 4.6Mt mainly due to production slowdown in Tanzania
Joe Makoju, Group Chief Executive Officer, said:
“Our first-half performance was very strong and driven by an excellent recovery in Nigeria, where our sales volumes increased by nearly 14% and revenues rose by more than 18%. Pan-African operations saw a slight fall in volumes but both revenues and EBITDA increased because of better pricing and currency conversion effects.
In addition, we achieved the largest-ever issuance of Commercial Paper by a Nigerian company when we issued ₦50B Series 1 & 2 Notes at the end of June, with a discount rate that reflected the strength of our Company and its excellent credit ratings.
Of course, our strong performance has been overshadowed by the tragic and heartbreaking events in Ethiopia. I would like to pay tribute to my colleagues Deep Kamra, Beakal Alelign and Tsegaye Gidey and offer our sincere condolences to their families.”
About Dangote Cement
Dangote Cement is Africa’s leading cement producer with nearly 46Mta capacity across Africa. A fully integrated quarry-to-customer producer, we have a production capacity of 29.25Mta in our home market, Nigeria. Our Obajana plant in Kogi state, Nigeria, is the largest in Africa with 13.25Mta of capacity across four lines; our Ibese plant in Ogun State has four cement lines with a combined installed capacity of 12Mta and our Gboko plant in Benue state has 4Mta. Through our recent investments, Dangote Cement has eliminated Nigeria’s dependence on imported cement and has transformed the nation into a net exporter of cement serving neighbouring countries.
In addition, we have invested almost $3B to build manufacturing plants and import/grinding terminals across Africa. Our operations are in Cameroon (1.5Mta clinker grinding), Congo (1.5Mta), Ghana (1.5Mta import), Ethiopia (2.5Mta), Senegal (1.5Mta), Sierra Leone (0.7Mta import), South Africa (2.8Mta), Tanzania (3.0Mta), Zambia (1.5Mta).