Resilient H1 2020 results amidst impact of COVID-19
Continuous increase of Pan-African EBITDA margin
Fulfilling our export strategy
Lagos, 24th July 2020: Dangote Cement PLC (DANGCEM-NL), Africa’s largest cement producer, announces unaudited results for the six months ended 30th June 2020.
- Group revenue up 2.0% to ₦476.9B
- Group EBITDA slightly up to ₦218.1B; 45.7% margin
- Pan-Africa EBITDA up 31.6% to ₦31.5B; 21.7% margin
- Profit before tax up 4.7% to ₦162.9B
- Earnings per share up 6.3% to ₦7.45
- Net debt of ₦372.1B
- Group sales volumes down 1.5%
- Lockdown in South Africa, Congo, Ghana and Nigeria in most of April affected our operations
- Pan-African volumes up 0.7% to 4.7Mt
- Nigerian domestic volumes up 1.8%
- Maiden clinker shipment from Nigeria via the Apapa Export Terminal to Senegal in June
- On track to ship more vessels of clinker to West and Central Africa in H2 2020
Michel Puchercos, Group Chief Executive Officer, said:
“I am humbled by the fact that we continue to be in a strong position despite the economic downturn that the world is facing due to COVID-19. Although April was greatly impacted by lockdowns and restrictions across our operations, we experienced a strong quarter. We achieved a record high volume and EBITDA margin in Pan-Africa of 4.7Mt and 21.7%, respectively. Group EBITDA was up slightly despite the impact of COVID-19.
I am particularly pleased to announce that Dangote Cement shipped its first clinker cargo to Senegal from our new cement terminal in Apapa, Lagos. It has been a long journey for Nigeria, from being one of the largest bulk importers of cement, to being self-sufficient in cement production, and now an exporter of clinker.
We are on track to ensure West and Central Africa are cement and clinker independent, with Nigeria as the main supply hub. We want to continue developing regional and continental trade between the ECOWAS countries and beyond.
We are committed to protecting our team members and communities by being fully compliant with health and safety measures. We remain focused on adapting to the rapidly evolving markets in which we operate. We continue to deploy our efforts to maintain our cost competitiveness while ensuring that our balance sheet is resilient.“
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 an exporter of cement serving neighbouring countries.
In addition, we have operations in Cameroon (1.5Mta clinker grinding), Congo (1.5Mta), Ghana (1.5Mta import), Ethiopia (2.5Mta), Senegal (1.5Mta), Sierra Leone (0.5Mta import), South Africa (2.8Mta), Tanzania (3.0Mta), Zambia (1.5Mta).