Dangote Cement has recorded a growth of 139.9 per cent in its half-year result for the period ended June 30, 2024.
The company, which has continued to attract huge forex into the country through its pan-African operations, grew its revenue to N807.1 billion in H1, 2024 as against N336.4 billion, reported in the corresponding period of 2023. The cement plant also reported a 10.9 percent increase in the Nigerian market which rose from 8.0Mt to 9.0Mt in the half year ended June 30, 2024.
According to the 2024 half-year results of the cement company, Group volumes rose by 3.8 percent to 13.9Mt. Group revenue was up by 85 percent to N1,760 billion compared to N950 billion at the corresponding period in 2023 driven by 60 percent growth in Nigeria which rose to N991 billion from N618 billion.
As part of continuous efforts to promote a cleaner environment, Dangote Cement commissioned 11 of the 17 Alternative Fuel Projects across the Group and also took delivery of 300 full CNG trucks for its Nigerian business. It achieved a thermal substitution rate estimated at 10.5 percent for H1 2024 compared to 7.8 percent in H1 2023.
Speaking on the performance, the chief executive officer, Dangote Cement, Arvind Pathak said, “we effectively navigated macroeconomic headwinds to deliver positive results in the first half of the year. Group volumes were up 3.8 per cent, with our Nigeria operations achieving double-digit volume growth of 10.9 per cent.
“This growth was driven by improved efficiency across our operations and supported by increased market activity levels compared to the election year and cash crunch in 2023.”
He added that, “despite the challenges of elevated inflation, high borrowing costs, and a further weakening of the currency in the first six months of the year, our business demonstrated strong resilience. This was due to our rigorous focus on cost minimisation and our diversified business model.”
He explained that, “Group revenue and EBITDA rose 85.1 per cent and 50.3 per cent to N1,760.1 billion and N666.2 billion, respectively. Our profit after tax reached N189.9 billion, marking a 6.3 percent increase. I am pleased with the performance of our business, as key financial indicators are showing positive trends.
“By leveraging our robust export-to-import strategy, Dangote Cement completed fourteen shipments of clinker from Nigeria to Ghana and Cameroon. This effort resulted in a 55.2 percent surge in our Nigerian exports, underscoring our commitment to fostering African self-sufficiency.”
Looking ahead, Pathak said, “we remain bullish about the growth prospect of the African region, evident in our increased capital investments. We continue to prioritise innovation, cleaner energy transition, and cost leadership towards achieving our vision of transforming Africa and building a sustainable future.”
