Dangote 3Q revenue rises on strong domestic demand

Dangote Cement reported a 28.7 per cent in revenue as demand continues to remain strong in its domestic market of Nigeria.

According to the unaudited results, profit before tax (PBT) rose to NGN151.73bn (US$957.9m) compared to NGN106.43bn in 2012, while operating profit rose by 36.4 per cent to N156.89bn.
Revenue for the period rose to NGN64bn compared to NGN244.50bn in the preceding year.

Commenting on the results, Group Managing Director, Dangote Cement, Devakumar Edwin, said the company recorded sales nearly 30 per cent higher than last year. However, he noted that gas supplies to its Obajana plant were lower than required during the quarter, and the company is now looking for additional sources of gas and fuels to keep its cement operations “fully supplied in the coming years.

In terms of its African expansion drive, Mr Edwin said its new Senegal and South African ventures are nearing completion.  “Our plant in Senegal will soon be producing cement and our South African venture, Sephaku Cement, is well on track to open in the early part of 2014. These two plants will be our first production ventures outside Nigeria as we aim to become Africa’s leading supplier of cement,” he said.