Dangote Cement's Nigerian operations sold over 4.9Mt, including exports, up 22.2 per cent on the 4Mt sold in 1Q20. This represents the highest quarterly volume sold from the company's Nigerian operations. When looking at the domestic sales alone, our Nigerian operations sold 4.8Mt, up 18.7 per cent YoY.  

While the company's ex-factory prices have remained stable since the end of 2019, revenues for Dangote’s Nigerian operations increased by 33.7 per cent to NGN239.7bn. In Nigeria, Dangote achieved a record quarterly EBITDA of NGN157.9bn at a margin of 65.9 per cent excluding central costs and eliminations (2020: NGN103.4, 57.6 per cent). 

Nigeria's strong performance was enhanced by economies of scale from the ramp-up of the new and efficient Obajana Line 5 and resumption of the Gboko plant at the end of 2020. Although clinker exports were paused to meet the rapidly growing local demand, Dangote continued road cement exports in 1Q21. 

Pan-African results
Pan-African operations sold just under 2.6Mt of cement in 1Q21, up 13.4 per cent on the 2.3Mt sold in 1Q20. Including clinker, Pan-African volumes came in at 2.61Mt. The total Pan-African volume represents 34.7 per cent of group volumes. Pan-African revenues of NGN93.0bn were 33.1 per cent higher than 1Q20 and represented 28 per cent of total group revenues. 

Dangote estimates the total market for cement in Cameroon to have been about 940,000t in the first three months of 2021, up 11 per cent from the 1Q20. The Douala grinding plant sold over 360,400t of cement in the 1Q21, a 16 per cent increase on the 311,700t sold in the 1Q20.  

The total market for cement in Congo is estimated by Dangote to have been about 197,000t in the first three months of 2021. Dangote’s Mfila plant sold 116,100t of cement in the 1Q21, up 57 per cent compared to the 1Q20.  

Ethiopia's market was estimated at just under 1.9Mt in the first three months of 2021. Sales at the Mugher factory were 533,300t in the 1Q21, down four per cent YoY, mainly due to maintenance operations in the 1Q21, stated Dangote. 

Ghana's market sales were estimated at 1.8Mt in the 1Q21. Dangote Cement Ghana sold 146,800t of cement in the quarter up 18 per cent on 1Q20.

In the 1Q21, the Senegalese market had cement sales of over 2Mt (including exports). Sales from the Pout plant increased by six per cent from 407,200t in 1Q20 to 432,300t in the 1Q21, making Senegal one of Dangote's best performing markets.

Sierra Leone's market consumed about 304,000t of cement in the 1Q21. Dangote Cement sold 93,600t during the period, an increase of 39 per cent from the 67,400t achieved in the 1Q20. Dangote’s market share for the first quarter was 31 per cent.  

The company's South African sales volume for the 1Q21 increased by six per cent, while in Tanzania the Mtwara factory sold 313,000t of cement in the 1Q21, including clinker sales of 26,500t increasing market share from 18 per cent in 1Q20 to 22 per cent in the 1Q21.

Finally, Zambia’s market is estimated at 549,000t in the 1Q21. Dangote's Ndola factory sold 196,800t of cement, up 47 per cent from 134,300t in the 1Q20. This raised the company’s market share to 36 per cent.

Published under Cement News