APRIL 13, 2018 – Following the release of 2017 financial year results, analysis by experts has shown Nigeria’s cement giants made N1.1 trillion in revenue for the 12 months ended December 2017 which represents a 32.4% increase over the N848 billion made in 2016.
Dangote cement stood tall
Dangote Cement led in terms of revenue share. The company made N805,582,000,000 or 71.6% of total revenues made. Lafarge takes the 2nd position with N299 billion or 26.6% of total revenues made. Cement Company of Northern Nigeria (also known as Sokoto Cement) brings up the rear with 1.8% of total revenues made.
Hike in cement prices a major factor
The increase in revenue was largely due to an increase in cement prices as volumes produced and sold dropped. While Dangote Cement and CCNN released production volumes, Lafarge Africa did not.
Cement volumes sold by Dangote Cement dropped slightly from 23.5 million tonnes in 2016 to 21.9 million tonnes in 2017. Cement Company of Northern Nigeria (CCNN)’s deliveries dropped slightly from 488, 000 in 2016 to 467,000 tonnes in 2017.
Dangote Cement made the most profit
CCNN had the biggest increase in profit in terms of percentage. Profit after tax increased by 157% from ₦1.2 billion in 2016 to ₦3.2 billion in 2017, the highest in the company’s history.
Dangote Cement made the largest profit in absolute terms. Dangote Cement made a profit after tax of N204 billion in 2017, up 43% from the N142 billion made in 2016.
Lafarge Africa was the laggard with a loss after tax of N34.6 billion.
Year to date performance
In terms of price appreciation, CCNN is the best performer with a 94.4% increase in price, year to date. Dangote Cement takes the 2nd position with a 12.17% gain year to date. Lafarge Africa is last with a 1.98% decline in share price.
