Key Highlights
…Net Sales: FY 2025 up 53%; supported by volume growth, enhanced plant stability, and improved distribution efficiency.
…Operating Profit: FY 2025 N392Bn, up 103%, reflecting strong top-line momentum and continued execution on cost and efficiency initiatives.
…Operating Margin: FY 2025 37% vs 28% PY.
…Profit After Tax: FY 2025 up 173% to N273Bn; underpinned by volume-led revenue growth, disciplined cost optimization across operations, and efficient financial management.
FRI FEB 27 2026-theGBJournal| Cement giant Lafarge Africa Plc has crossed the N1 trillion revenue mark for the first time, delivering a powerful financial performance in its 2025 full-year results.
The milestone underscores the company’s pricing strength, resilient demand, and operational efficiency in a challenging macroeconomic environment.
Gross margin expanded by 724bps y/y to 60.9% (Q4-25: +589bps y/y to 59.3%), as cost of sales (ex-depreciation) increased at a slower pace (+29.1% y/y) relative to revenue, reflecting improved cost absorption and efficiency initiatives.
The growth in cost was largely driven by higher raw materials (+59.7% y/y; 28.1% of COGS) and energy (+9.5% y/y; 41.7% of COGS) costs.
We highlight that the relatively modest growth in energy costs was aided by moderation in energy prices and greater use of alternative fuels during the period.
Meanwhile, EBITDA and EBIT margins rose to 40.0% (+812bps y/y) and 36.8% (+907bps y/y), respectively, despite a 43.1% y/y increase in operating expenses (ex-depreciation).
The rise in OPEX was primarily driven by higher distribution costs (+33.4% y/y | 65.9% of OPEX) on higher volumes, but the OPEX-to-sales ratio declined by 147bps to 21.3% (2024FY: 22.8%), pointing to improved operating efficiency.
In Q4-25, EBITDA and EBIT margins expanded by 353bps y/y and 382bps y/y to 36.1% and 32.8%, respectively.
Below the operating line, WAPCO recorded net finance gains of N19.22 billion in 2025FY (vs net finance costs of N40.49 billion in 2024FY), driven by stronger finance income (+11.2x to N25.08 billion), lower finance costs (-71.6% y/y to N5.20 billion), and a sharp drop in FX losses (-97.3% y/y to N666.74 million).
In Q4-25, the company posted net finance gains of N4.33 billion (Q4-24: net finance costs of N4.74 billion).
Overall, profit before tax (PBT) surged by 169.7% y/y to N411.32 billion, while profit after tax (PAT) increased by 172.7% y/y to N273.12 billion. In Q4-25, PBT grew by 68.5% y/y to N98.03 billion, and PAT rose by 63.1% y/y to N65.34 billion.
The strong bottom-line growth signals effective management of energy costs and supply chain dynamics, alongside sustained construction activity across key markets.
The record earnings performance positions the cement maker for stronger shareholder returns and reinforces its standing in Nigeria’s competitive building materials sector.
Analysts say the results could further boost investor confidence in the industrial goods space as companies demonstrate their ability to navigate economic headwinds while expanding profitability.
”Looking ahead, with Huaxin’s collaboration and Industrial expertise, we are excited about the year 2026 and the opportunities ahead. We maintain a prudent and agile approach to capital allocation and cost management while positioning the business to capitalize on emerging market opportunities,” said CEO Lolu Alade-Akinyemi.
”Our resilience, operational scale, and strategic clarity provide a strong foundation for sustainable growth and enhanced shareholder value.”
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