Dangote Cement Achieves N455.6 Billion Profit Amid N164 Billion in FX Losses
Despite facing significant foreign exchange losses amounting to N164 billion, Dangote Cement Plc. reported a robust profit after tax of N455.58 billion for the fiscal year ending December 2023, marking a substantial 19.7% increase from the previous year.
Dangote Cement Plc., Africa's leading cement manufacturer, has demonstrated remarkable financial resilience and operational efficiency by posting a profit after tax of N455.58 billion for the year ended December 2023. This represents a notable year-on-year growth of 19.7%, even as the company navigated through challenges such as increased interest expenses and substantial foreign exchange losses totaling N164 billion.
The company's financial highlights include a significant revenue increase to N2.208 trillion, up 36.44% from the previous year, and a gross profit rise to N1.202 trillion, reflecting a 25.79% growth. Operating profit also saw a healthy increase, reaching N734.267 billion, a 25.33% growth from 2022. The earnings per share (EPS) improved by 18.86%, from N22.27k per 50k share in 2022 to N26.47k.
In recognition of its impressive performance, Dangote Cement announced a dividend of N30 per share, up from N20 per share the previous year, continuing its five-year streak of dividend payments. The company's share price has experienced a significant rally, gaining 115% year-to-date, reflecting investor confidence in its growth trajectory.
Dangote Cement's success is primarily driven by its operations in Nigeria, which account for approximately 59% of the group's revenue. The company's ability to maintain profitability and shareholder value in the face of adverse economic conditions underscores its strategic operational management and the robustness of the Nigerian market.
Source: Nairametrics
