Who does 50% profit margin year after year? Following its impressive 2012 financial year, Dangote Cement released its first quarter 2013 earnings with revenues soaring 40% to N66billion on the back of its capacity expansion program. Operating profit also rose 78% to N55billion as the company was able to increase revenues without seeing cost of sales rising in tandem. In fact, SG&A as a percentage of gross profit improved by 32% this quarter compared to last.
Dangote Cement posted a pre-tax profit of N53.6billion (2012:N29.7billion) at the end of Q1 2013. Earnings per share also increased 79% to N3.16 this quarter compared to last. Its share price rose 3.17% to N162 at the close of trading 30/4/2013.
This result shows the company is increasing sales rapidly and also increasing margins…a remarkable feat.
Dangote Cement 2013 Q1 results was posted on the website of the NSE