Cement giant, Dangote Cement Plc, recently released its full-year results for the 12 months ended December 2017.
Revenue increased by 30.89% from N615 billion in 2016 to N805 billion in 2017. Profit before tax also increased sharply from N180 billion in 2016 to N289 billion in 2017. Profit after tax also moved from N142 billion in 2016 to N204 billion in 2017.
Earnings per share increased from N8.78 in 2016 to N11.65. The company has declared a dividend of N10.65 per share, equating to a 91.4% pay-out ratio.
Revenue up despite a drop in sales volume
Revenue by the group went up by 30.9% despite the drop in production and sales volume.
Sales volume decreased slightly by 7% from 23.5 million tonnes in 2016 to 21.9 million volumes in 2017.
This indicates that the company may have increased prices in 2017.
Profits up by 43.6%
Profits are also up, due to lower intercompany eliminations and a drop in losses from African operations. Profits increased by 43.6% from N142 billion to N204 billion.
Dangote Cement Plc was incorporated in Nigeria as a public limited liability company on 4th November, 1992 and commenced operations in January 2017 as Obajana Cement Plc. The name was changed on 14th July, 2010 to Dangote Cement Plc.
The principal activity of the company and its subsidiaries is to operate plants for the preparation, manufacture and distribution of cement.