Dangote Cement, Africa\u2019s largest cement producer, has announced its
\nunaudited results for the six months ended 30th June 2017, posting a 12.6
\npercent increase in sales volume across Africa.<\/p>\n
In the financials released on the floor of the Nigerian Stock Exchange
\nindicated that the increase in sales volume showed a growing capture of
\nPan-African market as Dangote Cement continues to gain grounds.
\nRevenues from operations in Nigeria increased by 34.5 percent \u00a0to \u20a6291.4
\nbillion while Pan-Africa revenue increased by 63.7 percent to \u20a6124.4B from
\n\u20a676.0B mainly as a result of increased volumes and foreign exchange gains
\nwhen converting the sales from country local currency into Naira.
\nAnalysis of the half year result revealed that sales volumes of African
\noperations increased by 12.6 percent to 4.7 million metric tons with
\nSierra Leone making a\u00a0 \u00a053 kt maiden contribution.
\nRecord of sales from its operations scattered around the African continent
\nrevealed that a total of 1.1million \u2018metric tons of cement was sold in
\nEthiopia, almost 0.7 million metric tons sold in Senegal, 0.6 million
\nmetric tons sold in Cameroon, and 0.5 million tons in Ghana
\nAlso, 0.4 million metric tons of cement was sold in Tanzania and 0.3
\nmillion tons in Zambia. Sales volumes from Nigerian operations fell from
\n8.8Mt to 6.9Mt, occasioned by the onset of rains which stalled many
\nconstruction projects.
\nReflecting on the half year results, Dangote Cement\u2019s Chief Executive
\nOfficer, Onne van der Weijde expressed satisfaction that the company\u2019s
\nrevenues have continued to grow despite low sales from the Nigerian
\noperations noting that the revenues grew on the strength of sales from
\nother African operations
\nSaid he: \u201cOur revenues have continued to grow despite the lower volumes
\nseen in Nigeria, especially because of the recent heavy rains. Our margins
\nhave improved significantly, helped by improved efficiencies and a much
\nbetter fuel mix in Nigeria.
\n\u201cWe are using much more gas and increasing our use of coal mined in
\nNigeria, thus reducing our need for foreign currency and supporting
\nNigerian jobs.
\n\u201dOur Pan-African operations are growing well and increasing market share.
\nWe saw our the first sales from Sierra Leone in the first quarter and our
\nnew plant in the Republic of Congo will be in production at the end of
\nJuly, further increasing our footprint across Africa and strengthening our
\nposition as its leading manufacturer of cement.\u201d<\/p>\n
The Company reports that it estimated that Nigeria\u2019s total market for
\ncement was 10.2 million tonnes (Mt), 23.2% lower than the estimated 13.3Mt
\nsold in Nigeria in the first half of 2016. Of total market sales in the
\nfirst half of 2017, just 0.1Mt was imported.
\nAs a result of the slower market, our Nigeria operation sold nearly 6.9Mt
\nof cement, down 21.8% on the 8.8Mt sold in the first half of 2016. We
\nestimate our market share to have been about 64.5% during the first six
\nmonths of 2017.<\/p>\n
Dangote Cement is a high-growth, low-debt, internationally diversified
\ncompany that has just paid a dividend amounting to nearly 75% of 2016 net
\nprofits to shareholders. The recent publication of our credit ratings
\nhighlights the financial strength we have achieved through our unwavering
\nfocus on the profitable expansion of the business, underpinned by our
\nbelief that we must remain prudent in our financial management.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
Dangote Cement, Africa\u2019s largest cement producer, has announced its unaudited results for the six months ended 30th June 2017, posting a 12.6 percent increase in sales volume across Africa. In…<\/p>\n","protected":false},"author":1,"featured_media":22620,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[5],"tags":[],"class_list":["post-58916","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\n