Dangote Cement Grows Profit by 10%, Declares N30 Dividend

Dangote Cement Grows Profit by 10%, Declares N30 Dividend

Dangote Cement Plc grew profit by 10.46% year on year to N503.247 billion in 2024, the group said in its audited financial statement submitted on the Nigerian Exchange.

The improved profitability was supported by double-digit revenue growth amidst price hikes and volume surges. Details from the financial report revealed that Dangote Cement revenue grew by 62% to N3.580 trillion in 2024 from N2.208 trillion in 2023.

Reflecting inflation impacted business activities, production costs of sales also climbed by 63.51% to N1.645 trillion in 2024, from N1.006 trillion a year ago.  A faster annual production growth compressed the cement company’s margin year on year.

The company’s gross profit came in at N1.934 trillion, up from N1.201 trillion in 2023. Dangote cement reported a sizeable year-on-year growth in operating expenses.

Administrative expenses surged to N220.537 billion from N126.533 billion 12 months earlier. Also, the cement company’s selling and distribution expenses climbed to N618.664 billion from N865.105 billion. Other income line spiked to N57 billion from about N25 billion in 2023 while impairment charges moderated.

Its pretax profit rose by 12% over 12 months from N553.104 billion to N732.537 billion at the end of 2024. Dangote Cement’s net income printed at N503.247 billion in 2024 due to a spike in tax provision from N455.583 billion in 2023. 

The results revealed that profit attributable to owners of the company surged by 11.9% year on year to N498.192 billion. However, profit attributable to minority shareholders fell by more than 51% year on year to N5.055 billion.

Dangote said in the report that the directors pursue a dividend policy that reflects the company’s earnings and cash flow while maintaining appropriate levels of dividend cover.

“They consider the capital needed to fund the company’s operations and expansion plans.” For the 2024 financial year, the board recommends a dividend of ₦30.00 per ordinary 50 kobo share. The Board considers that the proposed dividend is appropriate and is in line with the company’s strategic growth objectives.

“If the shareholders approve this dividend at the Annual General Meeting, dividends will be paid to the shareholders whose names are registered in the company’s Register of Members at the close of business on the qualification date.”. CBN Rejects N1.6trn from Investors, Cuts Treasury Bills Rates