Cement Manufacturers Earn N465.3bn Revenue In 3 Months

Cement manufacturers in Africa’s largest economy have grown their revenue to over N460bn in the first quarter of 2021.

Covid-19 has hurt the country’s cement makers as their trade rose in 2020 on the account of the pandemic.

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Results analysed by THE WHISTLER showed that Nigeria’s three listed cement manufacturers saw a revenue surge by 26.8 per cent to N465.3bn surpassing the N366.84bn recorded in the first quarter of 2020.

The manufacturers are: Dangote Cement Plc, Lafarge Africa Plc and BUA Cement Plc.

The sub-sector has been in stiff competition with some players accused of being favoured by government laws.

The resilience of the companies was proved when they squeezed N1.474trn revenue in the full year of 2020.

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In the first quarter of this year, the companies posted a total profit after tax of N121.2bn which was up by 37 per cent, compared to the N88.45 realised as PAT in Quarter 1, 2020.

The performance has been described by analysts as a good development for the future of the industry.

The market leader, Dangote Cement, grew its revenue to N332.65bn in 2021 first quarter, which is up from the N249.2bn posted in the corresponding quarter of last year.

Profit wise, the company made N89.7bn in the first quarter of 2021, up from the N60.59bn realised last year.

Lafarge Africa was second in the race for revenue in the first quarter as it pulled N71.47bn, compared to N63.69bn raised in the corresponding quarter of last year.

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Lafarge was the third most profitable during the quarter with N9.13bn, a rise from the N8.1bn recorded in the first quarter of last year.

BUA Cement’s revenue rose to N61.2bn compared to the N53.97bn recorded in the first quarter of last year.

The company retained its position as the second most profitable cement maker with a N22.36bn, from the N19.78bn posted in the first quarter of last year.

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