Dangote Group posts 17% revenue rise in FY22

Dangote Cement Group announced revenues us 17 per cent to NGN1618.3bn (US$3.51m) in FY22 and EBITDA up 3.5 per cent at NGN708.2bn. Profit after tax increased by 4.9 per cent to NGN382.3bn. Net debt at the end of the period totalled NGN422.8bn with a net gearing of 39.2 per cent.

Nigerian operations sold 17.8Mt of cement and clinker during the period, down 4.1 per cent from the 18.6Mt sold in 2021. When looking at the domestic sales alone, Nigerian operations sold 17Mt, down 3.8 per cent YoY. The slightly lower volume, elevated by the high base of 2021 was due to significant inflation, rising interest rate and energy supply disruptions which impacted production. The energy disruptions were largely due to low gas generation in the country. Collectively, this negatively impacted Dangote’s ability to maximise production during the period.

Revenues for the Nigerian operations increased by 21.3 per cent to NGN1.205.4bn, supported by price increases in the previous year in line with economic realities. EBITDA reached NGN658.8bn, up eight per cent at a margin of 54.7 per cent, excluding central costs and eliminations (FY21: NGN610.2bn, 61.4 per cent).

Dangote exported 748,000t of cement from Nigeria during 2022, while total  group exports of cement and clinker totalled 1.58Mt.