Dangote Cement Plc, Nigeria’s largest producer of cement, and indeed, its biggest company by market capitalisation, forecast an annual profit of N146 billion (US$932.6 million) for the year, building on last year’s N124.9 billion. Such a strong financial performance is hardly surprising, given that the company doubled its sales between 1Q12 and 2Q12.
The company reported an increase of 15% in its net income for the first three quarters to N106.4 billion, as revenue climbed from N173.83 billion to N208.26 billion.
The company’s production capacity currently stands at around 19 million tpa, but the company’s total output for 2012 is expected to reach 21.5 million, Chief Executive Officer Devakumar Edwin said. Aliko Dangote himself has stated that he sees the company’s overall production capacity rising to a staggering 60 million tpa by 2014, which would place it among the eight largest cement producers in the world.
Company estimates reveal expectations that the year of strong growth will continue, with forecasts suggesting revenue will increase to N37.7 billion in 4Q12 from N32.7 billion in 4Q11.Edited from various sources by Jack Davidson.