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Dangote Cement to pay N136.3b dividend

NSE LIVE! Cement, banking stocks lift equities

Shareholders of Dangote Cement Plc would receive a total of N136.3 billion as cash dividends for the business year ended December 31, 2015.

The board of directors of Dangote Cement, chaired by Alhaji Aliko Dangote, announced on Tuesday that the company would pay a dividend per share of N8 to shareholders for the 2015 business year, 33.3 per cent increase on N6 distributed for the 2014 business year. The dividend will become payable on April 21, 2016 after approval by the shareholders at the annual general meeting scheduled for April 19.

The audited report and accounts of Dangote Cement for the year ended December 31, 2015 showed impressive growths in sales and profit. Turnover rose by 25.56 per cent from N391.6 billion in 2014 to N491.72 billion in 2015. Gross profit increased by 16.63 per cent to N289.92 billion in 2015 as against N248.58 billion in 2014. Profit before tax inched up to N188.29 billion compared with N184.69 billion in the previous year. Profit after tax rose by 13.68 per cent from N159.50 billion in 2014 to N181.32 billion. Earnings per share thus increased by 15.2 per cent from N9.42 in 2014 to N10.86 in 2015.

Also, Dangote Cement grew its total assets to N1.11 trillion in 2015, 12.82 per cent above N984.72 billion recorded in 2014. Total liabilities however rose by 18.68 per cent from N392.84 billion to N466.22 billion. Shareholders’ funds also grew by 8.9 per cent from N591.9 billion to N644.7 billion.

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Dangote Cement, controlled by Africa’s richest man, Aliko Dangote, is seeking to boost sales and protect market share in Nigeria amid slowing economic growth, while rapidly expanding elsewhere in sub-Saharan Africa. The company cut prices in Nigeria in September 2015, to boost consumption and compete with imports, and said last month it will build two new plants in the country.

“New factories performed very successfully across Africa, gaining significant market share against long-established incumbents,” Chief Executive Officer Onne van der Weijde said in the statement. “In our home market of Nigeria we increased sales by 3.2 per cent against the worst economic crisis the country has faced in many years, which demonstrates that the Nigerian market is very robust.”

Dangote last year announced plans to add 25 million metric tons of capacity across African countries including Ethiopia, Kenya and Zambia, as well as a new plant in Nepal. The company has last month announced new 9 million metric tons per annum plants being constructed in Okpella and Itori in Edo and Ogun states in Nigeria.

 

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We are an online newspaper, very passionate about Nigerian politics, business and their leaders. We dig deeper, without borders and without fears.
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