Dangote Cement Q1 2026 Pre-Tax Profit Hits N421.1bn
Revenue Crosses N1tn Mark as Cement Giant Rides Volume Growth and Cost Efficiency
Dangote Cement Plc, Africa’s largest cement producer, has reported a strong financial performance for the first quarter of 2026, with pre-tax profit jumping 35% to N421.1 billion from N311.9 billion in the same period last year. The results reflect growing market demand and improved operational efficiency, signaling a confident start to the fiscal year for the Aliko Dangote-controlled company.
Revenue rose 20.45% to N1.19 trillion, driven almost entirely by cement and clinker sales, which accounted for 99.99% of total income. Sales volume grew to 7.4 million tonnes from 6.5 million tonnes, buoyed by sustained demand from Nigeria’s construction sector and ongoing infrastructure activity across the African markets where the company operates.
Costs Managed, Profits Climb
Despite a 10.18% rise in cost of sales to N448.7 billion, revenue growth outpaced production costs, pushing gross profit up 27.56% to N749.3 billion. Operating profit followed suit, climbing 27.37% to N506.1 billion, reflecting stronger efficiency at the core business level. Selling and distribution costs rose 15.55% to N177.5 billion, in line with the company’s expanded distribution footprint.
A significant drop in finance costs — from N129.3 billion to N98.2 billion — further strengthened the bottom line. The roughly 24% decline suggests progress in debt reduction or more favourable refinancing terms, and it played a key role in pushing profit after tax to N321.09 billion, up sharply from N209.2 billion the prior year.
Shareholders and Retained Earnings
Earnings per share rose to N19.14 from N12.29, rewarding investors with a tangible reflection of the company’s expanded profitability. Retained earnings grew to N1.8 trillion, providing a solid base for future investment, debt management, or dividend distributions.
With Nigeria’s construction sector remaining resilient and pan-African infrastructure demand on the rise, Dangote Cement appears well-positioned to sustain its momentum through the rest of 2026. If the current trajectory holds, full-year results could set new benchmarks for the company.
Credit: Nigerian Exchange Group.
