Dangote Cement First-Half Profit Jumps 24% as Revenue Rises

Dangote Cement Plc (DANGCEM), Nigeria’s biggest company by market capitalization, said profit for the six months through June rose 24 percent, led by growth in revenue.

Net income increased to 71.1 billion naira ($441 million) from 57.3 billion naira a year earlier, the Lagos-based company said in a statement published on the Nigerian Stock Exchange’s website today. Earnings per share climbed to 4.18 naira from 3.7 naira, while revenue advanced to 142 billion naira from 112.7 billion naira. The cost of sales rose 7 percent to 55.8 billion naira.

Dangote Cement, Africa’s biggest producer of the building material and owned by billionaire Chairman Aliko Dangote, will raise output to 46.3 million metric tons by 2015 as its expands across Africa, it said on April 5. Output in Nigeria, sub- Saharan Africa’s second-largest economy, will advance to 32 million tons by 2015 from 20 million tons this year, it said.

“Strong growth in top-line has translated into a similar increase in bottom-line performance,” Securities Africa Ltd., a Johannesburg-based brokerage, said in an e-mail today.

Dangote Cement is seeking to list 20 percent of its equity on the London Stock Exchange in 2013, the company said on April 2. Morgan Stanley and JPMorgan Cazenove are joint advisers on the share sale.

The company’s shares have advanced 17 percent this year, compared with the 13 percent gain of the Nigerian Stock Exchange All-Share Index. The stock traded unchanged at 118 naira by the close in Lagos.

To contact the reporter on this story: Chris Kay in Abuja at ckay5@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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