Dangote Cement Plc profit in the first quarter surged by 44.o7 per cent on increased finance income.
According to a post on the website of the Nigeria Stock Exchange, Dangote posted N114.73 billion in the first quarter of 2015 a against N103.57 billion the previous year.
Sales increased 10.77 percent to N114.73 billion, the strongest since Q4 2013.
Dangote’s finance income spiked by 1596 percent to a record N28 billion in one quarter as net income margin, a measure of profitability and efficiency, moved to 59.80 percent in 2015 from 45.96 percent the previous year.
. Total assets rose by 7.64 percent to N1.06 trillion.Earnings per share (EPS) increased by 46.06 percent to 409k in 2015 as against 280k in 2014.
The company is using resources of shareholder in generating high profit as its return on average equity (ROE) increased to 10.35 percent in 2015, from 8.40 percent in 2014.
Dangote’s borrowing costs spiked by 411 percent to N16.27 billion as the company borrowed money from banks to fund the acquisition of plants across Africa.
The company’s share price was down by 15.55 percent in the past one year to close at N180.50 percent, while market capitalisation was N3.14 trillion.
Dangote Cement is a fully integrated cement company and has projects and operations in Nigeria and 14 other African countries; Dangote Cement’s current total production capacity in Nigeria from its three existing cement plants namely Obajana (10.25MMTPA), Ibese (6.0MMTPA) and Gboko (4.0MMTPA) is 20.25MMTPA.
The Obajana Cement Plant (OCP) located in Kogi State is reputed to be one of the single largest cement plants in the world with a combined capacity of 10.25MMTPA.
A fourth line which add 3.0MMTPA to the existing capacity will bring the total capacity of Obajana to 13.25MMTPA by 2015.
Dangote Cement is also the biggest quoted company in West Africa and the only Nigerian company on the Forbes Global 2000 Companies.
