July 28, 2025/CSL Research

Financial Highlights:

• Revenue +17.7% y/y to N2.07TN
• Cost of Sales (ex-depreciation) +1.8% y/y to N752.18BN
• OPEX (ex-depreciation) +7.6% y/y to N413.24BN
• EBITDA +41.8% y/y to N944.90BN
• Operating Profit +47.0% y/y to N810.98BN
• Profit before Tax +149.2% y/y to N730.03BN

Dangote Cement Plc recorded strong top-line growth in its unaudited financial results for the first half of 2025, with Revenue rising by 17.7% year-on-year to ₦2.07 trillion, up from ₦1.76 trillion in H1 2024. This growth was primarily driven by strategic price increases, as the Group’s average selling price rose by 22.7% to ₦155,002 per ton, compared to ₦126,314 per ton in the same period last year. Total sales volume declined by 4.1% year-on-year to 13.37 million metric tons, down from 13.93 million metric tons in H1 2024.

Revenue from Dangote Cement’s Nigerian operations surged by 45.5% year-on-year to ₦1.44 trillion in H1 2025, up from ₦991.38 billion in H1 2024. This strong performance was primarily driven by a 46.2% increase in the average selling price, which rose to ₦161,136 per ton from ₦110,226 per ton in the same period last year.

The significant price increase more than offset a marginal 0.5% decline in sales volume, which fell to 8.95 million metric tons from 8.99 million metric tons in H1 2024. The company noted that the price adjustment reflects broader macroeconomic conditions in the domestic market. The slight dip in volumes was attributed to weakened consumer purchasing power, driven by rising costs and elevated interest rates, which negatively impacted overall cement demand.

Additionally, reduced activity in the real estate sector and a slowdown in private construction projects
contributed to the lower sales volumes during the period. 

Dangote Cement’s Pan-African operations experienced a decline in revenue, primarily due to a 9.0% year-on-year drop in sales volumes, which fell to 5.00 million metric tons in H1 2025 from 5.49 million metric tons in H1 2024. Management attributed the weaker performance to post-election uncertainties in key markets such as Senegal and South Africa, as well as liquidity challenges in Ethiopia caused by delays in national budget approvals.

In addition to the volume decline, average selling prices in the Pan-African region fell by 7.7% to ₦136,479 per ton, down from ₦146,935 per ton in the same period last year. As a result, revenue from Pan-African operations dropped by 15.5% to ₦682.12 billion, compared to ₦807.11 billion in H1 2024.

Stock Rating: BUY Target Price: N505.33/s

To read the full report, click on the link below​​

​Dangote Cement Quick Take H1 2025 .pdf​​​​​​​​​​​​​​​​​​​

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