LAGOS, Oct 29 – Dangote Cement Plc reported a 31% increase in nine-month profit after tax to ₦974.8 billion (approximately $714 million) as higher revenue, expanding cement sales and lower financing costs strengthened earnings ahead of its planned secondary listing in London.
The Lagos-listed cement producer, controlled by Nigerian billionaire Aliko Dangote, recorded revenue of ₦3.77 trillion (approximately $2.77 billion) for the nine months ended September 30, 2026, up 19.6% from a year earlier, according to unaudited results filed with the Nigerian Exchange.
Profit before tax increased 41.5% to ₦1.47 trillion (approximately $1.08 billion), while earnings per share rose 33.2% to ₦58.37.
Earnings before interest, taxes, depreciation and amortisation climbed 23.7% to ₦1.77 trillion (approximately $1.29 billion), lifting the EBITDA margin to 46.8% from 45.3% in the corresponding period of 2025.
Growth accelerated in the third quarter. Profit after tax rose 50.9% to approximately ₦336.3 billion, while revenue increased 16.4% to ₦1.26 trillion (approximately $923 million).
The results highlight stronger operating performance alongside a substantial improvement in the company’s balance sheet, with lower debt reducing financing costs and increasing the cash available for investment and shareholder returns.
Debt Repayments Turn Dangote Cement Into a Net-Cash Company
Dangote Cement reduced borrowings to ₦541.5 billion (approximately $397 million) at the end of September from ₦1.08 trillion at the end of December 2025, repaying more than ₦520 billion in loans during the period.
The reduction moved the company from a net debt position of ₦682.9 billion at the beginning of the year to net cash of ₦51.1 billion at the end of September.
“The defining achievement of this period is the transformation of our balance sheet,” Chief Executive Officer Arvind Pathak said. “Dangote Cement is now a net-cash company.”
Lower borrowings helped reduce net finance costs to ₦97 billion from ₦208.9 billion a year earlier, contributing to the increase in profit before tax.
The company generated ₦1.26 trillion (approximately $923 million) in free cash flow during the nine-month period, around 1.7 times the ₦753.8 billion distributed in dividends.
“From here, with our deleveraging complete, free cash flow is no longer absorbed by debt paydown,” Pathak said.
The board is expected to review how to allocate cash between expansion projects and shareholder returns when the company releases its full-year results.
The stronger cash position gives Dangote Cement greater financial flexibility as it pursues capacity expansion across Africa, although future capital allocation decisions will determine how much of that cash is directed towards investment or distributions.
Nigeria Remains the Main Earnings Driver
Group cement sales increased 9.4% to 22.1 million tonnes during the first nine months of 2026, supported by growth in Nigeria and several other African markets.
Nigeria remained the company’s largest market and principal profit contributor. Domestic sales rose 6.4% to 14.1 million tonnes, while Nigerian revenue increased 22.5% to ₦2.67 trillion (approximately $1.96 billion). The business recorded a margin of 59.8%.
Exports of cement and clinker from Nigeria climbed 41.8% to 1.5 million tonnes. The company reported 26 clinker shipments to Ghana, Cameroon and Ivory Coast, reflecting the role of cross-border trade in expanding sales beyond its domestic market.
Operations elsewhere in Africa sold 9.1 million tonnes, an increase of 14%, and generated revenue of ₦1.19 trillion (approximately $872 million).
Sales growth varied across the company’s markets. Senegal recorded growth of 29.9%, Ethiopia 18.8% and Tanzania 9.2%. In Ivory Coast, a new grinding plant sold 529,200 tonnes during the period, while sales in Ghana and Cameroon declined.
The performance demonstrates the contribution of regional operations to group growth, while Nigeria continues to provide the largest share of revenue and profitability.
Expansion Plan Targets 80 Million Tonnes of Capacity
Dangote Cement is investing in additional production capacity as it seeks to increase its total annual capacity across Africa to 80 million tonnes from 55 million tonnes.
The first phase of a new 6-million-tonne-a-year plant at Itori in Ogun State is on track for commissioning and is expected to contribute additional volumes from 2027.
The expansion is intended to support the company’s longer-term growth as demand for cement remains linked to construction, housing and infrastructure development across its markets.
Dangote Cement expects high-single-digit sales growth for the full year and an EBITDA margin in the mid-40% range.
The planned capacity increase will require continued investment in production facilities and distribution. Its eventual contribution to earnings will depend on commissioning schedules, market demand, operating costs and the company’s ability to sell the additional output.
Shares Reach Record as Valuation Exceeds ₦20 Trillion
Dangote Cement shares rose 10% on Monday to ₦1,222.10, taking the company’s market capitalisation above ₦20 trillion (approximately $15 billion) for the first time.
The stock’s performance comes as the company prepares for a planned secondary listing in London, which would broaden its presence in international capital markets.
Aliko Dangote, Africa’s richest person, owns approximately 87% of the cement producer, mainly through Dangote Industries Ltd.
The company’s improved earnings, reduced borrowings and stronger cash generation provide a financial backdrop for the planned listing. However, the eventual implications for liquidity, investor participation and valuation will depend on the structure and terms of the transaction.
Separately, Dangote’s $20 billion oil refinery near Lagos closed its initial public offering on Tuesday, adding another major capital-markets development to the group’s activities.
For Dangote Cement, the combination of higher profits, a net-cash balance sheet and planned capacity expansion marks a shift from debt reduction towards greater financial flexibility. The next phase will centre on converting that position into sustained earnings growth while balancing investment needs and shareholder returns.
