BUA, Dangote, Other Cement Companies Increase Prices Despite N677.4 Billion Profit In 2024
- Nigerian cement companies posted impressive profits in 2024 due to price increases last year
- Dangote Cement led the pack with the highest profit, with the highest prices in the period under review
- The development came after the companies increased their prices from N4,500 to about N8,000 depending on the brand
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Nigerian cement makers defied troubles in 2024 to post stunning profits, buoyed by price hikes.
A breakdown of Dangote, BUA, and Lafarge’s unaudited financials reveals that the firms’ profits after tax rose to N677.48 billion in 2024, representing a 17.6% increase from N675 billion due to price hikes implemented in response to increasing operational costs and inflationary pressures.
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Dangote records the highest profit
Dangote Cement posted the highest profit at N503.4 billion, followed by Lafarge at N100.1 billion, and BUA at N73 billion. The companies’ profits were driven by robust revenue growth.
Dangote Cement’s record came from its sales which grew by 68% to N5.5 trillion from N3.06 trillion.
The company reported a revenue of N3.58 trillion in 2024, a 62.7% increase from N2.2 trillion in 2023.
The increase was attributed to the company’s price adjustments and heightened demand. However, the firm’s after-tax profit reached N503 billion.
Regarding valuation, Dangote Cement’s stock price rose by 50% in the period under review, closing at N478.80% per share as of December 27, 2025, from N319.80 in January 2024.
The increase boosted the company’s market cap to N8.07 trillion, showing a gain of N2.689 trillion.
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BUA Cement’s performance
BUA Cement also announced a robust performance with revenues hitting N876 billion, representing a 90.8% increase from N459 billion in 2023.
The company’s after-tax profit increased to N73.9 billion, a 6,4% increase from N69.4 billion in the same period in 2023.
BUA Cement’s stock price dipped by 8.8% in 2024, closing at N93 per share from N102.
Lafarge Africa’s profit rises
Lafarge Africa announced a revenue increase of 71.8%, reflecting a N696.7 billion profit in 2024, from N405.5 billion in 2023.
Last year, the cement maker, which is undergoing acquisition from Huaxcin Cement Company, China, saw its stock price rise by 120.1% to close at N69.34 per share, from N31.50.
The company’s market capitalisation rose to N1.17 trillion in December due to a bounce in its stock price.
Cement manufacturers adjust prices
Analysis by the Central Bank of Nigeria (CBN) Purchasing Manager Index (PMI) revealed that cement PMI increased to 60 percentage points, the highest since October 2024.
According to a BusinessDay report, the price of cement rose again, peaking at N7,500 per 50kg bag and N8,500, depending on the brand and location.
The price increase is the fourth time the commodity’s price rose from January to November, rising by almost 100% from N4,500 at the beginning of 2024.
Katsina billionaire begins cement production
Legit.ng earlier reported that Katsina-born Dahiru Mangal has completed a $1.5 billion cement plant in Moba, Kogi state, and rolled out the first cement from the facility.
The Mangal Cement Company Limited officially commenced business to rival the big players such as Dangote, BUA, and Lafarge cement.
The facility will produce about 200 cement trucks daily, which analysts say will create direct and indirect jobs.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
