Dangote Cement Plc reported a 41.5 per cent increase in profit before tax to N1.47 trillion for the nine months ended September 30, 2026, supported by higher revenue, improved operating performance and a sharp decline in finance costs.
The cement manufacturer disclosed this in its unaudited financial statements filed with the Nigerian Exchange (NGX) on October 27, 2026.
Profit before tax rose from N1.04 trillion in the corresponding period of 2025, while revenue increased by 19.6 per cent to N3.77 trillion from N3.15 trillion, reflecting stronger earnings during the period.
Profit after tax grew by 31.2 per cent to N974.79 billion from N743.26 billion, while earnings per share increased to N58.37 from N43.82.
The growth in pre-tax profit outpaced revenue expansion, supported by a 57.8 per cent decline in finance costs to N120.80 billion from N286.04 billion in the corresponding period of 2025.
Operating profit increased by 27.8 per cent to N1.57 trillion from N1.23 trillion, while earnings before interest, tax, depreciation and amortisation (EBITDA) rose by 23.7 per cent to N1.77 trillion from N1.43 trillion.
Gross profit also increased by 27.7 per cent to N2.39 trillion from N1.87 trillion, as the gross profit margin improved to approximately 63.2 per cent from 59.2 per cent a year earlier.
The pre-tax profit margin expanded to about 39 per cent from 33 per cent, reflecting stronger operating performance and lower financing expenses.
Interest expense declined to N102.92 billion from N281.76 billion, while N30.96 billion was capitalised, leaving N71.96 billion recognised in the income statement. The reduction in finance costs helped offset higher net foreign exchange losses, which rose to N40.77 billion from N1.13 billion.
Production costs stood at N1.39 trillion, with fuel and power costs, the largest component, increasing by 2 per cent to N580.49 billion.
However, higher earnings did not translate into equivalent growth in profit after tax, as income tax expenses increased by 67.2 per cent to N497.71 billion from the previous year’s level. The effective tax rate rose to approximately 33.8 per cent from 28.6 per cent.
At the segment level, Nigeria remained the company’s largest revenue contributor, generating N2.67 trillion, up 22.5 per cent from the corresponding period of 2025. The domestic business recorded EBITDA of N1.60 trillion, accounting for approximately 90 per cent of group EBITDA before central costs.
Despite the revenue growth, profit for the period from the Nigerian segment increased by only 3.4 per cent to N849.40 billion.
Across its Pan-African operations, revenue rose by 12.6 per cent to N1.19 trillion, while operating profit increased by 64.4 per cent to N146.46 billion. However, the segment recorded a loss of N7.86 billion, compared with a profit of N182.73 billion a year earlier.
Selling and distribution costs increased by 23.6 per cent to N618.87 billion, driven partly by a 23.5 per cent rise in haulage costs to N489.29 billion.
The company’s balance sheet showed an improvement in its cash position, with cash and cash equivalents rising by 49.1 per cent to N592.67 billion from N397.57 billion at the end of December 2025.
Total financial liabilities declined by 31.4 per cent to N539.61 billion from N786.61 billion, while loans and borrowings fell to N477.77 billion from N707.53 billion. The company also repaid N209.61 billion in commercial paper during the period.
The combination of higher cash balances and lower borrowings moved the group from a net debt position of approximately N310 billion at the beginning of the period to net cash of about N115 billion.
Operating cash flow increased by 41.5 per cent to N1.83 trillion. During the period, Dangote Cement paid dividends of N753.85 billion and repaid loans amounting to N992.65 billion.
Total assets increased marginally to N6.15 trillion from N6.04 trillion, while shareholders’ funds rose to N2.68 trillion from N2.62 trillion.
However, current liabilities of N2.75 trillion exceeded current assets of N1.97 trillion, leaving the company with a current ratio of 0.72 times. Trade and other payables increased by 18 per cent to N1.50 trillion.
Capital commitments also rose significantly to N2.31 trillion from N1.12 trillion at the end of December 2025, indicating substantial funding requirements for planned investments and projects.
The group recorded a N160.44 billion loss from the translation of foreign operations, compared with a gain of N7.91 billion in the corresponding period of 2025. Consequently, total comprehensive income increased to N814.36 billion from N751.17 billion.
On the Nigerian Exchange, Dangote Cement shares closed at N1,341.90 on October 27, 2026, gaining 9.8 per cent during the session, with approximately 4.29 million shares traded.
The stock has gained about 120.3 per cent year to date from N609.00, outperforming its previous 52-week high of N1,189.
