Despite a surge in sales, the combined profit of cement manufacturers in Nigeria declined during the first three months of 2024, largely due to the devaluation of the naira. Dangote Cement Plc, BUA Cement Plc, and Lafarge Africa Plc collectively reported an after-tax profit of N135.5 billion in Q1, down from N151.2 billion in the same period last year. However, Dangote Cement bucked this trend, as its after-tax profit increased to N112.7 billion in Q1 compared to N109.5 billion in the same period of 2023.

Lafarge Africa’s after-tax profit declined to N5.19 billion from N14.9 billion, while BUA Cement’s earnings fell to N17.9 billion from N26.8 billion.

Despite facing challenges such as elevated costs and currency depreciation, Dangote Cement’s CEO, Arvind Pathak, expressed satisfaction with the company’s performance. He highlighted significant revenue growth and increased operational volumes, particularly in Nigeria and across Africa.

Lafarge Africa’s CEO, Lolu Alade-Akinyemi, attributed the decline in profit to foreign exchange losses resulting from naira devaluation but emphasized the company’s commitment to delivering sustainable value in the long term.

The recent depreciation of the naira has affected businesses across sectors, leading to increased costs and financial challenges for companies reliant on imports or foreign currency transactions.