Another Dangote Company Grows Profits by over 500% As Revenue Surges In Q1, 2025
- Dangote Group is seeing more of its subsidiaries report impressive financial performance for 2024
- Nascon Allied Industries Plc, which is 62% owned by the Dangote Group, has reported more than 500% growth in profit
- The first quarter report shows that shareholders could earn significantly more returns this year, compared to past years
Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.
One of the companies belonging to the Dangote Group Limited, Nascon Allied Industries Plc, has announced an impressive 77% revenue growth in the first quarter of 2025.
The company’s revenue in the quarter came up to N41.9 billion, an impressive 77% growth from the N23.6 billion reported in Q1, 2024.
The company’s unaudited financial statement recently filed on the Nigerian Exchange Limited (NGX) reveals a similar 60% growth in gross profit from N11.2 billion to N17.9 billion.
Source: Getty Images
Operating expenses increased slightly from N4.99 billion to N5.12 billion, while the cost of sales went from N12.46 billion in Q1 2024 to N23.96 billion in Q1 2025.
Administrative expenses also increased from N1.43 billion in Q1 2024 to N2.06 billion in Q1 2025, due to major investments made into human resources and technology.
Operating profit grows by 585%
Nascon also reported a major surge in its operating profit, growing from N1.78 billion in Q1 2024 to N10.42 billion in Q1 2025, the PUNCH reports.
This reflects a sharp growth in the company’s ability to convert its revenue into earnings, and effect costs control measures to improve efficiency.
The company also posted a major growth in Profit before Tax, from N1.84 billion in Q1 2024 to N11.31 billion in Q1 2025, while Profit after tax also grew from N1.23 billion to N7.58 billion in both periods.
The increased profits also show in its taxes, where the company went from paying N606.87 million in Q1 2024 to N3.73 billion in Q1 2025.
Dangote group, other shareholders to earn more
Retained earnings also grew from N26.95 billion as of Q1 2024 to N48.85 billion by the end of Q1 2025, while total equity rose from N28.7 billion to N50.63 billion.
Nascon Allied Industries is overall in a better fiscal position with assets up from N84.8 billion to N90.8 billion; and liabilities down from N56.1 billion to N40.18 billion by end of Q1 2025.
Borrowings reduced from N3.93 billion to N1.11 billion in 2025, while the company earned higher interests from its investments at N1l1 billion up from N418.7 million in 2024.
The report declared basic and diluted earnings per share up from N1.86k in Q1 2024 to N3.74k in 2025, showing increased profitability.
As the Dangote Group owns about 62% shares in the company, this translates into more earnings for the group in 2025, to moderate earlier losses reported.
Recall that plans to merge NASCON with Dangote Sugar Refinery were suspended due to regulatory issues.
Source: Getty Images
Nascon’s profits soar
Cashflow improved, and the company invested N339.5 million into purchasing equipment, plant and property, and another N103.9 million on lease liabilities for the quarter.
Nascon also paid about N125.8 million in interest on money borrowed, while repaid borrowings for the period came up to N1.72 billion.
Nascon earlier reported a 49% growth in revenue for the 2024 financial year.
NASCON, others pay over N400 billion in taxes
Legit.ng earlier reported that three of Dangote's companies, including Nascon, Dangote Cement and Dangote Packaging limited paid over N400 billion taxes.
The taxes were pai in the 2024 financial year, and makes Dangote Group one of Nigeria's highest tax payers.
The group is also Nigeria's highest employer of labour in the private sector, and across several industries.
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