Top 3 Cement Makers in Nigeria Announce Over N1.6trn Profit
- New data show that Nigeria's top cement makers recorded substantial profits in 2025.
- BUA Cement Plc outperformed its peers to become the most profitable cement company
- The surge in profitability recorded comes amid rising cement prices in Nigeria
Legit.ng journalist Dave Ibemere has experience in business journalism, with in-depth knowledge of the Nigerian economy, the stock market, and broader market trends.
Three cement producers listed on the Nigerian Exchange Limited (NGX), Dangote Cement Plc, BUA Cement Plc, and Lafarge Africa Plc, generated a combined revenue of over N6.53 trillion in 2025.
The figures represent an increase from N4.91 trillion in 2024.
Source: Getty Images
Also, their combined after-tax profit rose 142% to N1.65 trillion, compared with N677 billion the previous year.
The strong performance comes on the back of cement price increase from average of N6,000 to above N10,000 per bag.
Breakdown of cement sales
An analysis by Legit.ng shows that BUA Cement recorded the highest net profit margin among the three companies, rising to 30.43% in 2025 from 8.33% in 2024.
The company’s audited financial results released on the NGX showed that revenue rose to N1.2 trillion, up from N876.5 billion in 2024.
Cost of sales was reported at N575.263 billion, slightly lower than N576.203 billion in the previous year, while operating profit jumped 249.6% to N504.554 billion, up from N144.304 billion in 2024.
Profit before tax increased by 367% to N465.276 billion, compared with N99.630 billion a year earlier. Profit after tax reached N356.038 billion, surpassing the N73.909 billion posted in 2024.
Earnings per share also climbed to N1,051 from N218, representing a 381.7% increase.
Other top cement makers posted the following net profit margins:
Lafarge Africa
Lafarge's profit recorded a 53% increase in net sales in 2025, reaching N1.066 trillion, compared with N696.758 billion in 2024. Higher sales volumes, improved plant performance, and stronger distribution operations drove the growth.
Operating profit climbed to N392 billion, representing a 103% increase, supported by rising revenue and ongoing efforts to improve efficiency and manage costs.
The company’s profit after tax also rose significantly, jumping 173% to N273 billion in 2025, reflecting strong revenue growth from higher volumes, tighter cost control across its operations, and improved financial management.
Dangote Cement
Dangote Cement Plc reported a pre-tax profit of N1.53 trillion for the year ended December 31, 2025, marking a 109% increase from N732.54 billion recorded in 2024. The growth was supported by higher revenue and a sharp decline in finance costs.
The figures were contained in the company’s audited full-year 2025 financial results, submitted to the Nigerian Exchange Limited over the weekend.
Profit after tax rose to N1.01 trillion, more than double the N503.25 billion posted a year earlier. Earnings per share also increased to N59.86, up from N29.74 in 2024.
The board has recommended a dividend of N45.00 per share for the 2025 financial year.
Source: Getty Images
Cement makers stock performance
Investor confidence in Nigeria’s cement sector remains strong based on data from the Nigerian exchange from January to March 3, 2025:
- Lafarge Africa shares surged 54.3%, from N134.5 to N210.
- Dangote Cement shares gained 33%, from N609 to N809.9.
- BUA Cement shares rose 22.7%, from N178.5 to N219.
Industry context
According to the National Bureau of Statistics (NBS), the cement sector grew by 4.68% in Q3 2025, up from 2.6% in Q3 2024.
A report by policy think tank Agora Policy highlighted that despite Nigeria achieving self-sufficiency in cement production, domestic prices remain high due to weak competition and market concentration, even as exports remain cheaper than local sales.
The report stated:
“Producers attribute high domestic prices to taxes, energy costs, transport challenges, and financing constraints, arguing that exports are cheaper due to exemptions from certain levies."
Dangote explains why his cement is cheaper outside Nigeria
Legit.ng reported that Nigerian billionaire industrialist Aliko Dangote has explained why cement produced by his company is often cheaper abroad than in Nigeria, attributing
According to Dangote, the price difference is due to Nigeria's high taxes and regulatory burdens.
He stated that these fiscal policies significantly inflate domestic prices, forcing local consumers to bear the cost of structural inefficiencies.
The billionaire noted that these exemptions allow Nigerian cement to compete effectively with international producers from Turkey, Russia, and China. Domestic manufacturing alone, he said, cannot fully resolve high pricing for Nigerians.
Source: Legit.ng
