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🇳🇬 Nigeria /Economy & Trade

Dangote Cement approves N45 dividend, targets 80m tonnes

From The Punch · () English

Summarized and contextualized by DistantNews.

At a glance

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  • Dangote Cement shareholders approved a final dividend of N45 per share, totaling N753.8bn, and reaffirmed the company's long-term strategy for African expansion.
  • The company is investing in production capacity, cleaner energy, and operational efficiency, including compressed natural gas trucks and waste-to-energy initiatives.
  • Dangote Cement plans to increase its production capacity from 55 million tonnes to 80 million tonnes by 2030, supported by investments in exports and logistics.

Shareholders of Dangote Cement Plc have approved a substantial final dividend of N45 per ordinary share for the 2025 financial year, amounting to N753.8 billion. This approval came during the company's 17th Annual General Meeting in Lagos, where the firm reiterated its commitment to aggressive expansion across Africa.

The key thing for this year’s AGM is transforming Africa. You will notice that our founder is trying to ensure he positions Africa to be the source of our own wealth, using our own wealth to take care of our own business and activities, rather than depending on investors from other parts of the world coming to help us build our continent.

— Dr Faruk UmarThe National President of the Association for the Advancement of the Rights of Nigerian Shareholders, commenting on the company's focus on continental independence.

The company's strategy centers on significant investments in production capacity, cleaner energy sources, and enhanced operational efficiency. The Chairman, Emmanuel Ikazoboh, highlighted the company's role in fostering self-sustaining industrial growth on the continent by utilizing local resources. The National President of the Association for the Advancement of the Rights of Nigerian Shareholders, Dr. Faruk Umar, praised the company's focus on continental independence, emphasizing the use of local wealth for African businesses.

This 50 per cent dividend increase may look like a rumble, but there is a lot of strategy that has gone behind it. Some of the most important strategies have focused on exports. We have grown in areas where we previously weren’t able to reach out because of past challenges. More things are in the pipeline, which are progressively getting implemented. We expect that we can continue the momentum that we have built over the last year into the forthcoming years as well.

— Dr Faruk UmarExplaining the strategy behind the dividend increase and future growth prospects.

Dangote Cement is intensifying efforts to reduce transportation and energy costs. This includes investments in compressed natural gas (CNG) powered trucks and the conversion of waste into energy for its manufacturing operations. The Group Managing Director, Arvind Pathak, stated that the company aims to increase its production capacity from the current 55 million tonnes to 80 million tonnes by 2030, aligning with the Dangote Group's Vision 2030.

We intend to grow from 55 million tonnes to 80 million tonnes.

— Arvind PathakThe Group Managing Director stating the company's production capacity expansion target by 2030.

Financial analyst Mr. Nornah Awoh commended the board's financial discipline, pointing to the deployment of 3,000 CNG trucks and a 50% reduction in bank borrowings as key factors driving profitability. The company's performance is underpinned by deliberate investments in exports, logistics, and operational efficiency, positioning it for continued momentum in the coming years.

First of all, you have to commend the company because we now h

— Mr Nornah AwohA shareholder and financial analyst commending the company's financial discipline.
DistantNews Editorial

Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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