Dangote Sugar Refinery reports N26.70bn profit for 2020

By Kayode Tokede

Dangote Sugar Refinery Plc has reported 33.2 per cent growth in profit to N29.78billion in audited results for year ended December 31, 2020 as against N22.36billion reported in audited results for year ended December 31, 2019.

The management of Dangote Sugar Refinery proposed dividend of N1.50k per ordinary share (2019: N1.10k) which awaits shareholders approval at the forthcoming Annual General Meeting (AGM).

From the profit 7 loss figures, the company reported 53 per cent increase in profit before tax to N45.6billion in 2020 from N29.82billion reported in 2019.

The Sugar refinery company also reported N214.3 billion revenue in 2020, 33.03per cent increase when compared to N161.09billion reported in 2019.

The company reported 43.5 per cent increase in total assets to N278.03billion in 2020 as against N193.71billion in 2019.

Dangote Sugar Refinery was established in 1999 and commenced its sugar business in the year 2000 as a division within the Dangote Group held through its holding company, Dangote Industries Limited (DIL). Following a strategic decision of DIL to unbundle its various operations, DSR was incorporated as a public limited liability company in 2005.

The restructuring was completed in January 2006, following the court sanction of the scheme of arrangement wherein all the assets, liabilities and undertakings of the erstwhile sugar division of DIL were transferred to DSR.

The principal business activity of DSR is the refining of raw sugar to produce fortified and non-fortified granulated white sugar. The Company distributes refined white sugar to consumers and industrial customers in Nigeria and exports its products to other West African countries, benefitting from the strategic location of its refinery in Apapa near the largest port in Nigeria.

DSR has its Headquarters in Lagos, Nigeria and has installed capacity of 1.44 million metric tons (MT) per annum with expansion plans in place.