Lafarge Africa’s Net Income up by 11.2% to N44.9bn

Philemon Adedeji

Lafarge Africa Plc on the Nigerian Exchange Limited (NGX) in its nine months ended September 30, 2022 unaudited results announced 11.2 per cent increase in net income to N44. 9 billion from N40.39 billion reported in nine months of 2021.

The cement manufacturing company over the period delivered a revenue growth of 23.1 per cent to N269.855 billion in nine months of 2022 from N219.2 billion in nine months of 2021, over improved sales in cement.

The company reported N261.4 billion in revenue from sales of Cement in nine months of 2022, representing an increase of 22.43 per cent from N213.56billion reported in nine months of 2021.

Aggregates and concrete also recorded N8.0 billion revenue from N5.48billion in nine months of 2021, while revenue from ‘Other products’ closed the period under review at N384.1million from N157.67 million.

The CEO of Lafarge Africa, Khaled El Dokani in a statement said, “In Q3 2022, our Net Sales improved by 12.2 per cent over Q3 2021. The worsening exchange rate situation impacted our Cost of Sales, specifically key supplies indexed to the U.S dollar. This constrained our recurring EBIT growth.

“As a result, Q3 EBIT was 19.3per cent lower than last year. Without the FX impact, our Q3 EBIT improved by 8per cent vs last year.

“Our nine months of 2022 results underscore the Company’s resilience, with 23.1per cent growth in Net Sales, 17.5 per cent growth in EBIT and 11.2 per cent growth in Net Income. We remain committed to our sustainability ambitions by utilizing affordable clean energy in our operations and optimizing our green logistics strategy; among other initiatives that are in alignment with our net zero pledge journey.”

According to Dokani, “Stable demand is expected in Q4 2022 and we will continue to maximize volume opportunities across our markets and actively manage our costs through our efficiency initiatives.”