The management of Dangote Cement Plc has released its 2017 Full Year results showing group revenue stood at N805.6 billion (+31% as against 2016) and Profit After Tax (PAT) of N204.3 billion (+43% as against 2016) are behind Bloomberg consensus’ N810.4 billion and N249.9 billion, respectively.
EBITDA anchored at N388.2 billion, +51% as against the 2016 figure, and ahead of the previous year’s N380.3 billion
Others like sales volume recorded 21.9 million tonnes lower by 7% as against 2016FY, and behind the 22.3 million tonnes estimated by analysts.
A dividend per share of N10.50 was proposed, equating to a yield of 4% on the latest price.
Nigerian revenue and EBITDA grew by 30% and 52% respectively, while net profit contracted by 17%. Sales volume was down by 16% while effective tax rate (ETR) was higher by 1200 bps.
Non-Nigerian revenue and EBITDA grew by 34% and 45% respectively, while loss after tax (LAT) reduced from N163 billion in 2016FY to N50.4 billion. Volume grew by 9%, gross and EBITDA margins improved, while ETR was lower by 200 bps.
For Q4-17, Group revenue and EBITDA grew by 16.8% y/y and 20% y/y respectively, while net profit contracted by 79% y/y.
PBT grew by 116% y/y, so the significantly higher effective tax rate of 84% (as against credit in Q4-16) was responsible for the earnings contraction.
Volume in Q4 grew by 3.7% y/y and 10.2% q/q.
In Nigeria, revenue and EBITDA grew by 15% y/y and 16% y/y respectively, while PAT fell by 84% y/y, also as a result of significantly higher effective tax rate of 84% (vs. a credit in Q4-16).
Nigerian volume was down by 4% y/y but grew by 12% from Q3-17.
Non-Nigeria revenue and EBITDA grew by 20% y/y and 180% y/y respectively, while loss after tax stood at N570 million as against N20.9 billion in Q4-16.
Non-Nigerian volume grew by 16% y/y and 9% q/q.