LAFARGE Cement Plc in its Q1 2021 unaudited results reported a profit of N17.55 billion during the period, representing a 92.18 per cent increase Year-on-Year.
The result revealed the company’s revenue was driven by growth in the company’s product categories. Meanwhile, revenue growth for the period was at 26.77 per cent year on year.
While sales of cement increased by 25.96 per cent and raked in N87.99 billion, sales of aggregates and concrete grew by 62.29 per cent, generating N2.52 billion during the period.
In the same vein, the sale of mortar increased by 60.41 per cent, to rake in N98.94 million.
The company also made money from income earned from short-term fixed deposit investments, raking in a total of N54.69 million.
Lafarge Cement Plc, however, grew its other income mainly from government grants, property disposal and sale scraps, rising 11.96 per cent to N165.66 million year on year.
Despite the growth in topline revenues, administrative expenses grew in double digits, subduing bottom-line profit. Selling and distribution expenses grew by 16.86 per cent, as the company improved on its advertising and campaign spending. Advertising expenses grew by 26.92 per cent while Campaign and Innovation expenses were recorded as N3.33 million compared to just N21,000 in the prior-year period.
In addition, the company’s total assets are now N535.64 billion, while net assets rose by 4.64 per cent to N396.12 billion. The company’s long-term loans and borrowings stood at N2.29 billion.
Commenting on the company’s Q1 2022 performance, the CEO of Lafarge Africa, said “Our Q1 2022 performance shows significant improvement over Q1 2021, with net sales of 26.8 per cent, recurring EBIT of 50.4 per cent and net income of 92.2 per cent”.
“Coming after our very strong FY 2021 results, our Q1 2022 performance confirms the continued growth trajectory of our business. We are equally pleased with the progress we are making on sustainability; our use of affordable clean energy and agro-ecology footprint is in accordance with our net-zero pledge journey”.
Lafarge Cement has earnings per share (EPS) for the period was at N1.09, a 91 per cent increase from N0.57 in Q1 2021. The company has paid its final dividend of N1.00 to its shareholders for the financial year ended December 31, 2021.
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