Business
Update: Dangote Cement gross revenue soars by 29 percent – on track to dominate African market
The company’s trade and other receivables in the 9 month period through September 2013 rose by 75 percent Year-on-Year to US$54 million, from US$31 million as at the third quarter in 2012.
Shares in the Dangote Cement Company closed at US$1.16 as at November 15 2013 representing a capital gain of 57.4 percent Year-to-date.
Investors are willing to pay more for the company’s sales as the price to sales ratio stood at 10.5 which is the highest ratio in the cement industry.
Dangote Cement had a market capitalization of US$18.9 billion as at November 15 2013 making it the biggest quoted company on the Nigerian Stock Exchange (NSE) and by extension West Africa.
The company can further increase its share of the market as its Cement sales are increasing faster than nominal gross domestic product (GDP) growth rates.
Nigeria’s real GDP grew at 6.81 percent in the third quarter of 2013 while nominal GDP (real GDP +inflation) rose by 14.98 percent in the second quarter, however Dangote Cement product sales grew by 29 percent.
About Dangote Cement: Dangote Cement is a publicly traded cement manufacturer based in Nigeria. A subsidiary of the Dangote Group, founded and led by Aliko Dangote, it is the largest company traded on the Nigerian Stock Exchange.
