Lafarge Africa Posts 53% Revenue Surge, Signals Dividend Payout
Lafarge Africa Plc has delivered one of the most impressive financial performances in recent corporate history, reporting a 53% surge in revenue for the year ended December 31, 2025, crossing the ₦1 trillion revenue threshold for the first time in its operations. The remarkable results have prompted the company’s Board to propose a significant final dividend, reinforcing the firm’s commitment to shareholder value.
Historic Financial Performance in 2025
According to the company’s audited financial statement released to the Nigerian Exchange Limited (NGX), Lafarge Africa’s revenue climbed sharply from ₦696.8 billion in 2024 to about ₦1.07 trillion in 2025, representing 53% year-on-year growth.
- Profit Before Tax (PBT) surged by 170% to about ₦411.3 billion.
- Profit After Tax (PAT) jumped 173% to around ₦273 billion.
- Operating Profit more than doubled to ₦392.1 billion, up 103% year-on-year.
- Earnings Per Share (EPS) also improved significantly from ₦6.22 to ₦17.
These figures underscore strong operational efficiency, enhanced plant stability, and disciplined cost optimisation, which were key drivers behind the record results.
Management’s View: A Transformative Year
Lafarge Africa CEO Lolu Alade-Akinyemi described 2025 as a “historic turning point” for the company, crediting its success to a well-executed four-point strategy focused on volume-led growth and strategic cost management. According to him, achieving the ₦1 trillion revenue milestone reflects the company’s resilience, operational scale, and strategic clarity positioning it for continued growth in 2026 and beyond.
The CEO highlighted that improved plant reliability, retail expansion, and enhanced distribution efficiency were central to this performance, adding that Lafarge Africa’s focus remains on sustainable value creation and industry leading operations.
Expansion and Future Outlook
In support of future growth prospects, the company has announced expansion projects at its Ashakacem plant in Gombe State and Sagamu plant in Ogun State. Once completed, these upgrades are expected to boost combined production capacity to 14 million metric tonnes per annum (MMTpa) a strategic move to capture increasing demand in Nigeria’s construction sector.
Management also emphasized ongoing collaboration with Huaxin Building Materials Group, whose industrial expertise is expected to further strengthen operational performance and market competitiveness in 2026.
Dividend Boost Reflects Shareholder Commitment
Reflecting confidence in its financial strength, Lafarge Africa’s Board has proposed a final dividend of 600 kobo (₦6.00) per share for the 2025 financial year a five-fold increase from the 120 kobo paid in 2024.
The total dividend payout for 2025 is expected to be around ₦96.6 billion, subject to approval by shareholders at the upcoming Annual General Meeting (AGM), and will be paid to investors whose names appear on the company’s register by the cut-off date.
Industry analysts view the dividend increase as a strong signal of investor-friendly policies by Lafarge Africa’s leadership, aligning financial performance with shareholder returns. The improved dividend also underscores the firm’s robust cash generation capacity and market confidence following a remarkable year.
What This Means for Investors
For investors, the 2025 results reflect:
- Robust revenue growth and profitability across all major financial metrics.
- A strong operating foundation grounded in efficiency and stable production.
- Higher shareholder returns via an increased dividend payout.
With an optimistic outlook for 2026 supported by strategic expansion and operational improvements, Lafarge Africa appears positioned to sustain its growth trajectory while continuing to reward investors.
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