Dangote Cement Plc, Africa’s largest cement manufacturer, is embarking on an aggressive expansion strategy across the continent, including new ventures in South Africa, Senegal, and Ethiopia. This intensified push follows the company's unprecedented achievement of a record N1 trillion net profit in 2025, a doubling of the previous year's earnings and a historic milestone. The company's revenue also saw a robust increase of 20.3 percent, reaching N4.3 trillion, largely bolstered by strong performance in its domestic market.

Arvind Pathak, chief executive officer of Dangote Cement, expressed confidence in the company's growth trajectory, stating, "We are confident in our growth trajectory and our ability to capitalize on Africa’s robust cement demand fundamentals." The company plans to commission new capacity, including the significant 6 metric tonne per annum (Mta) Itori plant, and advance expansion projects in Ethiopia, Cameroon, South Africa, Zambia, and Senegal.

The remarkable profitability in 2025 was achieved despite a slight 0.9 percent decline in volumes to 27.5 million tonnes. This outcome underscores Dangote Cement's strategic focus on margin discipline, cost efficiency, and value creation. A key factor contributing to cost reduction and enhanced profitability was the company's strategic shift in its energy mix. In 2025, Dangote Cement transitioned to Compressed Natural Gas (CNG) technology, deploying over 3,000 full CNG trucks, which represents the largest fleet of its kind in Africa's cement industry. These CNG trucks reportedly delivered over 60 percent fuel cost savings compared to diesel, embedding sustainable structural advantages into the company's cost base.

"We are committed to converting our entire logistics fleet to CNG by 2027, a transformation that will further strengthen margins, enhance operational flexibility, and significantly reduce our carbon footprint," Pathak added.

This surge in profitability has directly translated into an improved shareholder return, with a proposed 50 percent increase in the company's dividend payout. Dangote Cement plans to distribute a final dividend of N45 per share, subject to necessary approvals and withholding tax.

Pan-African Expansion Through Strategic Partnerships

In parallel with its financial achievements, Dangote Cement Plc has solidified its continental ambitions through a significant agreement with Sinoma International Engineering. The two entities have signed deals for the construction of 12 new projects and the expansion of existing facilities across Africa, with an estimated investment exceeding $1 billion. This collaboration will see Sinoma International Engineering involved in the delivery of new plants, brownfield expansions, and modernization initiatives aimed at boosting operational performance in key markets.

The new projects include a new integrated line in Northern Nigeria with a satellite grinding unit, a new line in Ethiopia, and other projects slated for Zambia, Zimbabwe, Tanzania, Sierra Leone, and Cameroon. Within Nigeria, Sinoma will also undertake projects in Itori, Apapa, Lekki, Port Harcourt, and Onne.

Aliko Dangote, Founder and President of Dangote Group, highlighted that these projects are critical enablers for Dangote Cement's ambition to achieve 80 million tonnes per annum (MTPA) production capacity by 2030. This ambitious target aligns with the Dangote Group's broader Vision 2030, which aims to generate $100 billion in revenue within the same timeframe.

Emmanuel Ikazoboh, Chairman of Dangote Cement Plc, emphasized the strategic importance of these new projects in actualizing the Dangote Group's Vision 2030, stating they will increase the company's capacity and solidify its dominant position in Africa's cement industry. Arvind Pathak, Group Managing Director of Dangote Cement Plc, reiterated the company's commitment to growing its investments across African markets to bridge supply gaps and support the continent's infrastructural development. He added that Dangote Cement is dedicated to achieving self-sufficiency in cement production for Africa, fostering economic activities, and reducing unemployment.

These expansion plans are further supported by recent Gas Sales and Purchase Agreements (GSPA) with subsidiaries of the Nigerian National Petroleum Company Limited (NNPC Ltd), namely Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited (NGIC). This agreement guarantees the gas supply necessary for the adoption of CNG and to meet the increasing gas demand as production capacities are expanded in Nigeria, promoting cleaner fuel usage and enhanced production output.

Dangote Cement currently operates in multiple African countries, leveraging integrated plants, grinding facilities, and strategically located distribution hubs. Its ongoing projects include plant upgrades, capacity expansions, and the implementation of advanced, energy-efficient technologies designed to reduce operational costs and its carbon footprint.