Nigeria’s largest producer of sugar, Dangote Sugar Refinery, has reported profit before tax of N11.95 billion for the three months ended March 31, 2021. According to the company’s unaudited financial reports for the period under review, the amount represents an increase of 25.6 per cent compared to N9.5 billion posted in the corresponding period in 2020.
Profit after tax for the period increased by 30.3 percent to N8.30 billion in contrast to N6.37 billion recorded in 2020, reflecting management’s unrelenting drive to deliver consistent shareholder value.
Group sales volume increased in the quarter by 5.7 per cent to 200,510 tonnes. Growth in sales volume is attributable to sustained efforts to drive customer base expansion, several trade initiatives, and investments. Group production volume also increased by 4.3 per cent to 200,783 tonnes compared to 192,584 tonnes in 2020. The increase came from operations optimisation strategy despite the challenges of the Apapa traffic situation.
According to the result, Group revenue increased to N67.39 billion indicating an increase of 41.5 per cent over N47.64 billion. Growth in revenue advanced ahead of volume growth due to pricing benefits.
Commenting on the Company’s 1st quarter 2021 performance, the Group Managing Director/CEO, Ravindra Singhvi, said: “We commenced the year on a fair footing as our 1st quarter 2021 financial results show our commitment to delighting our customers and consumers with high quality products and delivering value for all stakeholders. The health and safety of our people and partners remains our priority. Our refineries in Apapa and Numan continue to operate ensuring the health and safety protocols are upheld and our commitment to the environment is sustained. We have experienced improved yield from our sugar cane plantations and continue to partner with our out growers for the supply of sugar cane for production.