Lafarge Africa Reports N15.517bn Profit in 2019

• Lafarge Africa Reports N15.517bn Profit in 2019

Lafarge Africa Plc has reported a N15.517 billion profit after tax from continuing operations.

The company declared a gross profit of N55.952 billion, down from N67.112 billion reported in the corresponding period of 2018.

In the financial statements released on the Nigerian Stock Exchange (NSE) website, the company’s operating profit dropped from N38.528 billion recorded in 2018 to N34.910 billion in 2019.

Profit before minimum tax from continuing operations rose from -1.509 billion in 2018 to N17.892 billion.

While profit after minimum tax from continuing operations rose from N8.097 billion filed in 2018 to N15.517 billion in 2019.

Speaking on the performance, Khaled El Dokani, CCEO of Lafarge Africa, said: “Our turnaround and cost-reduction strategy in FY 2019 and the divestment of the South African business, have delivered strong results. The decrease in net debt has significantly strengthened our balance sheet and has placed us in a vantage position to face the future.”

“As the Coronavirus (COVID-19) pandemic now impacts Nigeria, Lafarge Africa has taken the necessary measures to protect the health of its employees, customers, suppliers and other stakeholders.

“The construction sector and construction sites are generally more resilient than other sectors and Lafarge Africa has a strengthened balance sheet and is well equipped to weather the storm. However, we are closely monitoring the evolving situation and the impact of the COVID-19 pandemic on the Nigerian market.

“The Nigerian cement industry growth momentum is expected to slow down in FY 2020 compared to 2019 on the back of the COVID-19 pandemic and the challenging global macro-economic environment.

We have launched an action plan “HEALTH, COST & CASH” and will continue to focus on the implementation of our cost optimisation initiatives during this period to minimise the impact on the business.”