The Chairman of Lafarge Africa Plc, Mr Adebode Adefioye, has said an improvement in real estate investments by private sectors as well as an increased government expenditure on infrastructure contributed to the significant increase in the company’s volume growth last year.
According to him, the cement firm benefited from these improved market conditions with volume and price growth as net sales rose by 27.1 per cent to N293.1 billion when compared with the previous fiscal year and a 65.4 per cent rise in profit after tax to N51 billion.
Speaking at the 63rd Annual General Meeting (AGM) of the company in Lagos, he said, “The positive impact of increased net sales, moderated cost of sales, selling, distribution and administrative expenses amidst inflation and devaluation pressures resulted in improved margins recorded for the year.”
He disclosed that apart from the macro-economic conditions, the team also put in place some strategies to take advantage of the rising demand for cement across the country.
“Through effective governance frameworks, assessments, as well as monitoring and evaluation, we are entrenching a culture of ownership, ethics and corporate responsibility in our activities.
“We also continue to pursue and leverage strategic partnerships that help sustain value and with a positive impact on our stakeholder groups.
“We are providing thought leadership initiatives to strengthen our voice and position as a foremost company in Nigeria committed to Environmental, Social and Governance (ESG),” he stated.
Mr Adefioye said the impressive performance of Lafarge Africa in the 2021 accounting year resulted in the payment of N2 total dividend to shareholders for their confidence in the company.
This was corroborated by the Country CEO of Lafarge Africa, Mr Khaled El Dokani, who stated that, “Our 2021 result was a record one and the PAT also was the best profit declared in a decade.
“Our top-line was mainly driven by volume growth, as well as the price improvement that we have noticed throughout the year, both have contributed to the improvement on our topline compared to last year.”
“In 2021, the cement demand was fairly good, I believe the country showed extreme commitment towards developing the infrastructure across the board,” he said, noting that “Our journey has been one of resilience, integrity and innovation, as we strive to meet the needs of our customers while adapting to the changing economic situations and growing demand for sustainable practice in the construction industry. I sincerely thank the entire Lafarge Africa team for their contributions to these successful outcomes.”
Source : Business Post