Cement price surge drives strong H1 2026 earnings for Dangote, BUA, HBM Nigeria

Nigeria's three largest listed cement makers all reported higher revenue and profit in the first half of 2026, driven by rising prices, stronger sales volumes, and a more stable foreign exchange environment. Cement prices climbed from between N9,300 and N9,700 per bag in January to an average of N10,500 to N13,000, boosting revenues and profitability across the sector.

Dangote Cement: Profit rises 24.3%

Dangote Cement remained the sector's biggest earner, with profit attributable to shareholders rising 24.3% to N640.2 billion, up from N520.5 billion a year earlier. Revenue grew 21.4% to N2.51 trillion, profit before tax jumped 34.4% to N981.4 billion, and EBITDA expanded 25.8% to N1.19 trillion.

Nigeria drove over 90% of consolidated profit. Domestic revenue hit N1.81 trillion, operating profit crossed N1 trillion, and total cement and clinker sales reached 14.94 million tonnes for the period. Pan-African operations were a different story. Regional revenue grew 13.7% and operating profit rose 36.2%, but net segment profit collapsed by nearly 98% to N2.8 billion. A N45 billion foreign exchange loss in the second quarter and persistent hyperinflation in Sierra Leone were the main drags.

HBM Nigeria: Net profit jumps 57%

HBM Nigeria, formerly Lafarge Africa, posted one of the strongest earnings performances among the majors. Revenue was up 31%, operating profit rose 51% to N291 billion, and net profit surged 57% to N208 billion. Operating margin expanded to 43% from 37%.

Management attributed the results to double-digit volume growth, improved plant reliability, better distribution efficiency, and disciplined cost management. Sales volumes increased 11%, showing that efficiency gains more than offset higher operating costs. HBM has also commenced engineering design work for a 3-million-tonne integrated cement plant in Calabar, which will become its third production line. Management expects demand to stay supported by infrastructure projects, urbanisation, and construction sector activity.

BUA Cement: FX gains boost earnings

BUA Cement recorded a N16.57 billion foreign exchange gain, compared with just N782.8 million in the same period last year, reversing the heavy exchange-rate losses seen after the naira's sharp depreciation. Net finance costs fell sharply to N3.41 billion from N31.37 billion a year earlier. Finance income climbed to N18.73 billion as interest income increased.

Cash generation was strong. BUA generated N278.45 billion in operating cash flow and invested over N60.67 billion in capital expenditure. Property, plant and equipment rose to N1.22 trillion, with projects under construction reaching N183.86 billion. The company is increasing installed capacity from 17 million tonnes to 20 million tonnes annually, including a new greenfield cement plant in Ososo, Edo State.

What it means for the naira, consumers, and Nigerian businesses

The results show that Nigeria's cement industry remains resilient. All three producers reported higher sales volumes, pointing to sustained demand from infrastructure, housing, and commercial construction. Capacity expansion across the board signals medium-term confidence. But consumers and small businesses face continued pressure from elevated cement prices, which are likely to keep construction costs high. A more stable forex environment has helped some firms, but currency risks in other African markets remain a threat to broader earnings.