First Quarter: Dangote Sugar Refinery Posts N12bn Profit
Amidst the economic headwinds, Dangote Sugar Refinery (DSR) Plc has reported improved performance for the first quarter (Q1) ended March 31, 2021.
The unaudited results showed a revenue of N67.394 billion in 2021, up from N47.643 billion posted in the corresponding period of 2020.
Profit before tax (PBT) printed at N11.95 billion, indicating a growth of 25 per cent from N9.509 billion. Profit after tax (PAT) grew faster by 30 per cent to N8.302 billion compared with N6.372 billion in 2020 reflecting management’s unrelenting drive to deliver consistent shareholder value.
Group sales volume increased in the quarter by 5.7 percent to 200,510 tonnes. Growth in sales volume was 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.
Commenting on the results, the Group Managing Director/CEO of DSR Plc, Ravindra Singhvi, said: “We commenced the year on a fair footing as our Q1 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 outgrowers for the supply of sugar cane for production.”
According to him, amidst the protracted socio-economic uncertainties occasioned by COVID-19 pandemic and heightened insecurity during the quarter under review, they have continued on the growth path, as their talented and dedicated team have enabled us to mitigate some of the adverse impacts of the worsening traffic gridlock in Apapa and other macroeconomic head winds.
“We remain committed to the implementation of the “Dangote Sugar for Nigeria” Master plan as we continue to pursue our Backward Integration Projects.” DSR is Nigeria’s largest producer of household and commercial sugar with 1.44M MT refining capacity at the same location. Our refinery located at Apapa Wharf Ports Complex, refines raw sugar imported from Brazil to white, Vitamin A fortified refined granulated white sugar suitable for household and industrial uses,” he said.
SOURCE: THIS DAY