Lafarge Africa’s Nine-Month Profit Triples to N208bn Ahead of Huaxin Cement Takeover
Lafarge Africa Plc, one of Nigeria’s largest cement producers, has reported a more than threefold increase in earnings for the
- Strong sales, cost discipline, capacity expansion drive performance
Lafarge Africa Plc, one of Nigeria’s largest cement producers, has reported a more than threefold increase in earnings for the first nine months of 2025 amid the acquisition of its majority stake by Huaxin Cement.
The group’s after-tax profit surged to a record high of N207.8 billion from N60.1 billion in the same period of 2024, according to its latest financial statements released on Wednesday.
The company’s market value stood at N2.23 trillion on the Nigerian Exchange Limited as of Wednesday.
Net sales rose to N263.5 billion from N183.9 billion, while operating profit more than doubled to N298 billion, “supported by cost optimisation measures, stronger demand, and higher capacity utilisation” across its Nigerian plants, the company said.
“Building on the performance from previous quarters, Q3 results showcase our cost discipline, strategic market positioning, unwavering commitment to value creation, and strong operational efficiency — demonstrated by a seven percent year-on-year improvement in capacity utilisation,” said CEO Lolu Alade-Akinyemi.
He added that the results reaffirmed the company’s resilience, driven by sustained volume growth, operational excellence, innovative product offerings, and an agile response to market opportunities.
“As we look ahead, we remain attentive to the dynamic macroeconomic environment and confident that our strategic focus positions us to seize emerging opportunities, drive sustainable growth, and deliver lasting value,” Alade-Akinyemi said.
The results come as Holcim Group finalises the sale of its 83% stake in Lafarge Africa to China’s Huaxin Cement Co. Limited, in a $1 billion deal, marking one of the most significant foreign acquisitions in Nigeria’s industrial sector this year.
The transaction — which also includes plans for Huaxin to acquire the remaining Holcim shares by 2026 — positions the Chinese cement giant to challenge the dominance of Nigerian tycoons Aliko Dangote and Abdul Samad Rabiu in Africa’s largest cement market.
The deal gives Huaxin control of four Nigerian cement plants — Sagamu, Ewekoro, Ashaka, and Mfamosing — with a combined annual capacity of 10 million tonnes.
For Huaxin, a Hubei-based company founded in 1907 that only entered the African market in 2020, the acquisition represents a major step in its regional expansion strategy.
Nigeria’s cement demand has grown steadily to around 30 million tonnes annually, driven by infrastructure development and rapid urbanisation — trends that continue to support the sector’s profitability despite inflationary pressures and high energy costs.
