CSL Nigeria Daily - 29 April 2025

CSL Nigeria Daily - 29 April 2025
(Source: CSL RESEARCH, Date: 29-Apr-2025)

Dear Esteemed Client,

Cement Sector begins 2025 on a strong note.

The cement industry kicked off 2025 on a robust note, delivering impressive financial results in the first quarter. Total Revenue for all listed cement producers surged by 37.4% year-on-year (y/y) to ₦1.53 trillion, up from ₦1.12 trillion in Q1 2024. This topline growth was largely driven by price increases, although select players also achieved notable volume gains. Dangote Cement, the industry leader, played a significant role in the sector's strong performance. The company's Revenue rose by 21.7% y/y to ₦994.66 billion, up from ₦817.35 billion in Q1 2024, reinforcing its dominant market position. BUA Cement, the second-largest player, delivered remarkable Revenue growth of 80.5% y/y, reaching ₦290.82 billion from ₦161.13 billion. Similarly, Lafarge Africa reported an 80.3% y/y increase in Revenue to ₦248.35 billion, compared to ₦137.77 billion in the same period last year. These strong performances are consistent with our expectations.

Click here to download full report: "‹"‹"‹"‹"‹"‹CSL-Nigeria-Daily-29-April-2025-Cement.pdf"‹

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Media Highlights:

Non-oil export records 24.7% surge, hits $1.7bn

Nigeria's non-oil export sector recorded significant growth in the first quarter of 2025, with the total value hitting $1.791bn, the Nigerian Export Promotion Council disclosed on Monday. This marks a 24.7 per cent increase compared to the $1.436bn recorded in the same period of 2024, according to the Executive Director of the council, Nonye Ayeni. Speaking at a briefing on the council's latest performance report, Ayeni said the volume of non-oil exports also rose to 2.416 million metric tonnes, up from 1.937 million metric tonnes recorded in the corresponding period of 2024. She said, ...I am glad to inform you that Nigeria's non-oil products exported in the first quarter of 2025 were valued at $1.791bn. This is a 24.75 per cent increase over and above $1.436bn reported in the first quarter of 2024 Read more here"‹

OPEC Mulls Another Oil Output Raise for June

Several members of the Organisation of Petroleum Exporting Countries (OPEC) will suggest accelerating oil output hikes in June for a second consecutive month, three sources familiar with the matter have told Reuters. Oil prices fell to a four-year low in April, weakened by a US-China trade war and the unexpected decision by OPEC+, which brings together OPEC and other major producers such as Russia, to increase output by 411,000 barrels per day of oil in May. The figure was three times more than the group originally planned. Eight OPEC+ countries will meet on May 5 to decide the June output plan. Read more here"‹

FG urges NGX to support $1tn economy goal

The Federal Government has called on the Nigerian Exchange Group to play a pivotal role in helping Nigeria achieve its $1tn economy target by 2030. This call was made by the Minister of Industry, Trade and Investment, Jumoke Oduwole, during the "˜Closing Gong' ceremony held on Monday in Lagos. Oduwole emphasized the critical role the Nigerian capital market will play in driving the country's economic growth, particularly in achieving the $1tn economy goal set by President Bola Tinubu. She revealed that the ministry plans to collaborate with the capital market on key initiatives, including driving investment and attracting more Foreign Direct Investment into the country. She stated, ...We have set a target of $6bn this year, with $3bn expected from portfolio investors and the other half from FDI. This is in addition to the amounts already announced by the President, which we are tracking." Read more here

NNPCL under pressure as Warri refinery shutdown drags on, P'Harcourt refinery underperforms

Industry experts are questioning how well the Nigerian National Petroleum Company Limited (NNPCL) is managing the country's refineries, particularly regarding transparency and efficiency. This comes after learning that the Warri Refining and Petrochemical Company has been shut down since January 25, 2025, due to safety issues with its Crude Distillation Unit Main Heater. According to The Punch, an April 2025 document from the Nigerian Midstream and Downstream Petroleum Regulatory Authority revealed that the refinery, which cost $897.6 million in maintenance, failed to produce petrol and was shut down barely a month after former NNPC Group Chief Executive Officer, Mele Kyari, announced it was working. Read more here