The H1:2019 revenue for Lafarge Africa contracted by 1.23% YoY to NGN160.30bn, stemming from a weaker top-line recorded in Q1:2019. Volumes of cement sold increased by 104Kt (+3.24% YoY) to print 3.31Mt in H1:2019. At a disaggregated level, Lafarge logged an increase in volume sales in its Nigeria and South Africa operation (LSAH) with respective growth of 2.46% and 6.57%. However, the ReadyMix segment, which contributes c.17% gave a negative impression on total revenue with respective 8.69% and 3.61% decline in volume and revenue. The Q2:2019 standalone figures were the main comfort to the half-year result as it concealed the unimpressive performance of the first quarter. Analysis of the volume showed that despite the subsisting macroeconomic challenges in S/Africa, LSAH recorded an impressive volume growth of 15.12% YoY compared to a decline of 1.26% in the first quarter, while volume from Nigeria grew modestly by 3.26%. However, intense competition as a result of additional capacity in Nigeria and demand slag in S/Africa pressured the average price in both markets by way of discounted pricing and other promotional offers to customers. Thus, revenue inched marginally by 0.17% YoY and 4.17% QoQ to NGN81.78bn. Kindly find attached the full report.
Earnings Update- WAPCO: H1 2019.
The H1:2019 revenue for Lafarge Africa contracted by 1.23% YoY to NGN160.30bn, stemming from a weaker top-line recorded in Q1:2019. Volumes of cement sold increased by 104Kt (+3.24% YoY) to print 3.31Mt in H1:2019. At a disaggregated level, Lafarge logged an increase in volume sales in its Nigeria and South Africa operation (LSAH) with respective growth of 2.46% and 6.57%. However, the ReadyMix segment, which contributes c.17% gave a negative impression on total revenue with respective 8.69% and 3.61% decline in volume and revenue. The Q2:2019 standalone figures were the main comfort to the half-year result as it concealed the unimpressive performance of the first quarter. Analysis of the volume showed that despite the subsisting macroeconomic challenges in S/Africa, LSAH recorded an impressive volume growth of 15.12% YoY compared to a decline of 1.26% in the first quarter, while volume from Nigeria grew modestly by 3.26%. However, intense competition as a result of additional capacity in Nigeria and demand slag in S/Africa pressured the average price in both markets by way of discounted pricing and other promotional offers to customers. Thus, revenue inched marginally by 0.17% YoY and 4.17% QoQ to NGN81.78bn. Kindly find attached the full report.