HBM Nigeria profit jumps 57% to N208bn on higher cement sales

HBM Nigeria Plc recorded a 57 per cent increase in profit after tax to N208 billion in the first half of 2026, driven by higher cement sales volumes, improved operational efficiency and disciplined cost management.

The company, formerly Lafarge Africa Plc, also posted a 31 per cent rise in net sales during the six months, supported by an 11 per cent increase in sales volume, stronger distribution efficiency and improved operational stability. Operating profit climbed 51 per cent to N291 billion, while operating margin improved to 43 per cent from 37 per cent recorded in the corresponding period of 2025.

Commenting on the performance, Group Managing Director and Chief Executive Officer, Lolu Alade-Akinyemi, said the results reflected the company’s resilient business model and effective execution of its strategic priorities despite prevailing macroeconomic challenges.

He attributed the growth to disciplined cost management, operational excellence and prudent financial management, adding that the company remained focused on improving supply reliability, strengthening cost leadership, driving innovation and advancing sustainability initiatives.

Alade-Akinyemi disclosed that HBM Nigeria had commenced engineering design for its planned three-million-tonne integrated cement production line in Calabar, describing the project as a major milestone in expanding the company’s manufacturing capacity.

According to him, the project is progressing through the necessary development processes, with completion expected within 12 months after construction begins.

On the outlook for the industry, he said demand for cement in Nigeria remained positive, supported by ongoing infrastructure development, rapid urbanisation and sustained activities in the construction sector.

He said the company would continue to pursue volume growth opportunities while maintaining cost discipline and operational excellence to sustain profitability and create long-term value for shareholders and other stakeholders.