HBM Nigeria Posts 57% Profit Growth

HBM Nigeria Plc delivered a strong financial performance in the first half of 2026, with profit after tax rising 57 per cent to ₦208.35 billion, supported by higher cement sales, improved distribution and effective cost management.

The company, formerly known as Lafarge Africa Plc, reported that revenue increased 31 per cent year-on-year to ₦678.41 billion, up from about ₦517 billion in the same period of 2025. Sales volumes also grew by 11 per cent, while operating profit climbed 51 per cent to ₦291 billion, lifting the operating margin to 43 per cent, compared with 37 per cent a year earlier. Profit before tax reached ₦317.73 billion.

The latest results continue the company’s strong earnings momentum following its impressive 2025 performance. Last year, while operating as Lafarge Africa Plc, the business recorded ₦1.07 trillion in revenue, while profit after tax surged 173 per cent to ₦273.1 billion from ₦100.1 billion in 2024. Operating profit also doubled to around ₦392 billion.

The figures suggest that HBM Nigeria is building on earlier operational improvements rather than relying only on higher prices. While revenue growth outpaced the increase in sales volumes, the stronger rise in operating profit reflects improved efficiency and tighter control of operating costs.

Group Managing Director and Chief Executive Officer Lolu Alade-Akinyemi credited the performance to disciplined cost management, operational excellence and prudent financial management. He said the company will continue improving supply reliability, strengthening cost leadership, driving innovation, advancing sustainability initiatives and maintaining high health and safety standards.

As part of its growth strategy, HBM Nigeria has started engineering design work for a third production line at its Calabar plant. The planned 3-million-tonne-per-annum integrated cement facility is expected to be completed within 12 months after construction begins, subject to the necessary development processes. The company currently has an installed production capacity of 10.5 million tonnes per annum across plants in Ewekoro, Sagamu, Ashaka and Mfamosing.

Management said demand remains supported by infrastructure projects, urbanisation and construction activity. “We plan to continue focusing on capturing volume growth opportunities while maintaining disciplined cost management and operational excellence to strengthen profitability and preserve margins,” Alade-Akinyemi said.

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