Dangote Petroleum Refinery is heading for what could be Africa’s biggest-ever stock market offering after reporting a record N19.13 trillion ($13.91 billion) in first-half revenue, giving investors a compelling earnings story to weigh against its ambitious valuation.
Revenue more than doubled, surging 121.46 percent from N8.64 trillion a year earlier, as the refinery moved into stable, full-capacity production across its processing units from March. Throughput climbed further during June, when the facility achieved performance-testing rates of as much as 700,000 barrels a day.
The stronger operating performance translated into a dramatic improvement in profitability. Gross profit jumped to N3.43 trillion in the first half from N225.2 billion a year earlier. Net profit reached $1.82 billion, while earnings before interest, taxes, depreciation and amortisation stood at $2.60 billion.
The results provide a substantial earnings foundation for Dangote Refinery’s planned initial public offering, which is set to become one of the largest equity offerings ever seen on the continent.
The company is preparing to offer 4.1 billion ordinary shares at N525 each, seeking to raise N2.15 trillion between Sept. 14 and Oct. 13. If completed, the offering would dwarf previous equity listings on the Nigerian Exchange and give the market its largest new source of investable assets in years.
