Dangote Sugar Refinery Plc, a Lagos-based sugar producer controlled by Africa’s richest man Aliko Dangote, returned to profit in the first half of 2026 after lower production and finance costs offset weaker revenue. The company posted a profit of N41.51 billion ($30.4 million) for the six months ended June 30, reversing a loss of N24.27 billion ($17.8 million) a year earlier, according to its recently released financial statements.

Cost discipline boosts operating profit

Revenue declined to N391.85 billion ($287.2 million) from N430.21 billion ($315.3 million). Even so, lower operating costs lifted profitability across the business. Gross profit rose to N93.85 billion ($68.8 million) from N51.68 billion ($37.9 million), while operating profit increased to N91.99 billion ($67.4 million) from N38.09 billion ($27.9 million). The improvement came as the cost of sales fell to N298 billion ($218.4 million) from N378.53 billion ($277.3 million), while finance costs declined to N50.42 billion ($37 million).

The results point to tighter cost control despite softer sales. Wholesale 50-kilogram sugar remained the company’s largest source of revenue, generating N381.6 billion ($280 million) during the period and continuing to account for most of its sales. Lagos remained Dangote Sugar’s biggest market, contributing N223.13 billion ($163.5 million), reflecting sustained demand from one of Nigeria’s busiest commercial centers.

Assets approach N1 trillion milestone

Dangote Sugar supplies sugar to retail customers as well as manufacturers in the food, beverage and pharmaceutical industries. Its operations span regional markets across Lagos, the North, West and East, while the company continues to invest in its Backward Integration Project through Dangote Taraba Sugar Ltd., Dangote Adamawa Sugar Ltd. and Nasarawa Sugar Company Limited as it works to expand local sugar production.

Aliko Dangote, Africa’s richest man, remained the company’s largest shareholder with a 72.25 percent stake, representing 8,775,541,295 shares. Dangote Sugar ended the first half with total assets of N917.18 billion ($672.1 million), while shareholders’ equity increased to N170.62 billion ($125.1 million) from N129.08 billion ($94.6 million) at the end of 2025. The company also narrowed its accumulated losses, improving its retained earnings position to negative N148.25 billion ($108.6 million) from negative N189.78 billion ($140 million) at year-end.