Africa’s richest man Aliko Dangote gains $915 million in Q1 2022

Omokolade Ajayi -

Aliko Dangote, Africa’s richest man and leading industrialist, saw his net worth increase by more than $915 million in the first quarter of 2022, surpassing the $20-billion valuation in the first three months of 2021.

Since the start of the year, Dangote’s net worth has increased from $19.1 billion at the beginning of 2022 to $20 billion at the time of drafting this report, cementing his position as not the only wealthiest man in Nigeria, but as the richest man in Africa.

The surge in his fortune can be linked to a single-digit increase in the market value of his stake in Dangote Cement Plc, as shares in the leading cement company surged 6.4-percent from N257 ($0.618) at the beginning of the year to N273.5 ($0.658).

In addition to the recent wealth gains, the billionaire is on course to pocket N293 billion ($704.1 million) in dividends from his majority stake in the cement behemoth.

The $704.1-million dividend that the African billionaire is set to receive from the group’s bulk dividend payout of N340.81 billion ($819.2 million) will be paid directly into his account from the cement company’s retained earnings of N868.3 billion ($2.1 billion).

At the end of 2021, the cement behemoth posted a 33-percent increase in profit, from N276.06 billion ($663.5 million) in 2020 to N364.4 billion ($875.9 million) by the end of 2021, attributable to impressive top-line growth and the management’s sound cost-cutting strategies.

The robust growth in earnings was triggered by a 33.8-percent increase in revenue from N1.03 trillion ($2.47 billion) to N1.38 trillion ($3.31 billion), driven by an increase in sales from 25.72 million tonnes to 29.27 million tonnes and pricing gains from the surge in the price of cement.

Aside from the recent wealth gains, the African billionaire had a very exciting first quarter as his $2.5-billion granulated urea fertilizer plant was commissioned on March 22.

Research revealed that the plant, which can be described as Africa’s largest granulated urea fertilizer complex adds a total of $5.15 billion to Dangote’s net worth.