Salt company of Africa’s richest man registers $17-million revenue in Q1 2024

Nascon Allied Industries Plc (NASCON), a leading salt processor and subsidiary of the Dangote Group owned by Africa’s richest man, Aliko Dangote, displayed operational resilience in Q1 2024, with revenue exceeding $17 million.

Revenue surged 39.7 percent year-over-year (YoY) to N23.62 billion ($17.3 million) from N16.9 billion ($12.4 million) in Q1 2023, according to the company’s recently released unaudited financials for the period ended March 31, 2024.

Northern Nigeria sales boost revenue

The revenue increase stemmed from a surge in sales of salt and savory products in Northern Nigeria. Sales in the region jumped to N23.62 billion ($17.3 million) in Q1 2024 from N12.14 billion ($8.9 million) in the prior-year quarter.

Despite the impressive revenue growth, profits declined significantly. Net income fell to N1.23 billion ($899,000) in Q1 2024 from N1.64 billion ($1.2 million) in Q1 2023.

Dangote’s diversified holdings

NASCON operates under the umbrella of Dangote Group, a prominent pan-African manufacturing conglomerate founded by Dangote. The company refines raw salt into edible and graded varieties, alongside producing seasoning products and vegetable oil.

As the majority owner of NASCON, Dangote’s stake in the salt and seasoning processing company is worth more than $74 million, significantly contributing to his net worth of $15.6 billion, firmly establishing him as Africa’s richest man.

Balance sheet strength

NASCON demonstrated financial resilience during the period. Total assets increased to N84.8 billion ($62.16 million) as of March 31, 2024, from N59.17 billion ($43.17 million) as of Dec. 31, 2023. Retained earnings also rose, climbing to N26.95 billion ($19.75 million) from N18.93 billion ($13.9 million).