Dangote Sugar Refinery Plc (“Dangote Sugar” or “DSR”) is a leader in the sugar refining sector of the Nigerian Food and Beverage Industry. Its entry into the sugar business dates back to the 1970s, with the import and sale of sugar by its parent company, Dangote Industries Limited. The sugar refining facility at Apapa is one of the largest in the world, with 1.44MT per annum installed capacity, at the same location.
DSR performance reached it peak in 2017 due to a range of forex policies introduced by the CBN, the Nigerian economy was led to shore in the final quarter of 2017 seeing growth rise to a two year high on an impressive performance in the non-oil sector; a turnaround that presented a positive outlook for the ailing economy and much needed boost for investor confidence.
Between 2016 to 2017 gross profit margin grew by 84%, return on equity by 97%, net profit margin grew by 129% and total return on asset grew by 165%. The performance in 2017 represent the highest performance of the company over the last ten years.
However, performance dropped again in 2018 due to the influx of sugar smuggled into the key markets nationwide, and the Apapa traffic gridlock, which continues to affect the evacuation of products from the refinery.
The business thereafter has maintained a steady growth since 2018 till date.
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