Dangote Sugar Refinery Plc Consolidated and Separate Financial Statements for the period ended September 30, 2025 Dangote Sugar Refinery Plc
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Index
The reports and statements set out below comprise the consolidated and separate financial statements presented to the shareholders:
Contents PageGeneral Information 1
Consolidated and separate statements of profit or loss and other comprehensive income 2
Consolidated and separate statements of financial position 3
Consolidated and separate statements of changes in equity 4
Consolidated and separate statements of cash flows 5
Notes to the Financial Statements 6 - 39
Dangote Sugar Refinery Plc
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
General InformationCountry of incorporation and domicile Nigeria
Nature of business and principal activities
Cultivation, refining of raw sugar into edible sugar and selling of refined sugar
FRC Number FRC/2014/00000003835
Chairman Alh. Aliko Dangote (GCON) (Retired 16th June 2025)
Independent Non-Executive Director/ Chairman Mr. Arnold Ekpe (Appointed as Chairman on 17th June 2025)
Group Managing Director/CEO Mr. Ravindra Singhvi
Executive Director Ms Mariya Aliko-Dangote
Non-Executive Director Mr. Olakunle Alake
Non-Executive Director Mr. Uzoma Nwankwo
Non-Executive Director Ms. Bennedikter Molokwu
Non-Executive Director Prof. Konyinsola Ajayi (SAN) (Retired 16th June 2025)
Non-Executive Director Alh. Abdu Dantata
Non-Executive Director Ms. Maryam Bashir (Retired 16th June 2025)
Independent Non-Executive Director Mrs. Yabawa Lawan-Wabi (mni)
Independent Non-Executive Director Mrs. Yemisi Ayeni (Appointed 20 March 2025)
Registered office 3rd Floor, Greenview Development Nig. Ltd. Adminstrative Building Terminal E, Shed 20, NPA Wharf Complex, Apapa
Lagos State
Holding company Dangote Industries Limited, incorporated in Nigeria
Ultimate holding company Greenview International Corp. Cayman Island
Auditors PricewaterhouseCoopers
(Chartered Accountants) Landmark Towers
Plot 5B, Water Corporation Road Victoria Island
Lagos State
Bankers Access Bank Plc
Coronation Merchant Bank Ecobank Plc
Fidelity Bank Plc
First Bank of Nigeria Limited First City Monument Bank Plc FSDH Merchant Bank
Globus Bank Ltd Guaranty Trust Bank Plc Greenwich Merchant Bank Jaiz Bank Plc
Providus bank Plc Keystone bank Limited Rand Merchant Bank Sterling Bank Plc Stanbic IBTC Bank Plc
Standard Chartered Bank Nigeria Limited United Bank for Africa Plc
Union Bank of Nigeria Plc Unity Bank Plc
Wema Bank Plc Zenith Bank Plc
Company Secretary/Legal Adviser Mrs. Temitope Hassan
3rd Floor, Greenview Development Nig. Ltd. Adminstrative Building Terminal E, Shed 20, NPA Wharf Complex, Apapa
Lagos State
Registrars Veritas Registrars Limited
Plot 89A Ajose Adeogun Street Victoria Island
Lagos
1
Dangote Sugar Refinery Plc
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Consolidated and separate statement of profit or loss and other comprehensive income
GROUP | COMPANY | ||||||||
Qtr3, 2025 | 30/9/2025 | Qtr3, 2024 | 30/9/2024 | F/Yr, 2024 | Qtr3, 2025 | 30/9/2025 | Qtr3, 2024 | 30/9/2024 | F/Yr, 2024 |
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 |
Note(s)
Continuing operations | |||||||||||
Revenue | 5 | 196,026,721 | 626,238,637 | 188,802,672 | 484,427,112 | 665,689,763 | 196,026,721 | 626,238,637 | 188,802,672 | 484,427,112 | 665,689,763 |
Cost of sales | 6 | (157,640,551) | (536,175,369) | (187,121,714) | (464,607,364) | (634,580,279) | (157,640,551) | (536,175,369) | (187,121,714) | (464,607,364) | (634,580,279) |
Gross profit | 38,386,170 | 90,063,268 | 1,680,958 | 19,819,748 | 31,109,484 | 38,386,170 | 90,063,268 | 1,680,958 | 19,819,748 | 31,109,484 | |
Other income | 11 | 12,493,899 | 12,738,851 | 461,199 | 676,880 | 2,213,001 | 12,474,114 | 12,665,908 | 366,279 | 534,566 | 2,061,075 |
Selling and distribution expenses | 7 | (157,406) | (508,460) | (175,388) | (485,705) | (821,864) | (157,376) | (508,430) | (175,388) | (485,705) | (821,864) |
Administrative expenses | 7 | (7,565,695) | (20,526,373) | (4,080,790) | (11,832,380) | (18,922,120) | (6,461,873) | (16,358,308) | (3,786,119) | (11,036,671) | (17,208,994) |
Impairment gains/(losses) | 23.3 | (134,395) | (645,783) | (47,641) | (13,669) | (907,121) | (134,395) | (645,783) | (47,641) | (13,669) | (907,121) |
Operating profit/(loss) | 14 | 43,022,573 | 81,121,503 | (2,161,662) | 8,164,874 | 12,671,380 | 44,106,640 | 85,216,655 | (1,961,911) | 8,818,269 | 14,232,580 |
Finance income | 8 | 480,106 | 3,339,269 | 2,686,664 | 6,929,270 | 7,612,562 | 480,106 | 3,339,269 | 2,686,664 | 6,929,269 | 7,612,562 |
Finance cost | 10 | (30,616,804) | (95,585,756) | (65,988,214) | (300,174,772) | (301,277,687) | (30,594,120) | (95,512,780) | (65,983,169) | (299,864,963) | (301,088,518) |
Finance costs - net | (30,136,698) | (92,246,487) | (63,301,550) | (293,245,502) | (293,665,125) | (30,114,014) | (92,173,511) | (63,296,505) | (292,935,694) | (293,475,956) | |
Change in fair value adjustment | 9 | 497,861 | 2,400,747 | 1,299,484 | 9,497,269 | 10,099,566 | 497,861 | 2,400,747 | 1,299,484 | 9,497,269 | 10,099,566 |
Loss before tax | 13,383,736 | (8,724,237) | (64,163,728) | (275,583,359) | (270,894,179) | 14,490,487 | (4,556,109) | (63,958,932) | (274,620,156) | (269,143,810) | |
Taxation | 12.1 | 298,397 | (1,867,958) | 23,815,204 | 91,226,796 | 78,277,361 | 298,397 | (1,867,958) | 23,815,204 | 91,226,796 | 78,277,361 |
Loss for the period | 13,682,133 | (10,592,195) | (40,348,524) | (184,356,563) | (192,616,818) | 14,788,884 | (6,424,067) | (40,143,728) | (183,393,360) | (190,866,449) | |
Loss attributable to: | |||||||||||
Owners of the parent | 13,693,200 | (10,550,514) | (40,346,476) | (184,346,931) | (192,599,314) | 14,788,884 | (6,424,067) | (40,143,728) | (183,393,360) | (190,866,449) | |
Non-controlling interest | (11,068) | (41,681) | (2,048) | (9,632) | (17,504) | - | - | - | - | - | |
13,682,133 | (10,592,195) | (40,348,524) | (184,356,563) | (192,616,818) | 14,788,884 | (6,424,067) | (40,143,728) | (183,393,360) | (190,866,449) | ||
Other comprehensive income: | |||||||||||
Revaluation surplus | - | - | - | - | 432,167,515 | - | - | - | - | 395,320,816 | |
Income tax on revaluation surplus | - | - | - | - | (106,568,811) | - | - | - | - | (106,568,811) | |
- | - | - | - | 325,598,704 | - | - | - | - | 288,752,005 | ||
Total comprehensive (loss)/income for the period | 13,682,133 | (10,592,195) | (40,348,524) | (184,356,563) | 132,981,886 | - 14,788,884 | (6,424,067) | (40,143,728) | (183,393,360) | 97,885,556 | |
Total comprehensive (loss)/income | |||||||||||
attributable to: | |||||||||||
Owners of the parent | 13,693,200 | (10,550,514) | (40,346,476) | (184,346,931) | 132,999,389 | 14,788,884 | (6,424,067) | (40,143,728) | (183,393,360) | 97,885,556 | |
Non-controlling interest | (11,068) | (41,681) | (2,048) | (9,632) | (17,504) | - | - | - | - | - | |
13,682,133 | (10,592,195) | (40,348,524) | (184,356,563) | 132,981,886 | 14,788,884 | (6,424,067) | (40,143,728) | (183,393,360) | 97,885,556 | ||
Earnings per share | |||||||||||
Per share information Basic earnings per share (Naira) | 15 | 1.13 | (0.87) | (3.32) | (15.18) | (15.86) | 1.22 | (0.53) | (3.30) | (15.10) | (15.71) |
Diluted earnings per share (Naira) | 15 | 1.13 | (0.87) | (3.32) | (15.18) | (15.86) | 1.22 | (0.53) | (3.30) | (15.10) | (15.71) |
-
2
Arnold Ekpe
Independent Non-Executive Director/ Chairman FRC/2025/PRO/IODN/008/774324
The consolidated and separate financial statements on pages 2 to 39, were approved by the board on October 30, 2025 and were signed on its behalf by:
Ravindra Singh Singhvi Isiaka Dada Bello, PhD
Group Managing Director/CEO Chief Financial Officer
FRC/2021/003/000000/22565 FRC/2013/ ICAN/00000005105
`
The accompanying notes on pages 6 to 39 form an integral part of the consolidated and separate financial statements.
Consolidated and separate statements of financial position as at September 30, 2025
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | |||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||
Assets | ||||||||
Property, plant and equipment 16 | 615,689,952 | 616,644,824 | 186,179,552 | 515,981,012 | 511,552,200 | 119,147,823 | ||
Deferred tax assets 13 | 9,761,409 | 8,231,388 | 126,727,579 | 9,761,409 | 8,231,388 | 126,727,577 | ||
Investment in subsidiaries 20 | - | - | - | 1,658,280 | 1,658,280 | 297,000 | ||
Deposit for shares 21 | - | - | 74,517,430 | 72,596,256 | 71,405,651 | |||
Total non-current assets | 625,451,361 | 624,876,212 | 312,907,131 | 601,918,131 | 594,038,124 | 317,578,051 | ||
Current assets Inventories 22 | 130,499,927 | 179,825,100 | 131,550,776 | 129,278,110 | 178,778,130 | 130,432,980 | ||
Biological assets 17 | 18,651,511 | 19,189,380 | 19,957,331 | 18,651,511 | 19,189,379 | 19,957,331 | ||
Trade and other receivables 23 | 131,913,718 | 102,762,827 | 72,571,115 | 131,704,490 | 102,483,484 | 71,883,386 | ||
Other assets 18 | 28,357,018 | 15,144,041 | 9,369,988 | 28,067,226 | 14,980,907 | 9,368,592 | ||
Asset held for sale 19 | 868,642 | 868,642 | 868,642 | 868,642 | 868,642 | 868,642 | ||
Cash and cash equivalents 24 | 79,878,496 | 108,166,527 | 120,385,401 | 79,687,054 | 108,005,605 | 120,232,115 | ||
Total current assets | 390,169,312 | 425,956,517 | 354,703,253 | 388,257,033 | 424,306,147 | 352,743,046 | ||
Total assets | 1,015,620,673 | 1,050,832,729 | 667,610,384 | 990,175,164 | 1,018,344,271 | 670,321,097 | ||
Equity | ||||||||
Attributable to owners of Parent company | ||||||||
Share capital 25 | 6,073,439 | 6,073,439 | 6,073,439 | 6,073,439 | 6,073,439 | 6,073,439 | ||
Share premium 25 | 6,320,524 | 6,320,524 | 6,320,524 | 6,320,524 | 6,320,524 | 6,320,524 | ||
Revaluation surplus 26.1 | 322,432,944 | 325,598,705 | - | 288,752,006 | 288,752,006 | - | ||
(Accumulated loss)/ retained earnings 26 | (136,267,606) | (125,717,093) | (117,464,711) | (127,874,569) | (121,450,502) | (113,977,415) | ||
198,559,301 | 212,275,576 | (105,070,747) | 173,271,400 | 179,695,467 | (101,583,452) | |||
Non-controlling interest 27 | (89,583) | (47,902) | (40,030) | - | - | - | ||
198,469,718 | 212,227,674 | (105,110,778) | 173,271,400 | 179,695,467 | (101,583,452) | |||
Liabilities | ||||||||
Non-Current Liabilities | ||||||||
Lease liability 31.1 | 5,635,812 | 2,553,490 | 5,033,233 | 5,739,054 | 2,672,011 | 4,931,414 | ||
Financial liabilities 30 | - | - | 42,852,977 | - | - | 42,821,706 | ||
5,635,812 | 2,553,490 | 47,886,210 | 5,739,054 | 2,672,011 | 47,753,120 | |||
Current Liabilities | ||||||||
Current tax liabilities 12.3 | 4,432,019 | 4,410,858 | 8,598,755 | 4,436,955 | 4,415,793 | 8,603,684 | ||
Lease liability 31.1 | - | 2,741,881 | - | - | 2,732,220 | - | ||
Trade and other payables 29 | 63,917,799 | 98,677,529 | 120,644,456 | 63,562,430 | 98,638,753 | 119,956,004 | ||
Financial liabilities 30 | 736,216,508 | 717,507,521 | 573,449,524 | 736,216,508 | 717,476,251 | 573,449,524 | ||
Employee benefits 28 | 626,666 | 681,823 | 701,666 | 626,666 | 681,823 | 701,666 | ||
Other liabilities 31 | 6,322,151 | 12,031,953 | 21,440,551 | 6,322,151 | 12,031,953 | 21,440,551 | ||
Total current liabilities | 811,515,143 | 836,051,565 | 724,834,952 | 811,164,710 | 835,976,793 | 724,151,429 | ||
Total liabilities | 817,150,955 | 838,605,055 | 772,721,162 | 816,903,764 | 838,648,804 | 771,904,549 | ||
Total equity and liabilities | 1,015,620,673 | 1,050,832,729 | 667,610,384 | 990,175,164 | 1,018,344,271 | 670,321,097 |
Consolidated and separate statements of changes in equity
Share Capital Share | Revaluation | Retained Total |
Premium | Surplus | Earnings |
N'000 N'000 N'000 N'000 N'000 | ||
Company
Balance as at 1 January 2024 | 6,073,439 | 6,320,524 | - | 69,415,947 | 81,809,910 |
Loss for the period - - - (183,393,360) (183,393,360) | |||||
Total comprehensive Loss for the period | - | - | - | (183,393,360) | (183,393,360) |
Dividend paid | - | - | - | - | - |
Balance as at 30 September 2024 | 6,073,439 | 6,320,524 | - | (113,977,413) | (101,583,452) |
Balance as at 1 October 2024 | 6,073,439 | 6,320,524 | - | (113,977,413) | (101,583,452) |
Loss for the period | - | - | - | (7,473,089) | (7,473,089) |
Other comprehensive Income | - | - | 288,752,005 | - | 288,752,005 |
Total comprehensive income for the period | 6,073,439 | 6,320,524 | 288,752,005 | (121,450,502) | 179,695,464 |
Transaction with owners: | |||||
Dividend paid | - | - | - | - | - |
Balance as at 31 December 2024 | 6,073,439 | 6,320,524 | 288,752,005 | (121,450,502) | 179,695,467 |
Loss for the period - - - (6,424,067) (6,424,067) | |||||
Balance as at September 2025 | 6,073,439 | 6,320,524 | 288,752,005 | (127,874,569) | 173,271,400 |
Note (s) | 25 | 25 | 26.1 | 26 | |
Group | Attributable to | ||||
Share Capital | Share Premium | Retained Earnings | Revaluation Surplus | owners of parent company | Non-controlling interest | Total | ||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||
Balance as at 1 January 2024 | 6,073,439 | 0 | 66,882,221 | - | 79,276,184 | (30,398) | 79,245,786 | |||
Loss for the period | - | - | (184,356,563) | - | (184,356,563) | - | (184,356,563) | |||
Total comprehensive Loss for the period | - | - | (184,356,563) | - | (184,356,563) | - | (184,356,563) | |||
Transaction with owners: | ||||||||||
Dividend paid | - | - | - | - | - | - | - | |||
Balance as at 30 September 2024 | 6,073,439 | 0 | (117,474,342) | - | (105,080,379) | (30,398) | (105,110,778) | |||
Balance as at 1 October 2024 | 6,073,439 | 0 | (117,474,342) | - | (105,080,379) | (30,398) | (105,110,778) | |||
Loss for the period | - | - | (8,242,751) | - | (8,242,751) | (17,504) | (8,260,254) | |||
Total comprehensive income for the period | 6,073,439 | - | (125,717,093) | - | (113,323,130) | (47,902) | (113,371,032) | |||
Other comprehensive income | - | - | - | 325,598,704 | 325,598,704 | - | 325,598,704 | |||
Dividend paid | - | - | - | - | - | - | - | |||
Balance as at 31 December 2024 | 6,073,439 | 0 | (125,717,093) | 325,598,704 | 212,275,574 | (47,902) | 212,227,674 | |||
Loss for the period | - | - | (10,592,195) | (10,592,195) | - | (10,592,195) | ||||
Total comprehensive income for the period | - | - | (10,592,195) | (10,592,195) | - | (10,592,195) | ||||
Transaction with owners: | ||||||||||
Other comprehensive income | - | - | - | (3,165,761) | (3,165,761) | - | (3,165,761) | |||
Dividend paid | - | - | - | - | - | - | ||||
Balance as at September 2025 | 6,073,439 | - | (136,309,287) | 325,598,704 | 201,683,379 | (47,902) | 198,469,718 | |||
Note (s) | 25 | 25 | 26 | 26.1 | 27 |
The accompanying notes on pages 6 to 39 form an integral part of the consolidated and separate financial statements.
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Consolidated and separate statements of cash flows
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | |
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |
Cash flows for operating activities | ||||||
Loss before taxation | (8,724,237) | (270,894,179) | (275,583,359) | (4,556,109) | (269,143,810) | (274,620,156) |
Adjustments for non-cash income and expenses: Depreciation of property, plant and equipment | 20,727,082 | 12,598,078 | 8,855,765 | 18,801,643 | 11,555,811 | 8,135,297 |
Property, plant and equipment transferred | 207,496 | - | - | 380,172 | (526,570) | - |
Increase in impairment loss on financial assets | 645,783 | 907,121 | 13,669 | 645,783 | 907,121 | 13,669 |
Lease reassessments | - | 4,218,796 | - | 4,411,886 | ||
Adjustment | 189,244 | - | - | 189,244 | - | - |
Government grant | (8,604) | (28,739) | (23,190) | (8,604) | (28,739) | (23,190) |
Property, plant and equipment impaired and written off | 722,883 | - | 55,121 | - | - | 55,121 |
Property, plant and equipment scrapped | - | 2,337 | - | - | 2,337 | |
Loss/(Profit) on sale of assets | 4,419 | (17,161) | - | 4,419 | (17,161) | - |
Lease additions | - | 29,424 | - | - | - | |
Lease liability no longer required | (21,083) | - | (52,928) | - | - | - |
Prior year lease adjustments | - | - | 54,809 | - | - | 54,809 |
Interest income | (3,339,269) | (7,612,562) | (6,929,270) | (3,339,269) | (7,612,562) | (6,929,269) |
Interest on lease | 406,524 | 476,406 | - | 334,822 | 474,191 | - |
Interest on bank loan | 25,373,724 | 7,254,901 | 56,362 | 25,373,724 | 7,254,901 | 56,362 |
Exchange loss | - | 201,886,871 | - | - | 201,403,944 | - |
Fair value loss/(gain) on biological assets | (2,400,747) | (10,099,566) | (9,497,269) | (2,400,747) | (10,099,566) | (9,497,269) |
Changes in working capital | ||||||
(Increase)/decrease in Inventory | 49,325,173 | (131,908,247) | (83,633,923) | 49,500,020 | (131,716,881) | (83,371,732) |
Net (additon)/usage of biological assets | 2,938,616 | 5,374,613 | 4,004,365 | 2,938,616 | 5,374,613 | 4,004,365 |
(Increase)/decrease in trade and other receivables | (29,796,674) | 28,134,238 | 59,219,402 | (29,866,789) | 28,179,067 | 59,672,617 |
(Increase)/decrease in other assets | (13,212,977) | (14,399,033) | (8,624,980) | (13,086,319) | (14,237,294) | (8,624,980) |
Increase/(decrease) in other liabilities | (5,709,802) | (5,799,878) | 3,648,255 | (5,709,802) | (5,799,878) | 3,648,255 |
Increase/(decrease) in trade payables | (34,751,126) | (178,746,886) | 49,133,192 | (35,067,719) | (177,264,821) | 49,954,010 |
Cash generated from operations | 2,576,425 | (358,652,889) | (259,274,555) | 4,133,085 | (356,883,411) | (257,472,092) |
Tax paid | (3,376,817) | (13,412,266) | (8,202,312) | (3,376,817) | (13,412,260) | (8,202,312) |
Gratuity paid | (55,158) | (30,224) | (10,381) | (55,158) | (30,224) | (10,381) |
Net cash generated from operating activities | (855,545) | (372,095,388) | (267,487,248) | 701,102 | (370,325,889) | (265,684,787) |
Cash flows from investing activities | ||||||
Purchase of property, plant and equipment | (24,089,156) | (29,934,830) | (28,007,627) | (23,831,419) | (26,942,652) | (26,160,384) |
Proceeds on disposal of property,plant and equipment | 27,137 | 22,512 | - | 27,137 | 22,512 | - |
Interest received | 3,339,269 | 7,612,562 | 6,929,270 | 3,339,269 | 7,612,562 | 6,929,269 |
Net cash used in investing activities | (20,722,750) | (22,299,756) | (21,078,359) | (20,465,013) | (19,307,579) | (19,231,115) |
Cash flows from financing activities | ||||||
Unclaimed dividend received | - | 39,535 | - | - | 39,535 | - |
Deposit for shares | - | - | - | (1,921,174) | (5,560,965) | (4,370,360) |
Lease Liabilities payment | (45,000) | (226,251) | 209,104 | - | (226,251) | 138,107 |
Proceed from commercial paper | 138,815,139 | 95,855,046 | 141,337,467 | 138,815,139 | 95,855,046 | 141,337,467 |
Bank overdraft | (33,121,823) | 72,550,865 | 61,101,802 | (33,121,823) | 72,550,865 | 61,101,802 |
Movement in letters of credit | (39,788,084) | (12,615,061) | (83,193,849) | (39,756,813) | (11,891,471) | (82,470,259) |
Interest payment on bank loans | (25,365,120) | (7,513,968) | (33,154) | (25,365,120) | (7,513,968) | (33,154) |
Proceeds from bank loan | 311,544,970 | 157,190,472 | 85,000,000 | 311,544,970 | 157,190,472 | 85,000,000 |
Loan from Dangote petroleum and petrochemical Limited | - | 3,659,480 | - | 3,659,480 | ||
Repayment of borrowings | (358,749,819) | (11,141,149) | (233,065) | (358,749,819) | (11,141,149) | (233,065) |
Net cash used in financing activities | (6,709,736) | 297,798,968 | 204,188,305 | (8,554,640) | 292,961,593 | 200,470,537 |
Net increase in cash and cash equivalents | (28,288,032) | (96,596,176) | (84,377,302) | (28,318,551) | (96,671,874) | (84,445,364) |
Cash and cash equivalents at beginning of period | 108,166,527 | 204,762,703 | 204,762,703 | 108,005,605 | 204,677,479 | 204,677,479 |
Cash and cash equivalents at end of the period | 79,878,496 | 108,166,527 | 120,385,401 | 79,687,054 | 108,005,605 | 120,232,115 |
The accompanying notes on pages 6 to 39 form an integral part of the consolidated and separate financial statements.
Notes to the Consolidated and Separate Financial Statements
General information
Dangote Sugar Refinery Plc (the Company) was incorporated as a Public Limited Liability company on 4 January 2005, commenced operation on 1 January 2006 and became quoted on the Nigerian Stock Exchange in March 2007. Its current shareholding is 68% by Dangote Industries Limited and 32% by the Nigerian public.
The ultimate controlling party is Greenview International Corporation, Cayman Island
The registered address of the Company is located at 3rd Floor Greenview Development Nigeria Limited Administrative Building, Terminal E, Shed 20 NPA Wharf Complex, Apapa, Lagos State
The consolidated financial statements of the Group for the Period ended 30 September 2025 comprise the Company and its subsidiaries - Dangote Sugar (Ghana ) Limited, Taraba Sugar Company Limited, Adamawa Sugar Company Limited and
The principal activity
The principal activity of the Group include raw sugar cultivation, refining into edible sugar and the selling of refined sugar. The Group's products are sold to Corporate customers as well as through distributors across the country.
Reporting entity
Dangote Industries Limited was incorporated as a private limited liability company on 18 April 1985 and commenced business in July, 1999. Dangote Nigeria Limited owns 0.01% and Greenview international Corp. of Cayman Island owns 99.99%. However, Alhaji Aliko Dangote is the ultimate controlling party.
Going Concern status
The Group has consistently been making profits until recently.The Directors believe that there is no intention or threat from any party to curtail significantly its line of business in the foreseeable future. Thus, these financial statements are prepared on a going concern basis.
Operating environment
Emerging markets such as Nigeria are subject to different risks than more developed markets, including economic, political and social, and legal legislative risks. As has happened in the past, actual or perceived financial problems or an increase in the perceived risks associated with investing in emerging economies could adversely affect the investment climate in Nigeria and the country's economy in general. The global financial system continues to exhibit signs of deep stress and many economies around the world are experiencing lesser or no growth than in prior years. These conditions could slow or disrupt Nigeria's economy, adversely affecting the Group's access to capital and cost of capital for the Group and more generally, its business, result of operation, financial condition and prospects.
Financial period
These financial statements cover the financial period from 1 January 2025 to 30 September 2025 with comparatives for the year ended 31 December 2024 and period ended 30 September 2024.
Material Accounting Policies
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These consolidated and separate financial statements have been prepared in accordance with International Financial Reporting standards (IFRS) as issued by the International Accounting Standards Board (IASB) and interpretations issued by the IFRS Interpretations Committee (IFRS IC) of IASB (together "IFRS") that are effective at 31 March 2022 and requirements of the Companies and Allied Matters Act of Nigeria and the Financial Reporting Council (FRC) Act 2011 of Nigeria.
Notes to the Consolidated and Separate Financial Statements
Basis of preparation
The consolidated and separate financial statements have been prepared on the historical cost basis except for biological assets which is measured at fair value less cost to sell. Historical cost is generally based on the fair value of the consideration given in exchange for assets. All amounts disclosed in the financial statements and notes have been rounded off to the nearest thousand Naira unless otherwise stated.The principal accounting policies are set out below:
Consolidation of subsidiaries
Consolidation of a subsidiary begins when the Company obtains control over the subsidiary and ceases when the Company loses control of the subsidiary. Specifically, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated statement of profit or loss and other comprehensive income from the date the Company gains control until the date when the Company ceases to control the subsidiary. Profit or loss and each component of other comprehensive income are attributed to the owners of the Company and to the non-controlling interests. Total comprehensive income of subsidiaries is attributed to the owners of the Company and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance.
When necessary adjustments are made to the financial statements of subsidiaries to bring their accounting policies into line with the Group's accounting policies. All intragroup assets and liabilities, equity, income, expenses and cash flows relating to transactions between members of the Group are eliminated in full on consolidation. The results of subsidiaries acquired or disposed of during the year are included in the Group statement of comprehensive income from the effective date of acquisition or up to the effective date of disposal as appropriate.
In the Company's separate financial statements, investments in subsidiaries are carried at cost less any impairment that has been recognised in profit or loss.
Revenue recognition
Accounting policy
Revenue is measured at the fair value of the consideration received or receivable for goods or services, in the ordinary course of the Group's activities and it is stated net of value added tax (VAT), rebates and returns. A valid contract is recognised as revenue after;
The contract is approved by the parties.
Rights and obligations are recognised.
Collectability is probable.
The contract has commercial substance.
The payment terms and consideration are identifiable.
The probability that a customer would make payment is ascertained based on the evaluation done on the customer as stated in the credit management policy at the inception of the contract. The Group is the principal in all of its revenue arrangement since it is the primary obligor in all of the revenue arrangements, has inventory risk and determines the pricing for the goods and services.
Sale of goods
Revenue is recognised when the control of the goods and service are transferred to the customer. This occurs when the goods are delivered to the customer and customer's acceptance is received or when goods are picked up by the customers.
Revenue from sale of sugar and molasses is recognised based on the price specified in the contract, net of the estimated rebates and returns. Rebates are estimated at the inception of the contract except where the time lag between the recognition of revenue and granting rebates is within one month. Returns on goods are estimated at the inception of the contract except where the timing between when the revenue is recognised and when the returns occur is considered immaterial. In these instances, the returns are accounted for when they occur.
The delivery service provided by the Group is a sales fulfilment activity and the income earned is recognised at the point in time when the goods are delivered to the customer.
Delivery occurs when the goods have been shipped to the specific location, the risks of obsolescence and loss have been transferred to the customer, and when the customer has accepted the products in accordance with the sales contract, or the acceptance provisions have lapsed, or the group has objective evidence that all criteria for acceptance have been satisfied.
Contract liability is recognised for consideration received for which the performance obligation has not been met.
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Notes to the Consolidated and Separate Financial Statements
Revenue recognition (continued)
Disaggregation of revenue from contract with customers
The Group recognises revenue from the transfer of goods at a point in time in the following product lines. The Group derives revenue from the sale of sugar, molasses and freight services.
Revenue from contract with customers
Freight services
N'000
Sale of sugar
N'000
Sale of molasses
N'000
Total
N'000
50,685
622,564,257
3,623,695
626,238,637
Interest income Recognition
Interest income from a financial asset is recognised when it is probable that the economic benefits will flow to the Company and the amount of revenue can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset's to that assets's net carrying amount on initial recognition.
Segment reporting
An operating segment is a distinguishing component of the Group and Company that earns revenue and incurs expenditure from providing related products or services (business segment) or providing products or services within a particular economic environment (geographical segment), and which is subject to risks and returns that are different from those of other segments.
Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statements of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The Group's liability for current tax is calculated using tax rates that have been enacted.
Current income tax is the expected amount of income tax payable on the taxable profit for the year determined in accordance with the Companies Income Tax Act (CITA) using statutory tax rates of 30% at the reporting sheet date. Education tax is calculated at 3% of the assessable profits in accordance with the Tertiary Education Tax Act.
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Notes to the Consolidated and Separate Financial Statements
Taxation (continued)
Current and deferred tax are recognised in profit and loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax are recognised in other comprehensive income or directly in equity respectively. Where current tax and deferred tax arises from the initial accounting for a business combination, the tax effect is included in the accounting for the business combination.
Upon disposal of an associate that results in the Company losing significant influence over that associate, any retained investment is measured at fair value at that date and the fair value is regarded as its fair value on initial recognition as a financial asset in accordance with IAS 39. The difference between the previous carrying amount of the associate attributable to the retained interest and its fair value is included in the determination of the gain or loss on disposal of the associate. In addition, the Company account for all amounts previously recognised in other income in relation to that associate on the assets or liabilities. Therefore , if a gain or loss previously recognized in other comprehensive income by that associate would be reclassified to profit or loss on the disposal of the related assets and liabilities, the Company reclassifies the gain or loss from equity to profit or loss (as a reclassification adjustments) when it loses significant influence over the associate.
When the company transacts with its associate, profits and losses resulting from the transactions with the associate are recognized in the Company's financial statements only to the extent of interest in the associates that are not related to the Company.
An associate is an entity over which the Company has significant influence and that is neither a subsidiary nor an interest in a joint venture. Significant influence is the power to participate in the financial and operating policy decisions of the investee but is not control or joint control those policies.
Deferred tax
The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Group expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation authority and the Group intends to settle its current tax assets and liabilities on a net current and deferred tax are recognised in profit and loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax are recognised in other comprehensive income or directly in equity respectively. Where current tax and deferred tax arises from the initial accounting for a business combination, the tax effect is included in the accounting for the business combination.
Notes to the Consolidated and Separate Financial Statements
Property, plant and equipment
Recognition and measurement
IAS 16 permits two accounting models:
Cost model: The asset is carried at cost less accumulated depreciation and impairment. [IAS 16.30]
Revaluation model: The asset is carried at a revalued amount, being its fair value at the date of revaluation less subsequent depreciation and impairment, provided that fair value can be measured reliably. [IAS 16.31]
To ensure the Group's financial position reflects current economic realities, the directors decided during the year to change the basis of measuring some property, plant and equipment from historical cost model to revaluation model as at 31 December 2024. Under the revaluation model, revaluation will be carried out regularly, so that the carrying amount of an asset does not differ materially from its fair value at the balance sheet date. The asset cost and accumulated depreciation are grossed up so that the net book book value as at revaluation date will reflect the revalued amount. Revalued assets are depreciated in the same way as under the cost model.
If an item is revalued, the entire class of assets to which that asset belongs will be revalued. The following asset classes are excluded from revaluation; bearer plants, furniture and fittings, computer equipment, tools and equipment and capital work in progress. These asset classes will continue to be measured at cost less accumulated depreciation and impairment losses.
If a revaluation results in an increase in value, the revaluation surplus, net of tax, will be credited to other comprehensive income and accumulated in equity under the heading "revaluation surplus" unless it represents the reversal of a revaluation decrease of the same asset previously recognised as an expense, in which case it will be recognised in profit or loss. A decrease arising as a result of a revaluation will be recognised as an expense to the extent that it exceeds any amount previously credited to the revaluation surplus relating to the same asset.
When a revalued asset is disposed off, any revaluation surplus will be transferred directly to retained earnings. The transfer to retained earnings will not be made through profit or loss.
The Group will engage external, independent and qualified valuers to perform independent valuations for its property, plant and equipment at sufficient regular period, between 2 to 5 years, to ensure that the fair value of the revalued asset does not differ materially from it carrying amount. At the end of each reporting period, the directors update their assessment of the fair value of each property, taking into account the most recent independent valuations. The directors would determine a property's value within a range of reasonable fair value estimates. The best evidence of fair value will be current prices in an active market for similar properties.
Under the cost model, the asset cost includes expenditure that is directly attributable to the acquisition of the asset.
Subsequent costs
The cost of replacing a part of an item of property, plant and equipment is recognized in the carrying amount of the item if it is probable that the future economic benefits embodied within the part will flow to the Company and its cost can be measured reliably. The carrying amount of the replaced part is derecognized. The costs of the day-to-day servicing of property, plant and equipment are recognized in profit or loss as incurred.
Depreciation is calculated on the depreciable amount, which is the cost of an asset, or other amount substituted for cost, less its residual value.
Depreciation is recognized in profit or loss on a straight-line basis over the estimated useful lives of each part of an item of property, plant and equipment which reflects the expected pattern of consumption of the future economic benefits embodied in the asset. Leased assets are depreciated over the shorter of the lease term and their useful lives unless it is reasonably certain that the Company will obtain ownership by the end of the lease term in which case the assets are depreciated over the useful life.
The estimated useful lives for the current and comparative periods are as follows:
Item
Depreciation method
Average useful life
Buildings
Straight line
50 years
Plant and machinery
Straight line
15 years
Furniture and fixtures
Straight line
5 years
Motor vehicles
Straight line
4 years
Tools and equipment
Straight line
4 years
Computer equipment
Straight line
3 years
Aircraft
Straight line
25 years
Bearer plants
Straight line
6 years
Land is not depreciated. Depreciation methods, useful lives and residual values are reviewed at each financial year end and adjusted if appropriate.
Capital work-in-progress is not depreciated. The attributable cost of each asset is transferred to the relevant asset category immediately the asset is available for use and depreciated accordingly.
Notes to the Consolidated and Separate Financial Statements
Property, plant and equipment (continued)
Depreciation is recognised so as to write off the cost of assets (other than properties under construction) less their residual values over their useful lives, using the straight-line method. The estimated useful lives, residual values and depreciation method are reviewed at each year end, with the effect of any changes in estimate accounted for on a prospective basis.
Assets held under finance leases are depreciated over their expected useful lives on the same basis as owned assets or, where shorter, the term of the relevant lease.
Intangible assets
Intangible assets acquired separately
Intangible assets with finite useful lives that are acquired separately are carried at cost less accumulated amortisation and accumulated impairment losses. Amortisation is recognised on a straight-line basis over their estimated useful lives. The estimated useful life and amortisation method are reviewed at the end of each annual reporting period, with the effect of any changes in estimate being accounted for on a prospective basis.
Derecognition of intangible assets
An intangible asset is derecognized on disposal, or when no future economic benefits are expected from use or disposal. Gains or losses arising from derecognition of an intangible asset, measured as the difference between the net disposal proceeds and the carrying amount of the asset, are recognised in profit or loss when the asset is derecognized.
Impairment of tangible and intangible assets
At the end of each reporting period, the Group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Where it is not possible to estimate the recoverable amount of an individual asset, the Group estimates the recoverable amount of the cash-generating-unit to which the asset belongs. Where a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-generating units, or otherwise they are allocated to the smallest group of cash-generating units for which a reasonable and consistent allocation basis can be identified.
Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss.
Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss.
Employee benefits
A liability is recognised when an employee has rendered services for benefits to be paid in the future, and an expense when the entity consumes the economic benefit arising from the service provided by the employee.
Short-term employee benefits
The cost of short-term employee benefits, (those payable within 12 months after the service is rendered, such as paid vacation leave and sick leave, bonuses, and non-monetary benefits such as medical care), are recognised in the period in which the service is rendered and are not discounted.
Long-term employee benefits (Defined contribution plan)
Employees are members of defined contribution plans. Obligations for contributions to defined contribution pension
plans are recognized as an employee benefit expense in profit or loss in the periods during which services are rendered by employees.
The group makes provision for retirement benefits in accordance with the Pension Reform Act 2014. The employees contribute 8% of their gross salary (basic, housing and transport) while the Group contributes 10% on behalf of the employees to the same plan.
Notes to the Consolidated and Separate Financial Statements
Employee benefits (continued)
Long-term employee benefits (Defined benefit plan)
For defined benefit plans, the Group's contributions were based on the recommendations of independent actuaries and the liability
measured using the projected unit credit method, up to the date of cessation of the scheme on 30 September, 2013.
Under the plan, the employees were entitled to retirement benefits which vary according to length of service. Actuarial gains and losses were recognised in the income statement. These gains or losses were recognised over the expected average remaining working lives of the employees participating in the plans.
Past-service costs were recognised as an expense on a straight-line basis over the average period until the benefits became vested. If the benefits vested immediately following the introduction of, or changes to, a defined benefit plan, the past-service cost was recognised immediately.
Government grants
Government grants are recognised when there is reasonable assurance that:
the group will comply with the conditions attaching to them; and
the grants will be received.
Government grants are recognised as income over the periods necessary to match them with the related costs that they are intended to compensate. Grants related to income are presented as a credit in the profit or loss (separately).
Leases
At inception of a contract, the Group assesses whether a contract is, or contains, a lease. A contract is, or contains a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Group assesses whether:
the contract involves the use of an identified asset - this may be specified explicitly or implicitly. If the supplier has a substantive
substitution right, then the asset is not identified;
the Group has the right to obtain substantially all of the economic benefits from use of the asset throughout the period of use; and
the Group has the right to direct the use of the asset. The Group has this right when it has the decision-making rights that are most
relevant to changing how and for what purpose the asset is used.
In rare cases where the decision about how and for what purpose the asset is used is predetermined, the Group has the right to direct the use of the asset if either:
the Group has the right to operate the asset; or
the Group designed the asset in a way that predetermines how and for what purpose it will be used.
The Group primarily leases land and building (used as office space, outlets, warehouse and residential use). The lease terms are typically for fixed periods ranging from 2 years to 25 years but may have extension options. On renewal of a lease, the terms may be renegotiated.
Contracts may contain both lease and non-lease components. The Group has elected to separate lease and non-lease components. The Group allocates the consideration in the contract to the lease and non-lease components based on their relative stand-alone prices. Lease terms are negotiated on an individual basis and contain different terms and conditions, including extension and termination options. The lease agreements do not impose any covenants, however, leased assets may not be used as security for borrowing purposes.
Leases in which the Group is a lessee
Leases are recognised as a right-of-use asset and a corresponding liability at the date at which the leased asset is available for use by the Group. Each lease payment is allocated between the liability and finance cost. The right-of-use asset is depreciated over the shorter of the asset's useful life and the lease term on a straight-line basis.
Leases in which the Group is a Lessor
Operating lease
When assets are subject to an operating lease, the assets continue to be recognised as property and equipment based on the nature of the asset. Lease income is recognised on a straight line basis over the lease term.
Lease incentives are recognised as a reduction of rental income on a straight-line basis over the lease term.
Finance lease
When assets are held subject to a finance lease, the related asset is derecognised and the present value of the lease payments (discounted at the interest rate implicit in the lease) is recognised as a receivable. The difference between the gross receivable and the present value of the receivable is recognised as unearned finance income. Lease income is recognised over the term of the lease using the net investment method (before tax), which reflects a constant periodic rate of return.
Inventories
Inventories are stated at the lower of cost and net realisable value. Cost of raw materials, packaging materials, engineering spares and consumable stock is determined on a weighted average basis. Cost of finished goods is determined on the basis of standard costs adjusted for variances. Standard costs are periodically reviewed to approximate actual costs.
Goods in transit are valued at the invoice price. Cost of inventory includes purchase cost, conversion cost (materials, labour and overhead) and other costs incurred to bring inventory to its present location and condition. Finished goods, which include direct labour and factory overheads, are valued at standard cost adjusted at year-end on an actual cost basis.
Costs, including an appropriate portion of fixed and variable overhead expenses, are assigned to inventories by the method most appropriate to the particular class of inventory, with the majority being valued on an average cost basis. Net realizable value represents the estimated selling price for inventories less all estimated costs of completion and costs necessary to make the sale.
Provisions
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation (when the time value of money is material).
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period taking into account the risks and uncertainties surrounding the obligation. Where a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows.
When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.
Financial instruments
Financial instruments accounting policy
IFRS 9 replaces the provisions of IAS 39 that relate to the recognition, classification and measurement of financial assets and financial liabilities; derecognition of financial instruments; impairment of financial assets and hedge accounting. IFRS 9 also significantly amends other standards dealing with financial instruments such as IFRS 7 Financial Instruments disclosures.
Classification and measurement
Financial assets
It is the Company's policy to initially recognise financial assets at fair value plus transaction costs, except in the case of financial assets recorded at fair value through profit or loss which are expensed in profit or loss.
Classification and subsequent measurement is dependent on the Company's business model for managing the asset and the cashflow characteristics of the asset. On this basis, the Company may classify its financial instruments at amortised cost, fair value through profit or loss and at fair value through other comprehensive income.
The business models applied to assess the classification of the financial assets held by the company are;
Hold to collect: Financial assets in this category are held by the Company solely to collect contractual cash flows and these cash flows represents solely payments of principal and interest. Assets held under this business model are measured at amortised cost
Fair value through other comprehensive income: Financial assets in this category are held to collect contractual cash flows and sell where there are advantageous opportunities. The cash flows represents solely payment of principal and interest. These financial assets are measured at fair value through other comprehensive income.
Fair value through profit or loss: This category is the residual category for financial assets that do not meet the criteria
described above. Financial assets in this category are managed in order to realise the asset's fair value.
The financial assets of Dangote Sugar are held to collect contractual cashflows that are solely payments of principal (for non-interest bearing financial assets) or solely payments of principal and interest ((for interest bearing financial assets)
2.15 Financial instruments (continued)
The Company's financial assets include trade and other receivables, cash and cash equivalents. They are included in current assets, except for maturities greater than 12 months after the reporting date. Interest income from these assets is included in finance income using the effective interest rate method. Any gain or loss arising on derecognition is recognised directly in profit or loss and presented in finance income/cost.
Financial liabilities
Financial liabilities of the Company are classified and measured at fair value on initial recognition and subsequently at amortised cost net of directly attributable transaction costs. The Company's financial liabilities include trade and other payables and interest bearing loans and borrowings.
Impairment of financial assets
Recognition of impairment provisions under IFRS 9 is based on the expected credit loss (ECL) model. The ECL model is applicable to financial assets measured at amortised cost or at fair value through other comprehensive income (FVOCI). The measurement of ECL reflects an unbiased and probability-weighted amount that is determined by evaluating a range of possible outcomes, time value of money and reasonable and supportable information that is available without undue cost or effort at the reporting date, about past events, current conditions and forecasts of future economic conditions.
The simplified approach is applied for trade receivables while the general approach is applied to staff loans, amounts due from related parties that are not trade related, balances with banks.
The simplified approach requires lifetime expected credit losses to be recognised on initial recognition of the receivables. This involves determining the expected loss rates using a provision matrix that is based on the Company's historical default rates observed over the expected life of the receivable and adjusted for forward-looking estimates. This is then applied to the gross carrying amount of the receivable to arrive at the loss allowance for the period.
The three-stage approach assesses impairment based on changes in credit risk since initial recognition using the past due criterion and other qualitative indicators such as increase in political concerns or other macroeconomic factors and the risk of legal action, sanction or other regulatory penalties that may impair future financial performance. Financial assets classified as stage 1 have their ECL measured as a proportion of their lifetime ECL that results from possible default events that can occur within one year, while assets in stage 2 or 3 have their ECL measured on a lifetime basis.
Under the three-stage approach, the ECL is determined by projecting the probability of default (PD), loss given default (LGD) and exposure at default (EAD) for each ageing bucket and for each individual exposure. The PD is based on default rates determined by external rating agencies for the counterparties. The LGD is determined based on management's estimate of expected cash recoveries after considering the historical pattern of the receivable, and assessing the portion of the outstanding receivable that is deemed to be irrecoverable at the reporting period. The EAD is the total amount outstanding at the reporting period. These three components are multiplied together and adjusted for forward looking information, such as the gross domestic product (GDP) in Nigeria, inflation and exchange rate, to arrive at an ECL which is then discounted back to the reporting date and summed. The discount rate used in the ECL calculation is the original effective interest rate or an approximation thereof.
Loss allowances for financial assets measured at amortised cost are deducted from the gross carrying amount of the related financial assets and the amount of the loss is recognised in profit or loss.
Significant increase in credit risk and default definition
The Company assesses the credit risk of its financial assets based on the information obtained during periodic review of publicly available information, industry trends and payment records. Based on the analysis of the information provided, the Company identifies the assets that require close monitoring.
Furthermore, financial assets that have been identified to be more than 30 days past due on contractual payments are assessed to have experienced significant increase in credit risk. These assets are grouped as part of Stage 2 financial assets where the three-stage approach is applied.
In line with the Company's credit risk management practices, a financial asset is defined to be in default when contractual payments have not been received at least 90 days after the contractual payment period. Subsequent to default, the Company carries out active recovery strategies to recover all outstanding payments due on receivables. Where the Company determines that there are no realistic prospects of recovery, the financial asset and any related loss allowance is written off either partially or in full.
Notes to the Consolidated and Separate Financial Statements
Financial instruments (continued)
Derecognition
Financial assets
The Company derecognises a financial asset when the contractual rights to the cash flows from the financial asset expire or when it transfers the financial asset and the transfer qualifies for derecognition. Gains or losses on derecognition of financial assets are recognised in profit or loss.
Financial liabilities
The Company derecognises a financial liability when it is extinguished i.e. when the obligation specified in the contract is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised immediately in the statement of profit or loss.
Offsetting of financial assets and financial liabilities
Financial assets and liabilities are offset and the net amount is reported in the statement of financial position when there is a legally enforceable right to offset the recognised amounts, and there is an intention to settle on a net basis or realise the asset and settle the liability simultaneously.
The legally enforceable right is not contingent on future events and is enforceable in the normal course of business, and in the event of default, insolvency or bankruptcy of the Company or the counterparty.
Earnings per share
The Group presents basic and diluted earnings per share (EPS) data for its ordinary shares. Basic EPS is calculated by dividing the profit or loss attributable to ordinary shareholders of the Group by the weighted average number of ordinary shares outstanding during the period, adjusted for own shares held, if any. Diluted EPS is determined by adjusting the profit or loss attributable to ordinary shareholders and the weighted average number of ordinary shares outstanding, adjusted for the effects of all dilutive potential ordinary shares.
Functional and presentation currency
Items included in the consolidated and separate financial statements of each of the Group entities are measured using the currency of the primary economic environment in which the entity operates (the functional currency).
The consolidated and separate financial statements are presented in Naira which is the Company's functional and presentation currency.
Foreign currency transactions and translation
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognized in the statement of profit or loss and other comprehensive income.
Non-monetary assets and liabilities in a foreign currency that are measured in terms of historical cost are translated using the exchange rate at the transaction date and are not restated.
Non-monetary assets and liabilities denominated in foreign currencies that are stated at fair value are translated to the functional currency at foreign exchange rates prevailing at the dates the fair value was determined and are not restated.
Borrowing costs
Borrowing costs directly attributable to the acquisition, construction, or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale.
Investment income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization.
All other borrowing costs are recognised in profit or loss in the period in which they are incurred.
Notes to the Consolidated and Separate Financial Statements
Segment information
An operating segment is a component of an entity:
that engages in business activities from which it may earn revenue and incur expenses (including revenues and expenses relating to transactions with other components of the same entity);
where operating results are regularly reviewed by the entity's chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance;
for which discrete information is available. Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker. The chief operating decision-maker who is responsible for allocating resources and assessing performance of the operating segments has been identified as the Managing Director of Dangote Sugar Refinery Plc
Biological assets
A biological asset is defined as a living animal or plant while biological transformation comprises the processes of growth, degeneration, production and procreation that cause qualitative or quantitative changes in biological asset.
Recognition of assets
The Group recognises biological assets or agricultural produce when, and only when, all of the following conditions are met:
the Group controls the asset as a result of past events;
it is probable that future economic benefits associated with the asset will flow to the Group; and
the fair value or cost of the asset can be measured reliably.
Biological asset consists of growing cane which are yet to be harvested as at year end, and these are measured at fair value less cost to sell.
The basis of fair value determination of growing canes have been included in Note 17.
Business combination under common control
Business combinations under common control occur when combining entities/businesses are ultimately controlled by the same party(ies) both before and after the business combination, and that control is not transitory.
The Group applies the "predecessor method" of accounting for business combinations under common control because such transactions are outside the scope of the reporting standard on Business Combinations (IFRS 3). The assets and the liabilities of the acquiree are recorded at the predecessor carrying values from the financial statements of the highest entity that has common control for which financial statements are prepared. Therefore, no goodwill is recorded in the consolidated financial statements of the acquirer.
Any difference arising between the acquirer's cost of investment and the acquiree's net assets is recorded directly in equity. Any non-controlling interest is measured as a proportionate share of the book values of the related assets and liabilities. Comparative amounts are not restated but the transaction is accounted for prospectively, i.e., from the effective date of the transaction (transfer of control). Any expenses incurred as a result of the combination are written off immediately in the statement of profit or loss and other comprehensive income.
Critical judgements and sources of estimation uncertainty
The following are the critical judgements, apart from those involving estimations, that the directors have made in the process of applying the Group's accounting policies and that have the most significant effect on the amounts recognised in the consolidated financial statements.
The key assumptions concerning the future, and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are discussed below.
Notes to the Consolidated and Separate Financial Statements
Impairment of financial assets
The loss allowances for financial assets are based on assumptions about risk of default, expected loss rates and maximum contractual period. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company's past history, existing market conditions as well as forward looking estimates at the end of each reporting period. Details of the key assumptions and inputs used are disclosed in note 32.
Sensitivity of estimates used in IFRS 9 ECL Estimation uncertainty in measuring impairment loss
In establishing sensitivity to ECL estimates for trade receivables and related parties receivables, two variables (GDP growth rate and Inflation rate) were considered. The Company's receivables portfolio reflects greater responsiveness to both variables considered.
Fair values of biological assets
The directors have developed a model using the multi-period excess earnings method (MPEEM) under the income approach for the valuation of sugar cane. In order to generate a stream of cash flows to be used in this model, the directors calculate tonnage using information on hectares of farmland planted, the age of growing cane per hectare and the yield rate per hectare.
The cane price is then applied on the tonnage and discounted to arrive at the fair value of the sugar cane. The cane price is based on the industry out-grower price.
The directors exercise significant judgement in determining the yield rate per hectare, the discount rate, cost of sales, selling and distribution expenses, administrative expenses and contributory assets charges.
New Standards and Interpretations
Standards and interpretations effective and adopted in the current year
There are no new standards applicable to annual reporting period commencing 1 January 2024 which are expected to have a material impact on the group:
New standards and interpretations not yet adopted
Certain new accounting standards and interpretations have been published that are not mandatory for 31 December 2022 reporting periods and have not been early adopted by the group. These standards are not expected to have a material impact on the entity in the current or future reporting periods and on foreseeable future transactions.
Notes to the Consolidated and Separate Financial Statements
5 | Revenue | GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY |
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||
Revenue from the sale of sugar - 50kg | 608,811,960 | 643,735,203 | 467,788,571 | 608,811,960 | 643,735,203 | 467,788,571 | |
Revenue from the sale of sugar - Retail | 13,752,297 | 17,454,099 | 13,079,082 | 13,752,297 | 17,454,099 | 13,079,082 | |
Revenue from the sale of molasses | 3,623,695 | 4,161,935 | 3,195,391 | 3,623,695 | 4,161,935 | 3,195,391 | |
Freight income | 50,685 | 338,526 | 364,068 | 50,685 | 338,526 | 364,068 | |
626,238,637 | 665,689,763 | 484,427,112 | 626,238,637 | 665,689,763 | 484,427,112 |
Segment information
Segment information is presented in respect of the group's reportable segments. For management purpose, the Group is organised into business units by geographical areas in which the group operates and the locations that comprise such regions represent operating segments.
The Group has 4 reportable segments based on location of the principal operations as follows: Northern Nigeria, Western Nigeria, Eastern Nigeria and Lagos.
Segmental revenue and results
Revenue from external customers by region of operations is listed below.
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | |
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |
Nigeria: | ||||||
Lagos | 341,020,792 | 373,530,894 | 269,809,073 | 341,020,792 | 373,530,894 | 269,809,073 |
North | 228,679,321 | 215,909,081 | 158,294,958 | 228,679,321 | 215,909,081 | 158,294,958 |
West | 41,690,193 | 55,457,161 | 40,516,854 | 41,690,193 | 55,457,161 | 40,516,854 |
East | 14,848,332 | 20,792,627 | 15,806,227 | 14,848,332 | 20,792,627 | 15,806,227 |
626,238,637 | 665,689,763 | 484,427,112 | 626,238,637 | 665,689,763 | 484,427,112 | |
Segment Revenue Segment Cost of Sales Segment Gross Profit | ||||||
30/9/2025 | 30/9/2024 | 30/9/2025 | 30/9/2024 | 30/9/2025 | 30/9/2024 |
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 |
341,020,792 | 269,809,073 | (282,186,207) | (251,942,468) | 58,834,585 | 17,866,605 |
228,679,321 | 158,294,958 | (204,470,541) | (157,658,961) | 24,208,780 | 635,997 |
41,690,193 | 40,516,854 | (36,027,905) | (39,182,335) | 5,662,287 | 1,334,519 |
14,848,332 | 15,806,227 | (13,490,716) | (15,823,600) | 1,357,616 | (17,373) |
626,238,637 | 484,427,112 | (536,175,369) | (464,607,364) | 90,063,268 | 19,819,748 |
Segment Revenue Segment Cost of Sales Segment Gross Profit/(loss) | |||||
30/9/2025 | 30/9/2024 | 30/9/2025 | 30/9/2024 | 30/9/2025 | 30/9/2024 |
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 |
341,020,792 | 269,809,073 | (282,186,207) | (251,942,468) | 58,834,585 | 17,866,605 |
228,679,321 | 158,294,958 | (204,470,541) | (157,658,961) | 24,208,780 | 635,997 |
41,690,193 | 40,516,854 | (36,027,905) | (39,182,335) | 5,662,287 | 1,334,519 |
14,848,332 | 15,806,227 | (13,490,716) | (15,823,600) | 1,357,616 | (17,373) |
626,238,637 | 484,427,112 | (536,175,369) | (464,607,364) | 90,063,268 | 19,819,748 |
Group Nigeria:
Lagos North West East
Company Nigeria:
Lagos North West East
Notes to the Consolidated and Separate Financial Statements
Segment information (Continued)
Segment assets and liabilities
The amount provided to the chief operating decision maker with respect to total assets are measured in a manner consistent with that of the financial statements. These assets are allocated based on the operations of the of the segment and the physical location of the asset.
Investments in shares held by the Group and deferred tax assets are not considered to be segment assets and are not allocated to segments.
Capital expenditure reflects additionals to non-current assets, other than financial instruments, deferred tax assets, post employment benefit assets and rights arising under insurance contracts.
The amounts provided to the chief operating decision maker with respect to the total liabilities are measured in a manner consistent with that of the financial statements. These liabilities are allocated based on the operations of the segment.
The Group's interest-bearing liabilities are not considered to be segment liabilities but rather are managed by the Group's treasury function.
The table below provides information on the segment assets and liabilities as well as a reconciliation to total assets and liabilities as per the balance as at 30 September 2025;
Total Segment Assets Total Segment liabilities | ||||||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||
Group | ||||||||
Nigeria: | ||||||||
Lagos | 534,387,186 | 419,905,295 | 520,994,022 | 637,164,558 | 393,320,471 | 549,305,997 | ||
North | 481,233,487 | 180,884,630 | 193,659,540 | 170,224,988 | 128,223,670 | 127,600,444 | ||
Sub-total | 1,015,620,673 | 600,789,925 | 714,653,562 | 807,389,546 | 521,544,141 | 676,906,441 | ||
Unallocated deferred tax | - | - | - | 9,761,409 | - | 102,509,375 | ||
Total | 1,015,620,673 | 600,789,925 | 714,653,562 | 817,150,955 | 521,544,141 | 779,415,816 | ||
Total Segment Assets Total Segment liabilities | ||||||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||
Company | ||||||||
Nigeria: | ||||||||
Lagos | 610,395,135 | 487,969,369 | 592,049,542 | 638,363,096 | 394,057,187 | 550,046,579 | ||
North | 379,780,029 | 113,071,155 | 124,616,831 | 168,779,259 | 125,173,427 | 125,550,145 | ||
Sub-total | 990,175,164 | 601,040,524 | 716,666,373 | 807,142,355 | 519,230,614 | 675,596,724 | ||
Unallocated deferred tax | - | - | - | 9,761,409 | - | 102,509,373 | ||
Total | 990,175,164 | 601,040,524 | 716,666,373 | 816,903,764 | 519,230,614 | 778,106,097 | ||
Included in the Lagos segment is asset held for sale of N868.6 million (2024: N868.6 million).
Information about major customers
The company has one Customer whose Sales make up 25.35% of total revenue. The revenue from the customer within the third quarter of 2025 is 51.6 billion and the revenue from the Customer is included in the Lagos Region.
Dangote Sugar Refinery Plc
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Notes to the Consolidated and Separate Financial Statements
6 Segment information (Continued) Distributors
The Group sells unfortified sugar mainly to pharmaceutical, food and beverage manufacturers, while Vitamin A-fortified sugar is sold to distributors who sell to small wholesalers, confectioners and other smaller value-adding enterprises who provide the distribution network to the Nigerian retail market. The Group sells a small amount of sugar directly to retail customers. Retail packaging comes in various sizes of 250g, 500g, and 1kg under the brand name "Dangote Sugar". Sales to distributors account for 65% of the Group's revenue.
The Group provides a delivery service to customers by transporting refined sugar to other destinations. Freight income represents revenue earned in this respect during the period. The associated cost of providing this service is included in Cost of sales.
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||||
7 Cost of sales | 30/9/2025 N'000 | 31/12/2024 N'000 | 30/9/2024 N'000 | 30/9/2025 N'000 | 31/12/2024 N'000 | 30/9/2024 N'000 | |||||
Raw material | 450,686,696 | 546,050,652 | 401,614,424 | 450,686,696 | 546,050,652 | 401,614,424 | |||||
Direct labour cost | 9,029,512 | 9,131,642 | 7,244,783 | 9,029,512 | 9,131,642 | 7,244,783 | |||||
Direct overheads | 49,809,437 | 52,022,872 | 36,446,492 | 49,809,437 | 52,022,872 | 36,446,492 | |||||
Depreciation | 12,433,332 | 9,047,595 | 6,257,937 | 12,433,332 | 9,047,595 | 6,257,937 | |||||
Freight expenses | 14,216,392 | 18,327,518 | 13,043,728 | 14,216,392 | 18,327,518 | 13,043,728 | |||||
536,175,369 | 634,580,279 | 464,607,364 | 536,175,369 | 634,580,279 | 464,607,364 | ||||||
Included in freight expenses is the depeciation charge on the company's fleet of trucks . The amount so included is as stated below: | |||||||||||
Depreciation charge on trucks | 5,720,595 | 1,979,003 | 1,537,226 | 5,720,594 | 1,979,003 | 1,537,226 | |||||
8 Administrative expenses Management fees | 2,187,455 | 2,435,625 | 1,680,113 | 2,187,455 | 2,435,625 | 1,680,113 | |||||
Assessment rates and municipal charges | 42,580 | 50,815 | 38,959 | 42,561 | 50,815 | 38,959 | |||||
Auditors Fees and remuneration | 116,062 | 150,000 | 105,769 | 108,000 | 140,000 | 99,331 | |||||
Cleaning and fumigation | 63,950 | 80,852 | 62,502 | 63,100 | 80,852 | 62,502 | |||||
Legal, consulting and professional fees | 561,594 | 563,349 | 438,589 | 561,554 | 562,599 | 438,589 | |||||
Consumables | 15,653 | 23,121 | 18,307 | 13,893 | 22,079 | 18,307 | |||||
Depreciation | 2,573,156 | 1,571,480 | 1,060,602 | 647,717 | 529,213 | 340,134 | |||||
Loss on sale of assets | 4,419 | - | - | 4,419 | - | - | |||||
Scrap | - | 2,337 | - | - | 2,337 | - | |||||
Donations | 199,639 | 96,950 | 152,940 | 177,387 | 96,950 | 152,940 | |||||
Scholarship and Sponsorships | - | 146,230 | - | - | 117,870 | - | |||||
Employee costs (note 36) | 6,991,503 | 6,227,621 | 4,634,535 | 5,816,216 | 6,227,621 | 4,634,535 | |||||
Entertainment | 26,513 | 37,568 | 27,322 | 26,408 | 37,568 | 27,322 | |||||
Insurance | 594,550 | 798,566 | 522,430 | 557,077 | 798,566 | 522,430 | |||||
BIP Abuja expenses | 43,630 | - | - | 43,630 | - | - | |||||
Bank charges | 1,555,237 | 704,735 | 491,292 | 1,554,774 | 704,150 | 490,894 | |||||
Rental expenses | 33,677 | - | - | - | - | - | |||||
Magazines, books, print and periodicals | 28,726 | 43,175 | 37,754 | 25,907 | 43,175 | 37,754 | |||||
Utilities | 453,680 | 424,589 | 305,568 | 453,457 | 424,589 | 305,568 | |||||
Petrol and oil | 259,705 | 202,971 | 130,489 | 241,246 | 202,971 | 130,489 | |||||
Repairs and maintenance | 2,833,616 | 3,005,925 | 570,466 | 2,052,361 | 2,433,961 | 502,063 | |||||
Secretarial fees | 91,586 | 67,000 | 50,500 | 91,586 | 67,000 | 50,500 | |||||
Security expense | 506,701 | 503,924 | 369,251 | 464,701 | 503,924 | 369,251 | |||||
Staff welfare | 66,234 | 122,624 | 52,018 | 61,830 | 73,480 | 52,018 | |||||
Subscriptions | 25,585 | 30,898 | 28,229 | 24,853 | 30,891 | 28,229 | |||||
Sustainability Expenses | 25,940 | 16,670 | 10,750 | 25,940 | 16,670 | 10,750 | |||||
Telephone and fax | 241,642 | 260,813 | 165,007 | 233,326 | 260,813 | 165,007 | |||||
Training | 143,510 | 143,464 | 44,774 | 140,400 | 143,464 | 44,774 | |||||
Travel-local | 541,507 | 947,472 | 597,116 | 525,001 | 938,465 | 597,116 | |||||
Travel-overseas | 298,323 | 263,346 | 237,097 | 213,511 | 263,346 | 237,097 | |||||
20,526,373 | 18,922,120 | 11,832,380 | 16,358,308 | 17,208,994 | 11,036,671 | ||||||
Selling and Distribution expenses Selling and marketing expenses | 508,460 | 821,864 | 485,705 | 508,430 | 821,864 | 485,705 | |||||
508,460 | 821,864 | 485,705 | 508,430 | 821,864 | 485,705 | ||||||
Notes to the Consolidated and Separate Financial Statements
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||
9 Finance income | |||||||||
Interest income on bank deposits | 3,339,269 | 7,612,562 | 6,929,270 | 3,339,269 | 7,612,562 | 6,929,269 | |||
3,339,269 | 7,612,562 | 6,929,270 | 3,339,269 | 7,612,562 | 6,929,269 |
Interest is earned on bank deposits at an average rate of 9 % p.a. on short term (30days) bank deposits.
10 Finance cost
Exchange loss in the ordinary course of business | - | 208,903,088 | 233,499,492 | - | 208,716,365 | 233,194,844 | |||
Finance cost on Letter of Credit | 28,712,055 | 53,020,165 | 44,990,968 | 28,710,780 | 53,019,933 | 44,990,736 | |||
Interest on lease payments (Note 32) | 406,524 | 476,406 | 255,696 | 334,822 | 474,191 | 250,767 | |||
Accrued Interest on bank loan (Note 30.1) | 25,373,724 | 7,254,901 | 56,361 | 25,373,724 | 7,254,901 | 56,361 | |||
Interest - Commercial Paper | 27,232,406 | 19,585,494 | 14,370,015 | 27,232,406 | 19,585,494 | 14,370,015 | |||
Issuance cost - Commercial Paper | 825,757 | 755,911 | 129,853 | 825,757 | 755,911 | 129,853 | |||
Interest expense - Interco.Placement | - | - | - | - | |||||
Interest on overdraft | 13,035,290 | 11,281,723 | 6,872,386 | 13,035,290 | 11,281,723 | 6,872,386 | |||
Interest on intercompany loan | - | - | - | - | - | ||||
95,585,756 | 301,277,687 | 300,174,772 | 95,512,780 | 301,088,518 | 299,864,963 | ||||
10.1 The exchange loss above is analysed below: | |||||||||
Realised | - | 7,016,217 | 8,627,160 | - | 7,312,421 | 8,334,357 | |||
Unrealised | - | 201,886,871 | 224,872,331 | - | 201,403,944 | 224,860,487 | |||
- | 208,903,088 | 233,499,492 - | - - | 208,716,365 | 233,194,844 | ||||
11 Other income | |||||||||
Insurance claim income | 75,835 | 313,960 | 295,913 | 75,835 | 264,011 | 245,964 | |||
Sale of scrap | 63,269 | 258,393 | 266,173 | 10,010 | 156,416 | 173,809 | |||
Grant income | 8,604 | 28,739 | 23,190 | 8,604 | 28,739 | 23,190 | |||
Rental income | 115,546 | 275,452 | 71,555 | 115,546 | 275,452 | 71,555 | |||
WHT credit from interest income | - | 1,148,388 | - | - | 1,148,388 | - | |||
ITF refund on training | 43,772 | 19,430 | 19,430 | 43,772 | 19,430 | 19,430 | |||
Compensation from resolution of legal dispute | - | 150,860 | - | - | 150,860 | - | |||
Profit on sale of asset (Note 11.1) | - | 17,161 | - | - | 17,161 | - | |||
Exhange gain | 12,431,826 | - | - | 12,412,140 | - | - | |||
Miscellaneous income | (0) | 618 | 618 | (0) | 618 | 618 | |||
12,738,851 | 2,213,001 | 676,880 | 12,665,908 | 2,061,075 | 534,566 | ||||
11.1 Loss/(profit) on sale of asset for the period is arrived at as below: | |||||||||
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||
Cost of assets disposed | 41,930 | 22,508 | - | 41,929.93 | 22,508 | - | |||
Accum dep of assets disposed | (10,374) | (17,157) | - | (10,374) | (17,157) | - | |||
Net book value disposed | 31,556 | 5,350 | - | 31,556 | 5,350 | - | |||
Sales proceed received in consideration | (27,137) | (22,512) | - | (27,137) | (22,512) | - | |||
Loss/(Profit) on sale of asset | 4,419 | (17,161) | - | 4,419 | (17,161) | - | |||
12 Taxation | |||||||||
12.1 Major components of the tax expense | |||||||||
Current Tax | |||||||||
Income tax based on profit for the year | 3,211,219 | 3,377,543 | 2,355,486 | 3,211,219 | 3,377,543 | 2,355,486 | |||
Education tax expense | 186,760 | - | - | 186,760 | - | - | |||
3,397,979 | 3,377,543 | 2,355,486 | 3,397,979 | 3,377,543 | 2,355,486 | ||||
Deferred tax | |||||||||
Deferred tax expense/(credit) recognised in the current period | (1,530,021) | (81,651,471) | (93,582,282) | (1,530,021) | (81,651,471) | (93,582,282) | |||
- - -
Adjustments recognised in the current period in relation to the deferred tax of prior periods
- (3,433) - - (3,433) -
Total deferred tax credit | 1,867,958 | (81,654,904) | (91,226,796) | 1,867,958 | (78,277,361) | (91,226,796) |
Total tax credit recognised in profit or loss | 5,265,937 | (78,277,361) | (88,871,310) | 5,265,937 | (74,899,818) | (88,871,310) |
Recognised in other comprehensive income | - | 106,568,810 | - | - | 106,568,810 | - |
The tax rates used in the above comparative figures are the corporate tax rate of 30% (2025: 30%) payable by corporate entities in Nigeria. Education Tax rate is also payable at 3% of assessable profit (2024: 3% of assessable profit) while Police Trust Fund Levy is 0.005% (2024: 0.005%) of the net profit of the companies operating business in Nigeria.
Notes to the Consolidated and Separate Financial Statements
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||
12.2 Reconciliation of the tax expense | |||||||||
Reconciliation between accounting profit and tax expense | |||||||||
Accounting profit before tax | (8,724,237) | (270,894,179) | (275,583,359) | (4,556,109) | (269,143,810) | (274,620,156) | |||
Income tax expense calculated at 30% of PBT | - | (80,743,143) | 2,355,486 | - | (80,743,143) | 2,355,486 | |||
Tertiary education tax expense calculated at 2.5% of | - | - | - | - | - | - | |||
assessable profits | |||||||||
Effect of income that is exempt from taxation | - (67,875) | - | - (67,875) | - | |||||
Effect of investment allowance | - - | - | - - | - | |||||
Effect of expenses that are not deductible in | |||||||||
determining taxable profit | - | 774,368 | - | - | 774,368 | - | |||
Effectof tax adjustments (minimim tax, dividend tax etc) | - | 3,375,268 | - | - | 3,375,268 | - | |||
Adjustments recognised in the current period in relation | (1,530,021) | (3,433) | (93,582,282) | (1,530,021) | (3,433) | (93,582,282) | |||
to the deferred tax of prior periods | |||||||||
Adjustment recognised due to difference in tax rate | - | (1,612,546) | - | - | (1,612,546) | - | |||
Income tax expense recognised in profit or loss | (1,530,021) | (78,277,361) | (91,226,796) | (1,530,021) | (78,277,361) | (91,226,796) | |||
12.3 Current tax liabilities | |||||||||
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||
At January 1 | 4,410,858 | 14,445,581 | 14,445,581 | 4,415,793 | 14,450,510 | 14,450,510 | |||
Charge for the period | 3,397,979 | 3,377,543 | 2,355,486 | 3,397,979 | 3,377,543 | 2,355,486 | |||
Payment made during the period | (3,376,817) | (13,412,266) | (8,202,312) | (3,376,817) | (13,412,260) | (8,202,312) | |||
Balance end of the period | 4,432,019 | 4,410,858 | 8,598,755 | 4,436,955 | 4,415,793 | 8,603,684 | |||
13 Deferred tax balances | |||||||||
Deferred income taxes are calculated on all temporary differences under the liability method using an effective tax rate of 30% (2022: 30%). The deferred tax assets and the deferred tax liability relate to income tax in the same jurisdiction and the law allows net settlement.
Deferred tax assets are recognised only to the extent that is probable that future taxable profit will be available against which the temporary differences can be utilised.
Deferred tax assets /(iabilities) Deferred tax liabilities are attributable to the following: | |||||||||
Property plant and equipment @ 30% | (16,367,299) | (16,367,299) | (13,667,444) | (16,367,299) | (16,367,299) | (13,667,444) | |||
Property plant and equipment @ 10% | (121,878) | (121,878) | (121,878) | (121,878) | (121,878) | (121,878) | |||
Revaluation surplus on land @10% | (6,013,764) | (6,013,764) | - | (6,013,764) | (6,013,764) | - | |||
Revaluation surplus on property, plant and equipment @10% ex land | (99,024,932) | (100,554,953) | - | (99,024,932) | (100,554,953) | - | |||
Unutilised tax credits | 5,635,987 | 5,635,987 | - | 5,635,987 | 5,635,987 | - | |||
Tax losses | 60,977,236 | 60,977,236 | - | 60,977,236 | 60,977,236 | - | |||
Provisions | 1,545,614 | 1,545,614 | 1,123,365 | 1,545,614 | 1,545,614 | 1,123,365 | |||
Exchange difference @ 33% | 66,463,302 | 66,463,302 | 142,527,213 | 66,463,302 | 66,463,302 | 142,527,213 | |||
Fair value adjustment | (3,332,857) | (3,332,857) | (3,133,677) | (3,332,857) | (3,332,857) | (3,133,679) | |||
Net defered tax assets | 9,761,409 | 8,231,388 | 126,727,579 | 9,761,409 | 8,231,388 | 126,727,577 | |||
Dangote Sugar Refinery Plc Consolidated and Separate Financial Statements for the Period Ended September 30, 2025 Notes to the Consolidated and Separate Financial Statements | |||||||
13 Deferred tax balances (Continued) | |||||||
Deferred income tax charged in profit or loss ("P/L) are attributable to the following items: | |||||||
13.1 Deferred tax reconciliation | Opening | Movement | Movement | Closing | |||
balance | recognised in | recognised in | balance | ||||
the year-SPL | the year -OCI | ||||||
N'000 | N'000 | N'000 | N'000 | ||||
Company and Group as at 31 December 2024 | |||||||
Deferred tax (liabilities)/assets in relation to: | |||||||
Property, plant and equipment @ 30% | 13,667,444 | 2,699,855 | 100,554,953 | 116,922,252 | |||
Property, plant and equipment @ 10% | 121,878 | - | - | 121,878 | |||
Revaluation surplus on land @10% | - | - | 6,013,764 | 6,013,764 | |||
Unutilised tax credits | - | (5,635,987) | - | (5,635,987) | |||
Tax losses | - | (60,977,236) | - | (60,977,236) | |||
Provisions | (1,123,365) | (422,249) | - | (1,545,614) | |||
Exchange difference | (48,944,928) | (17,518,374) | - | (66,463,302) | |||
Fair value adjustment 3,133,677 199,180 - 3,332,857 | |||||||
(33,145,294) | (81,654,811) | 106,568,717 | (8,231,388) | ||||
Company and Group as at 31 December 2023 | |||||||
Deferred tax (liabilities)/assets in relation to: | |||||||
Property, plant and equipment @ 30% | 12,866,209 | 801,235 | - | 13,667,444 | |||
Property, plant and equipment @ 10% | 121,878 | - | - | 121,878 | |||
Exchange rate | (827,496) | (295,869) | - | (1,123,365) | |||
Fair value adjustment | - | (48,944,928) | - | (48,944,928) | |||
Provisions | 1,077,483 13,238,074 | 2,056,194 (46,383,368) | - - | 3,133,677 (33,145,294) | |||
14 Operating profit | |||||||
Profit for the period is arrived at after charging/(crediting): | |||||||
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||
Depreciation of property, plant and equipment (note 16) | 18,801,643 | 12,598,078 | 2,079,987 | 18,801,643 | 11,555,812 | 2,079,986 | |
Defined contribution plans -direct employee cost (note 36) | 360,366 | 404,069 | 272,761 | 360,366 | 404,069 | 272,761 | |
Defined contribution plans -indirect employee cost (note 36) | 203,705 | 234,090 | 161,264 | 197,489 | 234,090 | 161,264 | |
Auditors remuneration | 116,062 | 150,000 | 105,769 | 108,000 | 140,000 | 99,331 | |
14.1 Operating profit is arrived at as below: | |||||||
Gross profit | 90,063,268 | 31,109,484 | 19,819,748 | 90,063,268 | 31,109,484 | 19,819,748 | |
Other income | 11 | 12,738,851 | 2,213,001 | 676,880 | 12,665,908 | 2,061,075 | 534,566 |
Selling and distribution expenses | 8 | (508,460) | (821,864) | (485,705) | (508,430) | (821,864) | (485,705) |
Administrative expenses | 8 | (20,526,373) | (18,922,120) | (11,832,380) | (16,358,308) | (17,208,994) | (11,036,671) |
Impairment (losses)/gains on financial assets | 23 | (645,783) | (907,121) | (13,669) | (645,783) | (907,121) | (13,669) |
81,121,503 | 12,671,380 | 8,164,874 | 85,216,655 | 14,232,580 | 8,818,269 | ||
15 Earnings per share | |||||||
Basic and diluted earnings per share | |||||||
Basic earnings per share is determined by dividing profit or loss attributable to the ordinary equity holders by weighted average number of ordinary shares outstanding during the year.
The weighted average number of ordinary shares used in the calculation of earnings per share are as follows:
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||
Loss for the period | (10,592,195) | (192,616,818) | (184,356,563) | (6,424,067) | (190,866,449) | (183,393,360) | |||
Weighted average number of ordinary shares for the purpose of basic earnings per share | 12,146,878 | 12,146,878 | 12,146,878 | 12,146,878 | 12,146,878 | 12,146,878 | |||
Basic and diluted earnings per share from continuing operations | |||||||||
(Naira) | (0.87) | (15.86) | (15.18) | (0.53) | (15.71) | (15.10) |
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Notes to the Consolidated and Separate Financial Statements
16. Property, Plant and Equipment | |||||||||||
Group | Bearer Plant | Land | Building | Plant & Machinery | Furniture & Fittings | Motor Vehicles | Computer Equipment | Aircraft | Tools & Equipment | Capital Work In Progress | Total |
COST: | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 - |
Balance, 1/1/2024 | 19,984,209 | 6,226,712 | 25,328,862 | 50,940,350 | 519,935 | 34,956,789 | 565,562 | 899,828 | 9,464,281 | 92,178,151 | 241,064,679 |
Additions during the year | 10,887,948 | 232,901 | 4,970,276 | 2,417,002 | 18,855 | 8,084,248 | 88,894 | - | 516,239 | 2,783,894 | 30,000,257 |
Revaluation | - | 81,407,927 | 16,629,957 | 428,278,913 | - | 309,231,491 | - | 5,025,966 | - | - | 840,574,253 |
Reclassifications | - | - | - | 723,972 | - | - | 5,790 | - | - | (729,761) | - |
Disposal | - | - | - | - | - | (22,508) | - | - | - | - | (22,508) |
Scrap | - | - | - | - | - | (280,115) | - | - | - | - | (280,115) |
Balance, 31/12/2024 | 30,872,157 | 87,867,539 | 46,929,095 | 482,360,236 | 538,790 | 351,969,906 | 660,246 | 5,925,794 | 9,980,519 | 94,232,284 | 1,111,336,565 |
Addition-BIP | - | - | - | - | - | - | - | - | - | 257,737 | 257,737 |
Additions-Apapa and Numan | 5,082,530 | - | 29,917 | 1,650,961 | 33,535 | 4,325,956 | 64,589 | - | 371,550 | 12,272,381 | 23,831,419 |
Transfer | - | - | - | 100,490 | - | (248,929) | - | - | 105,427 | (205,917) | (248,928) |
Adjustment | - | - | - | - | - | (189,244) | - | - | - | - | (189,244) |
Reclassifications Disposal | - | 42,091 | 185,415 | 2,362,569 | 24,186 | -(41,930) | - | - | - | (2,614,261) | -(41,930) |
Revaluation adjustments-BIP | - | 26,226,019 | (27,729,439) | 10,911,890 | - | (12,574,230) | - | - | - | - | (3,165,761) |
written off | - | - | (20,478) | - | - | - | - | - | - | (702,405) | (722,883) |
Balance, 30/9/2025 | 35,954,687 | 114,135,650 | 19,394,510 | 497,386,147 | 596,511 | 343,241,528 | 724,834 | 5,925,794 | 10,457,495 | 103,239,819 | 1,131,056,976 |
DEPRECIATION: | |||||||||||
Balance, 1/1/2024 | 10,767,668 | 115,273.00 | 7,913,799 | 22,671,745 | 447,907 | 22,065,534 | 406,188 | 362,890 | 9,230,861 | - | 73,981,867 |
Charge for the year | 4,211,075 | 128,615 | 2,476,736 | 2,032,631 | 66,805 | 3,201,971 | 93,779 | 35,993 | 350,471 | - | 12,598,078 |
Revaluation | - | - | 7,205,438 | 153,548,001 | - | 245,626,385 | - | 2,026,911 | - | - | 408,406,737 |
Disposal | - | - | - | - | - | (17,157) | - | - | - | - | (17,157) |
Scrap | - | - | - | - | - | (277,778) | - | - | - | - | (277,778) |
Balance, 31/12/2024 | 14,978,743 | 243,888 | 17,595,974 | 178,252,378 | 514,712 | 270,598,956 | 499,967 | 2,425,794 | 9,581,333 | - | 494,691,746 |
Charge for the period | 4,070,792 | 109,412 | 2,774,071 | 6,554,944 | 26,660 | 4,183,352 | 72,360 | 804,496 | 205,557 | - | 18,801,643 |
Charge-BIP | - | 18,325 | 38,164 | 562,673 | 6,131 | 1,264,736 | 3,014 | - | 32,395 | - | 1,925,439 |
Transfer | - | - | - | - | - | (41,431) | - | - | - | - | (41,432) |
Disposal | - | - | - | - | - | (10,374) | - | - | - | - | (10,375) |
Balance, 30/9/2025 | 19,049,535 | 371,625 | 20,408,209 | 185,369,995 | 547,504 | 275,995,239 | 575,341 | 3,230,290 | 9,819,284 | - | 515,367,021 |
NET BOOK VALUE: | |||||||||||
Balance, 31/12/2024 | 15,893,414 | 87,623,651 | 29,333,121 | 304,107,858 | 24,077 | 81,370,950 | 160,278 | 3,500,000 | 399,186 | 94,232,284 | 616,644,819 |
Balance, 30/9/2025 | 16,905,152 | 113,764,025 | (1,013,699) | 312,016,152 | 49,007 | 67,246,288 | 149,493 | 2,695,504 | 638,211 | 103,239,819 | 615,689,952 |
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Notes to the Consolidated and Separate Financial Statements
16. Property, Plant and Equipment | |||||||||||
Company | Bearer Plant | Land | Building | Plant & Machinery | Furniture & Fittings | Motor Vehicles | Computer Equipment | Aircraft | Tools & Equipment | Capital Work In Progress | Total |
COST: | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 |
Balance, 1/1/2024 | 19,984,209 | 5,621,959 | 19,238,923 | 42,365,664 | 503,279 | 33,126,514 | 543,440 | 899,828 | 7,638,938 | 42,235,892 | 172,158,646 |
Additions during the year | 10,887,948 | 4,685,709 | 1,886,932 | 18,855 | 7,785,586 | 73,137 | - | 333,522 | 1,308,703 | 26,980,392 | |
Revaluation | - | 52,131,295 | 21,012,218 | 498,860,823 | - | 311,388,952 | - | 5,025,965 | - | - | 888,419,253 |
Adjustment ( Note 16.2) | (889,932) | (889,932) | |||||||||
Reclassifications | - | - | - | 723,972 | - | - | 5,790 | - | - | (729,761) | - |
Transfer | - | - | - | - | - | 786,333 | - | - | - | - | 786,333 |
Disposal | - | - | - | - | - | (22,508) | - | - | - | - | (22,508) |
Scrapping | - | - | - | - | - | (280,115) | - | - | - | - | (280,115) |
Balance, 31/12/2024 | 30,872,157 | 57,753,254 | 44,936,849 | 543,837,391 | 522,134 | 352,784,762 | 622,366 | 5,925,793 | 7,972,459 | 41,924,903 | 1,087,152,070 |
Additions during the period | 5,082,530 | - | 29,917 | 1,650,961 | 33,535 | 4,325,956 | 64,589 | - | 371,550 | 12,272,381 | 23,831,419 |
Transfer | - | - | - | - | - | (144,979) | - | - | - | (205,917) | (350,896) |
Adjustment ( Note 16.2) | - | - | - | - | - | (189,244) | - | - | - | - | (189,244) |
Reclassifications | - | - | - | 1,733,276 | - | - | - | - | - | (1,733,276) | - |
Disposal | (41,930) | (41,930) | |||||||||
Balance, 30/9/2025 | 35,954,687 | 57,753,254 | 44,966,766 | 547,221,629 | 555,669 | 356,734,565 | 686,955 | 5,925,793 | 8,344,009 | 52,258,091 | 1,110,401,418 |
DEPRECIATION: | |||||||||||
Balance, 1/1/2024 | 10,767,668 | 66,245 | 7,342,397 | 22,289,239 | 411,404 | 22,522,288 | 390,015 | 362,890 | 6,828,642 | - | 70,980,788 |
Charge for the year | 4,211,075 | 128,615 | 2,307,896 | 1,650,099 | 36,268 | 2,759,382 | 89,972 | 35,993 | 336,510 | - | 11,555,812 |
Transfer | - | - | - | - | - | 259,763 | - | - | - | - | 259,763 |
Revaluation | - | - | 8,045,413 | 237,516,675 | - | 245,509,437 | - | 2,026,911 | - | - | 493,098,435 |
Disposal | - | - | - | - | - | (17,157) | - | - | - | - | (17,157) |
Balance, 31/12/2024 | 14,978,743 | 194,860 | 17,695,706 | 261,456,014 | 447,672 | 270,755,935 | 479,987 | 2,425,793 | 7,165,152 | - | 575,599,864 |
Charge for the period | 4,070,792 | 109,412 | 2,774,071 | 6,554,944 | 26,660 | 4,183,352 | 72,360 | 804,496 | 205,557 | - | 18,801,643 |
Transfer | - | - | - | - | - | 29,275 | - | - | - | - | 29,275 |
Disposal | - | - | - | - | - | (10,374) | - | - | - | - | (10,374) |
Balance, 30/9/2025 | 19,049,535 | 304,272 | 20,469,777 | 268,010,958 | 474,332 | 274,958,188 | 552,347 | 3,230,289 | 7,370,709 | - | 594,420,408 |
NET BOOK VALUE: Balance, 31/12/2024 | 15,893,414 | 57,558,393 | 27,241,144 | 282,381,377 | 74,462 | 82,028,828 | 142,380 | 3,500,000 | 807,307 | 41,924,903 | 511,552,205 |
Balance, 30/9/2025 | 16,905,152 | 57,448,983 | 24,496,989 | 279,210,670 | 81,337 | 81,776,377 | 134,608 | 2,695,504 | 973,300 | 52,258,091 | 515,981,012 |
Notes to the Consolidated and Separate Financial Statements
16. Property, Plant and Equipment (continued)
The following Right-of Use assets have been included in the property, plant and equipment movement schedules above:
GROUP | GROUP | GROUP | COMPANY | COMPANY | GROUP | ||||||||
Land | Building | Total | Land | Building | Total | ||||||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||||||
COST: | |||||||||||||
Balance, 31/12/2024 | 478,276 | 7,995,581 | 8,473,857 | 534,743 | 7,894,487 | 8,429,230 | |||||||
Addition during the period | - | - | - | - | - | - | |||||||
Balance, 30/9/2025 | 478,276 | 7,995,581 | 8,473,857 | 534,743 | 7,894,487 | 8,429,230 | |||||||
DEPRECIATION: | |||||||||||||
Balance, 31/12/2024 | 320,626 | 5,350,971 | 5,671,597 | 320,626 | 5,326,822 | 5,647,448 | |||||||
Depreciation charge for the period | 127,737 | 1,556,536 | 1,684,273 | 109,412 | 1,556,536 | 1,665,948 | |||||||
Balance, 30/9/2025 | 448,363 | 6,907,507 | 7,355,870 | 430,038 | 6,883,358 | 7,313,396 | |||||||
NET BOOK VALUE: | |||||||||||||
Balance, 31/12/2024 | - | 157,649 | 2,644,610 | 2,802,260 | 214,116 | 2,567,665 | 2,781,782 | ||||||
Balance, 30/9/2025 | 29,912 | 1,088,074 | 1,117,987 | 104,705 | 1,011,129 | 1,115,834 | |||||||
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||||||
17 | Biological assets | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | ||||||
Cost Carrying value at the beginning of the period | 19,189,379 | 14,464,427 | 14,464,427 | 19,189,379 | 14,464,427 | 14,464,427 | |||||||
Net (usage)/addtion | (2,938,616) | (5,374,613) | (4,004,365) | (2,938,616) | (5,374,613) | (4,004,365) | |||||||
Fair value adjustments | 2,400,747 | 10,099,566 | 9,497,269 | 2,400,747 | 10,099,566 | 9,497,269 | |||||||
Carrying amount at the end of the period | 18,651,511 | 19,189,379 | 19,957,331 | 18,651,511 | 19,189,379 | 19,957,331 | |||||||
Current | 18,651,511 | 19,189,379 | 19,957,331 | 18,651,511 | 19,189,379 | 19,957,331 | |||||||
Non-current | - | - | - | - | - | - | |||||||
18,651,511 | 19,189,379 | 19,957,331 | 18,651,511 | 19,189,379 | 19,957,331 | ||||||||
Description of biological assets and activities
Biological assets comprise of growing cane. The growing cane represents biological assets which are expected to be harvested as agricultural produce, intended for production of sugar. The biological assets have been measured at fair value less cost to sell. As at 30 Sep, 2025, the group has a total of 8,601 hectares of growing canes.
Basis for measurement of fair value
The Group adopted the multi-period excess earnings method (MPEEM) under the income approach to estimating the fair value of the Biological Assets. The MPEEM estimates the fair value of an asset based on the cash flows attributable to the asset after deducting the cash flows attributable to other assets (contributory assets). This approach is commonly used for sugarcane considering that land, plant and machinery and the bearer plant are accounted as PPE in line with IAS 16 and considered as contributory assets for the purpose of MPEEM valuation.
The fair value of biological assets are determined based on unobservable inputs, using the best information available in the circumstances and therefore falls within the level 3 fair value category. Growing cane were valued using the income approach.
Key assumptions and inputs | 30/6/2025 | 31/12/2024 | 30/9/2024 | 30/6/2025 | 31/12/2024 | 30/9/2024 |
Industry out-grower price. (N per ton) | 43,367 | 44,979 | 47,558 | 44,364 | 44,979 | 47,558 |
Average yield per hectare (tonnes) | 82.96 | 80.08 | 79.90 | 81.80 | 80.08 | 79.90 |
Discount rate (%) | 10.69% | 12.45% | 17.66% | 12.45% | 12.45% | 17.66% |
Changes in fair value of the biological asset are recognised in the statement of profit and loss.
Financial risk management strategies for biological assets
The group is exposed to risks arising from environmental and climatic changes, commodity prices and financing risks. The group has strong environmental policies and
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | ||||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | ||||||
18 Other assets | N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||||
Prepaid rent | 5,885,062 | 2,613,684 | 2,927,425 | 5,885,062 | 2,613,684 | 2,927,425 | |||||
Prepaid insurance | 574,766 | 277,716 | 110,170 | 569,881 | 277,026 | 108,775 | |||||
Prepaid housing allowances | 466,417 | 56,242 | 395,446 | 466,417 | 56,242 | 395,446 | |||||
Prepaid medicals | 106,267 | 39,309 | 48,841 | 106,267 | 39,309 | 48,841 | |||||
Issuance cost and discount on commercial paper | 20,162,403 | 11,060,446 | 5,026,821 | 20,162,403 | 11,060,446 | 5,026,821 | |||||
Issuance cost - $200m facility for Nasarawa Sugar | 284,907 | 162,445 | - | - | - | - | |||||
Prepaid discount on bond | - | - | 37,450 | - | - | 37,450 | |||||
Prepaid cost on merger | - | - | 578,860 | - | - | 578,860 | |||||
Prepaid Interest - bank loan | 50,830 | 134,375 | - | 50,830 | 134,375 | - | |||||
Others | 826,367 799,824 244,974 826,367 799,824 | 244,974 | |||||||||
28,357,018 | 15,144,042 | 9,369,988 | 28,067,226 | 14,980,907 | 9,368,592 | ||||||
Current | 28,357,018 | 15,144,042 | 9,369,988 | 28,067,226 | 14,980,907 | 9,368,592 | |||||
28,357,018 | 15,144,042 | 9,369,988 | 28,067,226 | 14,980,907 | 9,368,592 | ||||||
Included in others are SAP software maintenance cost and IT application costs totalling N688,598,109,000
Notes to the Consolidated and Separate Financial Statements
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | |
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |
19 Asset held for sale | 868,642 | 868,642 | 868,642 | 868,642 | 868,642 | 868,642 |
The asset is a large expanse of land at Plot 23 Division 9, W110 Road, Kolai'a Local Government, Tipaza Province, Algeria. It is currently covered with light green vegetations, with delineating boundaries/paths partly marked with wire-mesh fitted to steel poles. The immediate neighbourhood features both industrial and agricultural uses and notable landmarks in the vicinity of the property include SPA Société Des Tabacs Algero-Emirate (STAEM) and Zone Industrielle Mazafran. Based on land survey plan, the site extends to c.6 Hectares 22 Yards 29 Centiyard.
The Management of DSR assess that the land's value has not been impaired or diminished since the last valuation carried out on 19th August 2021 by international Land Economists, KNIGHT FRANK LLP, as the opportunities presented in the valuation remain valid. The threat of Corona virus and political stability of the country, Algeria, where the land is located has also improved since the valuation. The DSR Management therefore assess the fair value of the land remains the same as the value presented in the valuation report by KNIGHT FRANK LLP.
The company's Solicitors in Algeria has received an offer for the property in October 2024. This is currently being finalized.
Investment in subsidiaries
The following table lists the entities which are controlled by the Group, either directly or indirectly through subsidiaries.
Name of Company
Held by
N'000 N'000
N'000 N'000
N'000 N'000
Dangote Taraba Sugar Ltd
Dangote Sugar Refinery Plc
99
99,000
99,000
99,000
Dangote Adamawa Sugar Ltd
Dangote Sugar Refinery Plc
99
99,000
99,000
99,000
Nassarawa Sugar Company Limited
Dangote Sugar Refinery Plc
99
99,000
99,000
99,000
Dangote Sugar (Ghana ) Limited Dangote Sugar Refinery Plc 100 1,361,280
1,658,280
1,361,280
1,658,280
-
297,000
Company
% interest 30/9/2025
Carrying amount 31/12/2024
30/9/2024
Deposit for shares
The Board of Directors of Dangote Sugar Refinery Plc (DSR) resolved that the total funding of its Backward Integrated Project entities (Dangote Taraba Sugar Ltd, Dangote Adamawa Sugar Ltd and Nasarawa Sugar Company Limited) shall be converted to deposit for shares or equity contribution in the books of both DSR and the respective entities and same shall thereafter be converted to equity in future.
Total funding to date
30/9/2025
N'000
31/12/2024
N'000
30/9/2024
N'000
Nasarawa Sugar Company Limited 45,648,366 43,772,192 42,778,018
Dangote Adamawa Sugar Ltd 26,966,800 26,921,800 26,727,469
Dangote Taraba Sugar Ltd 1,902,264 1,902,264 1,900,164
74,517,430 72,596,256 71,405,651
22 | Inventories | GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | |||||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |||||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||||||
Raw materials | 55,063,118 | 106,374,044 | 73,182,359 | 54,973,340 | 106,283,347 | 73,073,498 | ||||||
Raw material in transit | 91,386 | 78,545 | (0) | 91,386 | 78,545 | (0) | ||||||
Work-in-process | 15,383,330 | 10,794,489 | 10,667,947 | 15,383,330 | 10,794,489 | 10,667,947 | ||||||
Finished goods | 319,643 | 23,495,906 | 2,659,146 | 319,643 | 23,495,906 | 2,659,146 | ||||||
Finished goods in transit | 6,295,517 | 7,490,506 | 3,432,781 | 6,295,517 | 7,490,506 | 3,432,781 | ||||||
Production supplies | 44,208,559 | 23,738,159 | 31,780,313 | 43,305,935 | 23,007,125 | 30,996,891 | ||||||
Chemicals and consumables | 8,262,186 | 7,073,956 | 9,259,731 | 8,032,771 | 6,848,717 | 9,034,218 | ||||||
Packaging materials | 1,220,265 | 1,123,571 | 912,575 | 1,220,265 | 1,123,571 | 912,575 | ||||||
130,844,003 | 180,169,176 | 131,894,852 | 129,622,186 | 179,122,206 | 130,777,057 | |||||||
Allowance for obsolete inventory | (344,076) | (344,076) | (344,076) | (344,076) | (344,076) | (344,076) | ||||||
130,499,927 | 179,825,100 | 131,550,776 | 129,278,110 | 178,778,130 | 130,432,981 | |||||||
Movement in provision for obsolete inventory As at 1 January | (344,076) | (344,076) | (344,076) | (344,076) | (344,076) | (344,076) | ||||||
Charge for the period | - | - | - | - | - | - | ||||||
As at 30 September | (344,076) | (344,076) | (344,076) | (344,076) | (344,076) | (344,076) | ||||||
Amount of inventory charged as expense in the period: | - | - | - | - | ||||||||
No inventory was pledged as security for any liability. |
Dangote Sugar Refinery Plc
Consolidated and Separate Financial Statements for the Period Ended September 30, 2025
Notes to the Consolidated and Separate Financial Statements
23 | Trade and other receivables | GROUP 30/9/2025 N'000 | GROUP 31/12/2024 N'000 | GROUP 30/9/2024 N'000 | COMPANY 30/9/2025 N'000 | COMPANY 31/12/2024 N'000 | COMPANY 30/9/2024 N'000 | ||
Trade receivables | 23,114,896 | 20,738,670 | 10,649,740 | 23,114,896 | 20,738,670 | 10,649,740 | |||
Allowance for doubtful debts and impairments (Note 23.2) | (113,481) | (196,322) | (196,991) | (113,481) | (196,322) | (196,991) | |||
23,001,415 | 20,542,348 | 10,452,749 | 23,001,415 | 20,542,348 | 10,452,749 | ||||
Staff loans and advances | 381,816 | 329,525 | 417,210 | 369,248 | 328,745 | 406,417 | |||
Allowance for impaired Staff advances | (204,112) | (80,773) | (105,157) | (204,112) | (80,773) | (105,157) | |||
Allowance for impaired staff loans (Note 23.2) | (44,148) | (43,914) | (37,752) | (44,148) | (43,914) | (37,752) | |||
Other financial assets | 829,315 | 39,353,280 | 39,066,090 | 829,315 | 39,341,695 | 39,054,506 | |||
Advance payment to contractors | 26,466,828 | 16,373,471 | 15,812,967 | 26,270,167 | 16,106,494 | 15,630,778 | |||
Insurance claim receivable | - | - | 856,550 | - | - | 373,388 | |||
Allowance for impaired Insurance claim (Note 23.2) | - | - | (373,388) | - | - | (373,388) | |||
Negotiable Duty Credit Certificates (Note 23.1) | 593,973 | 602,238 | 623,592 | 593,973 | 602,238 | 623,592 | |||
Other receivables | 76,879,620 | 19,169,014 | 2,326,303 | 76,879,620 | 19,169,014 | 2,326,303 | |||
Amount due from related parties (Note 35) | 7,097,786 | 8,878,021 | 4,630,989 | 7,097,786 | 8,878,021 | 4,630,989 | |||
Allowance for impaired -related parties Trade(Note 23.2) | (43,461) | (40,869) | (339,840) | (43,461) | (40,869) | (339,840) | |||
Allowance for impaired -related parties Non-Trade(Note 23.2) | (3,045,313) | (2,319,515) | (759,199) | (3,045,313) | (2,319,515) | (759,199) | |||
131,913,718 | 102,762,826 | 72,571,115 | 131,704,490 | 102,483,484 | 71,883,386 |
Other financial asset is in respect of the deposit for open Letters of Credit with the banks.
Trade receivables disclosed above include amounts (see note 32 for aged analysis) that are past due more than 30 days as at the reporting date for which the company has not recognised an allowance for doubtful debts because there has not been a significant change in credit quality and the amounts are still considered recoverable.
Other receivables include N61,178,707,064.7 being revaluation loss on Fx forwards ($ 58 million ) described as invalidated by the Central Bank of Nigeria
Negotiable duty credit certificate
The Company has received certificates for N707 million termed as Negotiable Duty Credit Certificate (NDCC).However, N83.5 Million matured during the year 2022 which reduced the balance to N623.6 Million.The NDCC is an instrument of the government for settling of the EEG receivables. The NDCC is used for the payment of Import and Excise duties in lieu of cash. The recently issued Government promissory notes that relates to the last tranches of export carried out by the company are being converted to cash based on the maturity dates indicated on the instruments. However, the old NDCC which ought to be utilized for payment of import and exercise duty in lieu of cash is yet to be enjoyed just like other players within the industry
Though, a significant component of the NDDC/EEG receivable have been outstanding for more than one year, no impairment charge has been recognised by the Company in the current year because they are regarded as sovereign debt since it is owed by the government. Moreover, the government has not communicated or indicated unwillingness to honour the obligations. On the contrary, the government has announced a resumption of the scheme in 2017. Thus, the outstanding balances are classified as current assets accordingly.
Allowance for impairment of financial assets
Company and Group Insurance
claim
Trade receivables
Related party
Staff loans Total
Trade-related | Non-trade related | |||||||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||
Balance as at 1/1/2024 | 373,388 | 435,350 | 79,396 | 767,613 | 37,752 | 1,693,499 | ||
Increase/(decrease) in allowance for credit losses for the period | (373,388) | (239,028) | (38,527) | 1,551,902 | 6,162 | 907,121 | ||
Balance as at 31/12/2024 | - | 196,322 | 40,869 | 2,319,515 | 43,914 | 2,600,620 | ||
Net impact on retained earnings in prior period | (373,388) | (239,028) | (38,527) | 1,551,902 | 6,162 | 907,121 | ||
Balance as at 1/1/2025 | - | 196,322 | 40,869 | 2,319,515 | 43,914 | 2,600,620 | ||
Increase/(decrease) in allowance for credit losses for the period | - | (82,841) | 2,592 | 725,798 | 234 | 645,783 | ||
Balance as at 30/9/2025 | - | 113,481 | 43,461 | 3,045,313 | 44,149 | 3,246,403 | ||
Net impact on retained earnings in current period | - | (82,841) | 2,592 | 725,798 | 234 | 645,783 | ||
24 Cash and cash equivalents
For the purpose of the statement of cash flows, cash and cash equivalents include cash on hand and in banks and short term deposits with 30 days tenure. Cash and cash equivalents at the end of the reporting period as shown in the statement of cash flows can be reconciled to the related items in the statement of financial position as follows:
GROUP | GROUP | GROUP | COMPANY | COMPANY | COMPANY | |||
30/9/2025 | 31/12/2024 | 30/9/2024 | 30/9/2025 | 31/12/2024 | 30/9/2024 | |||
N'000 | N'000 | N'000 | N'000 | N'000 | N'000 | |||
Cash in hand | 4,278 | 2,709 | 3,054 | 2,650 | 2,650 | 2,693 | ||
Bank balances | 35,554,132 | 31,343,746 | 46,839,021 | 35,364,319 | 31,182,883 | 46,686,096 | ||
Short term deposits | 44,320,085 | 73,820,072 | 70,543,326 | 44,320,085 | 73,820,072 | 70,543,326 | ||
Nigerian Treasury bill | - | 3,000,000 | 3,000,000 | - | 3,000,000 | 3,000,000 | ||
79,878,496 | 108,166,527 | 120,385,401 | 79,687,054 | 108,005,605 | 120,232,115 | |||
Bank overdraft (Note 30) | (39,429,042) | (72,550,865) | (61,101,802) | (39,429,042) | (72,550,865) | (61,101,802) | ||
Cash and cash equivalent for cashflow purpose | 40,449,454 | 35,615,662 | 59,283,599 | 40,258,012 | 35,454,740 | 59,130,313 |
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