BUA Cement and Dangote Cement, Who Pays More Dividends

BUA Cement and Dangote Cement sit at the top of Nigeria’s cement market and the NGX SWOOT club, but when the question is dividends, there is usually a big difference.

Dangote Cement has paid investors more cash per share, more cash in total, and with stronger cash-generation capacity to sustain it.

The dividend scoreboard

Dangote Cement paid ₦30 per share for 2024, translating to ₦502.56 billion in total dividends and a 99.86% payout ratio. BUA Cement paid ₦2.05 per share for 2024, translating to ₦69.42 billion and a 93.93% payout ratio.

That is not a close contest on value returned to shareholders. Dangote’s dividend per share is materially higher, and the total dividend pool is in a different league.

What 2025 performance implies for dividends

Both companies’ nine-month 2025 numbers (ending September 30, 2025) strengthened the dividend conversation, but again, Dangote’s scale drives the outcome.

Dangote Cement’s profit after tax in 9M 2025 hit ₦743.263 billion, up 166% year-on-year, with operating cash flow of ₦1.291 trillion (up 143% YoY). 

The most important dividend signal in that set is cash. Dividends ultimately come from cash generation, not accounting profit, and Dangote’s operating cash flow is robust.

BUA Cement posted ₦289.855 billion profit after tax in 9M 2025, up 492% YoY, which is a major turnaround on paper. 

But its net cash flow declined 45% YoY to ₦221.137 billion, pressured by working capital. That matters because dividend capacity is easier to sustain when cash flow is rising and predictable.

Based on the performance already recorded in the first nine months of 2025, market expectations tilt upward for both companies’ 2025 dividends. The projections in view are ₦54 DPS for Dangote Cement and ₦10.72 DPS for BUA Cement. 

Even if both companies meet those expectations, Dangote still pays substantially more per share.

Consistency and dividend culture

Dangote Cement’s dividend track record is framed as long-running and consistent, with dividends paid across a decade. 

That consistency matters to income-focused investors because it signals management priority and balance-sheet discipline around shareholder returns.

BUA Cement is also described as consistent in dividend payment, but the scale is smaller and the cash-flow profile is less convincing in 9M 2025 due to the drop in net cash flow. In dividend investing, consistency is not only about paying, it is about paying through different economic cycles without stressing liquidity.

Why Dangote can pay more

Three drivers from the provided numbers explain why Dangote can outpay BUA on dividends.

First is profit scale. In 9M 2025, Dangote’s profit after tax (₦743.263 billion) is far larger than BUA’s (₦289.855 billion). Bigger profits support bigger dividend pools, especially when payout ratios are already high for both.

Second is cash flow strength. Dangote’s operating cash flow (₦1.291 trillion) is a dividend engine. BUA’s ₦221.137 billion net cash flow, combined with working capital strain, is a constraint even in a strong profit year.

Third is balance sheet positioning. Dangote Cement reduced borrowings to ₦1.32 trillion (a 47% reduction), bringing its debt-to-equity ratio down to 0.54 from 1.15 as at December 2024. 

BUA Cement also improved, reducing leverage to 0.78 from 1.27, but Dangote still looks stronger on debt management. Lower leverage risk gives management more room to return cash to shareholders.

Does share price performance change the dividend verdict

Not on “who pays more dividends.” BUA’s share price performance has been stronger on valuation, its YTD gain reached 74% after moderating from a higher peak, compared to Dangote’s 24% after a weaker November. 

That is about capital appreciation. Dividends are about cash returned. On that metric, the direct comparison remains Dangote’s higher DPS and larger dividend pool.

The simple answer investors need

If your priority is dividend income, Dangote Cement is the clearer dividend stock based on the numbers provided: higher dividends per share, higher total dividends, higher payout ratio in 2024, and stronger 9M 2025 cash generation that supports future payouts.

BUA Cement has a strong growth story, production rose 27% in 9M 2025 and revenue jumped 47% YoY and its expected 2025 DPS points to improving shareholder returns. But on dividends today, Dangote Cement pays more, and it is better positioned to keep paying more.