AGRIBUSINESS: SEMC Returns to Growth, Lifting Net Profit to Nearly CFAF 900 Million

In Cameroon’s beverage industry, competition is no longer confined to beer and soft drinks. Driven by population growth, rapid urbanization and shifting consumer habits, the bottled water segment is gradually becoming one of the most competitive areas of the country’s agribusiness sector. Against this backdrop, the Société des Eaux Minérales du Cameroun (SEMC), a subsidiary of Boissons du Cameroun, returned to stronger financial momentum in 2025.

According to draft resolutions submitted to shareholders ahead of the mixed General Assembly scheduled for June 5, 2026 in Douala, the company recorded a net profit of CFAF 899.5 million under International Financial Reporting Standards (IFRS), compared with CFAF 772.2 million in 2024. This represents an increase of approximately CFAF 127.3 million year-on-year, following a period marked by weaker profitability.

The previous financial year had been heavily impacted by rising operating expenses. Transportation costs, energy prices, outsourced services and raw material procurement all weighed significantly on the company’s margins. Like many industrial operators in Cameroon, SEMC has had to cope with higher logistics costs and inflationary pressures affecting several sectors of the economy.

Financial documents prepared for the General Assembly also reveal a net profit of CFAF 840.6 million under Syscohada accounting standards. The difference between the IFRS and Syscohada figures is mainly due to differing accounting treatments related to provisions, depreciation and specific financial adjustments applied under each framework.

Following the improvement in earnings, the Board of Directors is proposing a gross dividend of CFAF 800 per share for the 2025 financial year. With a share capital composed of 192,473 shares, the total amount earmarked for distribution is estimated at nearly CFAF 154 million. After deduction of the Tax on Income from Movable Capital (IRCM), the net dividend would amount to CFAF 720 for shareholders residing in Cameroon.

Despite this shareholder payout, the company intends to retain a substantial portion of its earnings to strengthen its financial capacity. According to the proposed allocation of earnings, nearly CFAF 1.8 billion would be carried forward from a total distributable profit exceeding CFAF 2 billion. This reflects a cautious financial strategy in a market that has become far more competitive.

Long dominated by Tangui, SEMC’s flagship brand, Cameroon’s mineral water industry has experienced intensifying competition in recent years with the rise of new local and regional operators. Source du Pays has notably emerged as one of the leading challengers in a market where bottled water consumption continues to expand due to public health concerns and evolving urban lifestyles.

According to several market studies, demand for packaged water continues to rise in Cameroon’s major cities, particularly Douala and Yaoundé, where rapid urban expansion is placing increasing pressure on public drinking water infrastructure. This trend is supporting the growth of private mineral water producers and intensifying competition across both modern and traditional distribution networks.

Listed on the Central African Stock Exchange (Bvmac), SEMC remains one of the few Cameroonian industrial companies traded on the regional financial market. Its stock is currently trading at around CFAF 49,000, reflecting relative market stability despite inflationary pressures and slower consumption growth in certain economic segments.

Through this improvement in financial performance, the Boissons du Cameroun subsidiary confirms its ambition to consolidate its position in what has become a strategic segment of Cameroon’s agribusiness industry.

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Raphael Mforlem

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