14 February 2019
Prices and markets drive GCC sales in 2018 14 February 2019
US/Mexico: Growing cement sales volumes and higher prices in the US and Mexico drove Grupo Cementos de Chihuahua’s (GCC) sales in 2018. Its net sales rose by 7.2% year-on-year to US$883m in 2018 from US$824m in 2017. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) grew by 6.7% to US$256m from US$240m. However, its net income fell by 24.2% to US$63.5m from US$83.7m. US sales rose by 7.1% to US$883m and Mexican sales rose by 7.2% to US$237m.
“We completed a purchase-sale transaction exchanging GCC’s ready-mix plants in Oklahoma and Northwest Arkansas, which were not integrated into our cement distribution network, for a cement plant in Montana representing a strategic addition to our system that will also improve our profitability. This plant, along with the completion of capacity expansion at our South Dakota cement plant in Rapid City, will enable us to continue to benefit from the robust pace of growth in the US economy,” said Enrique Escalante, GCC’s chief executive officer.
Martin Marietta cement sales rise in 2018 14 February 2019
US: Martin Marietta's sales rose by 7% year-on-year to US$4.24bn in 2018 from US$3.97bn in 2017. Its adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) remained stable at US$1.1bn. Revenue from its cement business grew by 4.5% to US$388m from US$371m.Cement shipments increased slightly to 3.5Mt. The building materials company said that its cement shipments had been negatively affected by bad weather in the fourth quarter. The bulk of the company's revenue comes from it aggregate business followed by ready-mix concrete.
W&P Cementi and Friulana Calcestruzzi grow in 2018 14 February 2019
Italy: W&P Cementi and Friulana Calcestruzzi’s turnover grew by 12% year-on-year to Euro35m in 2018. W&P Cementi produced around 0.35Mt of cement and binders, according to the Il Friuli newspaper. Friulana Calcestruzzi produced around 0.12Mm3 of ready-mix concrete. The companies are part of Austria’s Alpacem brand bringing together cement and concrete subsidiaries of Wietersdorfer Group in Austria, Slovenia and Italy. The group has a cement production capacity of 2Mt/yr and a concrete production capacity of 0.3Mm3 across 19 sites with over 640 staff.
Cherat Cement’s turnover falls in half-year 14 February 2019
Pakistan: Cherat Cement’s turnover fell by 7% year-on-year to US$50.3m in the six months to 31 December 2018 from US$54.2m in the same period in 2017. Its operating profit dropped by 38% to US$6.8m from US$10.9m.
Bashundhara Industrial Complex to upgrade grinding plant 14 February 2019
Bangladesh: Bashundhara Industrial Complex plans to spend US$53m towards upgrading its Mongola grinding plant to 3Mt/yr from 2.1Mt/yr at present. The upgrade is scheduled to be commissioned in 2020, according to the Daily Star newspaper. Bashundhara Group holds the second largest cement market share at 8.48% through its two brands, Bashundhara Cement and Meghna Cement. Once the upgrade at Mongola is completed is will have a total production capacity of 7.56Mt/yr.
Anhui Conch chooses grinding aid supplier for 2019 14 February 2019
China: Anhui Conch has chosen Conch New Materials, a fellow subsidiary of Conch Holdings, as one of its grinding aids suppliers for 2019 following an open tender process. The value of the deal is estimated to be worth no more than around US$125m for no more than 0.15Mt of cement grinding aids. Conch New Materials develops, produces and sells cement additives, concrete admixtures, related chemical products and technical services. The other supplier has not been named.
ThyssenKrupp details new leadership structure for new companies 14 February 2019
Germany: ThyssenKrupp has announced the leadership structure of its two future companies: ThyssenKrupp Industrials and ThyssenKrupp Materials. At each company the number of board directorates will be reduced to three and central functions will be combined.
From 17 corporate and service functions at present, there will be 14 at ThyssenKrupp Industrials and 10 at ThyssenKrupp Materials. The current matrix structure will be dissolved. In the future there will be no regional structure besides the business areas at headquarters level. The tasks in the regions will be performed by the operating units or central functions. The shared service units will also be allocated according to business requirements and focused more closely.
“With the separation we will create strategic clarity and enable the businesses to develop more dynamically. The new leadership structures are key to this. The new set-up is tailored to business requirements and reflects the different market requirements. Both ThyssenKrupps will become leaner, faster and better,” said Guido Kerkhoff, chief executive officer (CEO) of ThyssenKrupp.
ThyssenKrupp Industrials will comprise the elevator, automotive, and plant engineering businesses, including manufacturing equipment for the cement sector. ThyssenKrupp Materials will operate in the materials sector.
ThyssenKrupp will take a final vote on the separation plans in January 2020. The composition of the two management teams will be decided in spring 2019. Details of the financial structure, brand identity and strategy of the two new companies will be announced in May 2019. Both companies are to commence operations at the start of the company’s next financial year on 1 October 2019.