Displaying items by tag: Results
Mozambique production hits record high
06 June 2012Mozambique: Domestic production in Mozambique reached a record high of 0.28Mt in the first quarter of 2012, with imports falling to 79,000t during the same period.
National Director of Industry, Sidonio dos Santos, has attributed this growth to a sharp increase in the availability of cement, although domestic production is yet to meet the demands of the market. Cimento Nacional, a new cement factory, has been commissioned with an installed annual capacity of 0.25Mt/yr. Cimentos de Mocambique, the largest cement factory in the country, has increased its capacity to 0.40Mt/yr with the inauguration of a new mill.
In 2010 total production capacity for the country was estimated at 1.3Mt, which increased to 2Mt in 2011. In January 2012 domestic production reached 79,000t while imports were just 16,000t. In February 2012 production was nearly 90,000t, with imports at 26,000t. In March 2012 production was 0.11Mt, with imports at 37,000t.
"We believe we will meet the government's five-year plan for cement production, because investors are implementing their projects to increase production and build new factories," said Dos Santos.
Currently there are five cement factories in Mozambique. The government expects to inaugurate another three cement factories in the province of Maputo: GS Cimentos, with a capacity of 0.5Mt/yr; ADIL Cement, with a capacity of 0.12Mt/yr; Maputo Cement and Steel Maputo with a capacity of 0.13Mt/yr. In January 2012 Industry and Trade Minister Armando Inroga announced that the government is considering imposing a quota system for imported cement later in 2012 in order to protect Mozambican cement producers.
Vietnam production down 7.2% so far in 2012
30 May 2012Vietnam: Cement producers in Vietnam are estimated to have made 22.5Mt of cement in the first five months of 2012, down 7.2% from the same period of 2011.
In May 2012, the Southeast Asian nation is likely to have produced 5.5Mt of cement, up by 5.5% year-on-year, according to a report from the the government's General Statistics Office. The office also revised down the country's cement output in January to April 2012 to 17.1Mt from earlier estimated figures of 17.8Mt.
In 2011, Vietnam produced and sold 49.3Mt of cement. The country also imported 1.15Mt of clinker and exported 5.5Mt of cement and clinker during the period/
Vietnam's cement consumption is forecast to reach 55 – 56.5Mt in 2012, rising by 11 - 12% compared to 2011. However the country's cement output is expected to rise to 73Mt in 2012 due to the additional operation of eight new cement plants with a combined production capacity of 6.9Mt. Local cement makers are predicted to face huge difficulties due to big surplus of cement.
South Africa: Pretoria Portland Cement (PPC) has seen its sales volumes drop by 3% year-on-year in the first half of 2012, which ended on 31 March 2012, mainly due to weak demand from Botswana and the Western Cape region of South Africa. However, the overall group revenue rose by 8% over the same period of 2011 from US$395m to US$427m, due to positive pricing of cement and lime products.
"Our results improved despite being tempered by weak demand in the Western Cape and Botswana and fierce competition on cement prices in all our regions," said PPC CEO Paul Stuiver.
PPC's earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 5% in the half-year, from US$126m to US$132m. Operating profit rose by 4%, from US$99.3m to US$104m. However, costs of sales were 11% higher than in 2011. The group said that it continued to be significantly affected by higher electricity and diesel prices, which both rose by 30% in 2011.
Tanzania: Tanga Cement, Tanzania's second-largest cement maker, has reported that its full-year profit in 2011 fell by 31% to US$13.8m due to higher production costs. Its revenue rose by 8% to US$101m in the same period. However, Tanga Cement has also announced plans to invest US$165m into a plant upgrade in order to boost output and exports. FLSmidth has confirmed that it is currently in negotiation to supply the upgrade.
Tanga Cement, which trades as Simba Cement, said it planned to increase exports to member states of the East African Community (EAC) trade bloc, and would build a second kiln, to be commissioned in the first quarter of 2015. Once completed, the second kiln will increase the company's clinker production capacity by 0.6Mt/yr, more than doubling the current capacity. The new kiln will increase the production capacity of clinker from 0.5Mt/yr to 0.6Mt/yr. Simba Cement increased its cement production capacity in 2010 from 0.75Mt/yr to 1.2Mt/yr after commissioning a second cement mill.
Eagle Materials cement earnings up 60%
18 May 2012US: Eagle Materials Inc. has reported its financial results for the 2012 fiscal year and the fiscal fourth quarter that ended on 31 March 2012. Its results showed that the group's revenue was up by 7% for the fiscal year, to US$495m and cash flow from operations was US$60.2m, up by 37%. In the quarter ending 31 March 2012, the company netted revenues of US$116.8m, a 22% year-on-year increase.
Eagle said that its low cost operations continued to execute well during the 2012 fiscal year and that it was beginning to see improving construction activity across most of its markets. Eagle's earnings began to improve during the second half of fiscal 2012 and accelerated during the fourth quarter.
The company saw improved cement revenues, which were up by 8% for the full fiscal year to US$244m. Operating earnings from cement were up by 3% to US$46.9m. In the fourth quarter its cement operating earnings were US$7.5m, a massive 60% increase from the same quarter of the 2011 fiscal year.
Eagle said that the increase in its cement earning primarily reflected improved sales volumes and sales prices offset by US$2m of additional maintenance costs incurred in the quarter versus the prior year quarter. Cement revenues for the quarter, including joint venture and intersegment revenues, totalled US$49.8m, 23% greater than the same quarter of 2011. Cement sales volumes for the quarter were 0.53Mt, 20% higher than the same quarter of 2011.
FLSmidth Q1 profits below forecast
16 May 2012Denmark: FLSmidth, a supplier of engineering services and equipment to the cement and minerals industries, has kept its outlook for 2012 after first quarter profits rose less than forecast. The company said market trends remained favourable and that a rise in order intake confirmed its growth expectations.
FLSmidth said that it still expected full-year 2012 consolidated revenues of US$4bn, up from US$3.78bn in 2011, and an earnings before interest and tax (EBIT) margin of 9-10% against a 2011 margin of 9.9%. It is also aiming for a 2012 earnings before interest, tax and amortisation (EBITA) margin of at least 10%, against a 2011 margin of 10.9%. First-quarter earnings before interest and tax (EBIT) rose to US$57.7m in January to March 2012 from US$52.4m in the first quarter in 2011.
Athi River profit grows 17% in Q1
16 May 2012Kenya: Athi River Mining has posted a 17% rise in first quarter pretax profit to US$4.7m, helped by higher production and growing demand for cement for infrastructure projects.
Kenya's second-largest cement firm, the turnover of which jumped by 61% to US$32m for the quarter ending 31 March 2012, said it would recommend a share split of five for every one ordinary share and a name change to 'ARM Cement Limited' at an annual general meeting scheduled for 24 July 2012. The company also said in March 2012 that it planned to raise US$50m, equivalent to 13.6% of its total equity, through a six-year convertible loan from Africa Finance Corp to finance expansion of its clinker and cement plants later in 2012.
Buzzi Unicem reports Euro45.9m loss in Q1
16 May 2012Italy: Buzzi Unicem has reported a widened net loss of Euro45.9m for the first quarter of 2012 from Euro32.8m for the same period in 2011, a drop of 29%. The producer, Italy's biggest cement maker by market value, blamed the performance on lower cement demand and the extremely cold winter in Europe.
Net sales fell by 1.3% year-on-year to Euro562.2m. Earnings before interest, tax, depreciation and amortisation (EBITDA) fell by 47.6% to Euro22.4m. The net debt rose to Euro1.21bn at the end of March 2012 from Euro1.14bn at end of December 2011. Buzzi Unicem confirmed it expects to post in 2012 operating results similar to the ones booked in 2011.
Dangote Cement posts US$200m profit for Q1
16 May 2012Nigeria: Dangote Cement has reported a pre-tax profit of US$200m for the first quarter of 2012, an increase of 8.9% compared to the US$173m recorded for the same period in 2011.
Analysis of the Nigerian producer's unaudited financial results indicated that its operating profits rose by 13.7% to US$200m reflecting the higher proportion of locally manufactured cement compared to US$176m in 2011. Gross profit for the group was US$231m for the quarter compared to US$182m in 2011. The group achieved strong growth in revenue and profits in the first quarter, with revenues rising from US$345m to US$405m, an increase of 17.6%.
Shree Cement reports 74% rise in Q4 net profit
15 May 2012India: Shree Cement has reported a rise of 74% in its net profit to US$21.2m for the fourth quarter of the financial year 2011-12, which ended on 31 March 2012, compared to US$12.2m for the same period of 2010-11.
Shree's net sales rose by 43% to US$289m for the quarter, compared to US$203m in 2011. For the full financial year the company reported a rise of 27.3% in its standalone un-audited net profit to US$50m, compared to US$39m in the previous financial year. Net sales for the company also increased by over 31% to US$884m in 2012 compared to US$676m in 2011.
HM Bangur, managing director of Shree Cement, attributed the jump in profits to better capacity utilisation, increased sales and increases in other income streams thanks to legal action ruling in the company's favour. "Our capacity utilisation has been much better. In the fourth quarter of 2012 compared to the same period in 2011, cement sales increased by 30% in volumetric terms and instead of 25.7Mt, we have sold 33.5Mt," he explained.
Bangur expects growth to slow down in the financial year 2012-13 and he is optimistic about the surge in the sale of power. "The pace will definitely slowdown because the 30% growth rate is not easy to maintain. I expect the cement market to grow by 9% and the company to grow by 12% in volume terms." In the 2012-13 period Shree Cements forecasts that it will increase its capacity by 12.5-13Mt.
Bangur added that claims of cartelisation in the cement sector were unfounded and that the forthcoming judgement by the Competition Commission of India (CCI) on its investigation into the sector are eagerly expected.