Kenya: The East African Portland Cement Company (EAPCC) has reported a net profit of US$28m for its financial year that ended on 30 June 2013. In the previous year the company reported a loss of US$11m. Revenue grew by 8% year-on-year to US$108bn. The improvement was attributed to improved sales and cost cutting.
"The results were lifted partly by a tax credit of US$4.2m and a US$8.4m net gain from revaluation of free hold property," said EAPCC Managing Director Kephar Tande. He added that turnover grew while the cost of sales fell due to cost management and a rationalisation of operational activities. Speaking generally, Tande said that the EAPCC is relying on increased infrastructure projects in Kenya to lift demand and it has appealed to the government to remove duty exemption on imported cement meant for government projects.
In the current financial year to 30 June 2014 the EAPCC plans to invest US$5.9m on plant and equipment upgrades. Overall the cement producer intends to spend up to US$32m until 2015 on building a new packing line, acquisition of new clinker and grinding capacity and the creation of a new line of pre-cast concrete products.
