Vietnam: Cement firms in Vietnam are reported to be 'upbeat' as rising domestic consumption has lifted their profits in the first half of 2015. Tran Viet Thang, General Director of Vietnam Cement Industry Corporation (VICEM), reported that, despite unfavourable exports, VICEM still registered a pre-tax profit of US$62.6m in the first half of 2015. This is 34% more than the US$46.7m posted in the first half of 2015. VICEM expects that its full-year profits will surpass US$93m in 2015.
The most impressive business performance among VICEM members was from Ha Tien 1, which saw its first half post-tax profit spike to US$18.4m, a surge in growth that dwarfs the US$604,650 profit from a year earlier. The company's net revenue rose by 19.4% year-on-year to US$96m. Its gross profit rose by 51.5% to US$20m.
Hoang Mai made nearly US$1.4m in post-tax profits in the first six months of 2015, against US$1.1m a year ago. Its net revenue from sales and service supply in the second quarter came to US$23.2m compared to US$21m in the same period in 2014.
Apart from VICEM member units, other companies in the cement industry have also reported a promising returns, with strong growth in the first half. Cam Pha Cement JSC, based in the north-eastern province of Quang Ninh, saw a 21% jump in sales volumes during the period, generating a revenue of US$51m and a profit of US$3.1m.
In 2015 Vietnamese cement consumption is forecast to hit 74 - 75Mt, with a further 19-20Mt earmarked for export.
