27 July 2023

Switzerland: Holcim recorded 7.4% year-on-year growth in its organic sales to US$15.3bn in the first half of 2023. However, in real terms, its sales fell by 11% year-on-year from US$17.1bn during the first half of 2022. Its sales of cement grew by 13.8% on an organic basis to US$7.93bn, down by 21% in real terms from US$10bn. Cement constituted 52% of revenues, compared to 58% in the first half of 2022. Holcim's group share of net income rose by 9% to US$1.47bn from US$1.35bn.

Chair and chief executive officer Jan Jenisch noted 'continued profitable expansion' in the growing North American market and 'accelerated green growth' in the group's Europe and Latin America regions. He said “In line with our Strategy 2025 - Accelerating Green Growth, we reduced our overall CO₂/net sales by 18% while building billion-dollar brands with ECOPact and ECOPlanet. It’s exciting to be at the forefront of decarbonising Europe with three additional grants from the EU Innovation Fund for our carbon capture, utilisation and storage projects, making us the first in our sector with five projects supported by the EU. We look forward to finishing the year strong and to further decarbonising building.” Jenisch concluded that the results 'confirm Holcim’s strong positions across all markets, delivering superior profitability and growth with leading sustainable building solutions and brands.'

Germany: Heidelberg Materials' consolidated sales rose by 5.3% year-on-year to Euro10.5bn in the first half of 2022. The producer noted a continuing 'downward trend' in its cement sales volumes in the second quarter of the year. The group recorded a net profit of Euro783m, up by 31% year-on-year from Euro597m.

Chair Dominik von Achten said “We have closed the first half of 2023 with a good result. Even in a weaker market environment, with significant declines in sales volumes in some cases, we performed quite well. We remain confident about the second half of the year, and are once again upgrading our outlook for 2023 significantly." He continued "In the first half of 2023, we achieved a further reduction in our specific net CO₂ emissions through numerous measures. With the large number of our carbon capture, utilisation and storage (CCUS) projects, we are aiming at the full decarbonisation of our products. Just recently, one of our pioneering carbon capture and storage projects in Germany was approved to receive funding from the EU Innovation Fund. The continuous reduction of our carbon footprint and strengthening the circular economy are our most powerful levers to offer our customers climate-friendly products on a large scale."

Chief financial officer René Aldach said that the company will demonstrate its financial strength with a third tranche of its on-going share buyback programme, commencing on 28 July 2023.

Mexico: Cemex recorded first-half 2023 revenues of US$8.6bn, up by 11% year-on-year from US$7.76bn for the first half of 2022. The group's operating earnings before interest, taxation, depreciation and amortisation (EBITDA) totalled US$1.69bn, up by 18% from US$1.4bn. The group said that the results bring it close to achieving its aim of restoring its 2021 EBITDA margins.

Chief executive officer Fernando A González said “The success of our pricing strategy, bolt-on investments and Urbanisation Solutions business, as well as decelerating cost inflation, are driving what is shaping up to be a very strong year for our company." He continued "Beyond our financial results, we continue progressing on the ambitious carbon reduction and circularity commitments of our Future in Action programme, remaining on the path to becoming a net zero CO2 company by 2050.”

Greece: Titan Cement Group reported sales of Euro1.23bn in the first half of 2023, up by 19% year-on-year from Euro1.04bn in the first half of 2022. Its sales rose by 25% to Euro736m in the US, by 21% to Euro197m in Greece and Western Europe and by 16% to Euro195m in Southeast Europe. However, they fell by 11% to Euro101m in the Eastern Mediterranean. The producer noted a cement demand decline in Brazil of 1.6%. Titan Cement Group's consolidated earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 77% to Euro241m from Euro136m.

Chair Marcel Cobuz said “An excellent first half of the year with strong pricing over costs and increased percentage of low carbon sales reaching 25% in infrastructure and building projects across the group. We are well on track for a record year of growth and an accelerated roadmap of decarbonisation and digitalisation.”

UK: Heidelberg Materials subsidiary Hanson UK successfully replaced a 130t section of the kiln at its 1Mt/yr Ribblesdale cement plant in Lancashire earlier in 2023. The section was 22m long, 4.6m in diameter and ran at a 4° angle. Contractor Ainscough Crane Hire used its heaviest, 800t lattice boom crane, and brought the project from acceptance to completion in 18 months. Engineering firm Grayton was Hanson's service partner for the upgrade.

Vietnam: State-owned Vietnam Cement Industry Corporation (Vicem) has projected that national full-year cement production will rise by 1.7% to 118Mt. Meanwhile, the cement market leader believes that demand will rise by 5.4% to 68.3Mt in 2023. This corresponds to an oversupply of 73%, compared to 78% in 2022.

Việt Nam News has reported that the government recorded a 7% year-on-year decline in Vietnamese cement production to 43Mt and a 10% drop in demand to 39Mt in the first half of 2023.

Thailand: Siam Cement Group (SCG) says that it expects to invest US$1.17 - 1.47bn in capital expenditure across its operations throughout 2023, Reuters has reported. SCG's activities span cement and other building materials, packaging, chemicals and batteries.

Pakistan: Lucky Cement has won the KCCI Export Trophy for its performance in the cement export market during the 2021 financial year. The News International newspaper has reported that the company relied on its 24,000t-capacity Karachi cement terminal to ship cement to markets across South Asia, Southeast Asia, the Middle East and Africa.

Chief executive officer Muhammed Ali Tabba said "This modern facility allows the company to excel in exporting break bulk and containerised shipments." He continued "Our focus is on implementing advanced manufacturing technologies to enhance technical capabilities and operational efficiencies. A diversified business portfolio has helped us strengthen the country's industrial base, enabling us to develop a larger manufacturing footprint and seize opportunities for growth both in local and international markets."

UK: Private equity firm BGF has invested US$4.39m in carbon capture specialist Nuada. Nuada, formerly called MOF Technologies, is currently supplying its technology for a project at Buzzi’s Monselice cement plant in Italy. The system applies metal-organic framework (MOF) filters and vacuum swing absorption. Other partners on the project include Cementir Holding and Heidelberg Materials.

Nuada’s co-chief executive officer Conor Hamill said “There is no net zero without carbon capture. However, incumbent solutions are notoriously costly and energy intensive. Investment from BGF will further catalyse the scale-up and deployment of our technology, ensuring we are primed to efficiently decarbonise heavy industries.”

BGF’s investment is an extension to Nuada’s US$5.81m Series A funding round, which was co-led by the Clean Growth Fund and Barclays’ Sustainable Impact Capital portfolio.