September 2024
Japan: Taiheiyo Cement has announced its summary financial results for the first quarter of its 2017-2018 fiscal year, which ended on 30 June 2017. During the quarter the group took US$1.82bn in revenue, leading to an operating profit of US$80.5m and a net profit of US$42.1m.
The group forecast that it would see revenues of US$7.76bn for the fiscal year ending 31 March 2018, with a net profit of US$318.5m.
Belarus to ramp up exports to Ukraine 09 August 2017
Belarus: Construction Minister Anatol Chorny expects that Belarus will export 0.3 - 0.4Mt of cement to Ukraine in 2017 and to then increase cement exports to that country to 1Mt in 2018. Speaking in Minsk, Chorny was responding to ‘efforts’ by the Association of Cement Producers of Ukraine and certain high-ranking Ukrainian government officials that had earlier tried to ‘force’ Belarusian producers out of the Ukrainian market, by accusing them of providing false quality certificates. The dispute has since been settled.
Belarusian exports of building materials rose by 29% year-on-year between 1 January 2017 and 31 July 2017, noted Chorny, adding “We managed to reduce production costs and therefore the profitability of sales increased by 25-30%.”
Italcementi to fight Euro84m antitrust fine 09 August 2017
Italy: Italcementi, part of Germany’s HeidelbergCement, has said that charges brought by Italy's antitrust authority are unfounded and it would appeal against the sanction at the Lazio court. Italcementi, along with other leading cement producers, is accused by the regulator of allegedly breaching competition rules for the period from June 2011 to January 2016.
In particular, Italcementi has said that it believes that the commercial decisions taken by the previous management to propose nominal price increases to its customers were dictated by autonomous, solid and logical business motives.
Italcementi also considers that the Euro84m fine, one of the highest ever imposed by the authority, is completely disproportionate to the turnover generated by the company in Italy.
Saudi Arabian cement sales rise 11.5% in July 2017 09 August 2017
Saudi Arabia: Cement sales of companies operating in Saudi Arabia recorded an increase of 11.5% in July 2017. Sales rose to 3.49Mt in July 2017, compared to 3.13Mt during July 2016. Cement production in Saudi Arabia grew by 5% year-on-year to 3.37Mt in July 2017 from 3.2Mt, according to Yamama Cement Company.
Southern Province Cement topped the sales list with 409,000t sold in July 2017, although this was 5.32% less than the 432,000t that it sold in July 2016. Yamama Cement was the second most prolific seller, with a year-on-year sales growth of 17.5% to 369,000t from 314,000t in July 2016. Meanwhile, Tabuk Cement registered the lowest sales of 61,000t in July 2017, a 17.6% fall from 74,000t in the year-ago period.
In June 2017 cement companies’ sales in Saudi Arabia dropped by 40.6% year-on-year to 2.08Mt from 3.5Mt in June 2016. This is likely due to the earlier timing of Ramadan combined with temperatures of up to 45°C (113°F), both of which will have significantly reduced demand for building materials.
Siam City Cement wants to expand within Vietnam 08 August 2017
Vietnam: Thailand’s Siam City Cement Group wants to expand investment in the production and supply of construction materials and waste treatment in Vietnam’s southern Dong Nai Province, according to its local CEO Philippe Richart.
At a working session with the provincial People’s Committee in Dong Nai on 8 August 2017, Richart noted that the group has invested in the former Holcim cement plant in Nhon Trach district and will expand the plant in the future. He added that the company will also invest in an industrial dry mortar plant and a transit station for construction materials in Dong Nai. It is also focusing on waste treatment, he said, adding that the group is using the latest technologies in this field.
Vice Chairman of the provincial People’s Committee Nguyen Quoc Hung cited a number of key projects being carried out in the locality such as major expressway projects and the Long Thanh airport, which will be launched in 2019. It is expected that cement demand will increase significantly in the local area due to these and smaller developments.
James Hardie presents results for second quarter of 2017 08 August 2017
Australia: James Hardie has announced its financial results for the quarter ended 30 June 2017. The group’s adjusted net operating profit was US$61.7m, a decrease of 7% compared to the same period of 2016. Group adjusted earnings before interest and tax (EBIT) came to US$88.3m, a fall of 10% year-on-year, although net sales rose by 6% year-on-year to US$507.7m. James Hardie’s North American fibre cement segment saw its sales volume increase by 2% year-on-year, with nets sales up by 6% to US393.1m.
Group CEO Louis Gries said, "Our North America fibre cement segment results reflect top line growth of 6%, including volume growth below our market index. Additionally, manufacturing inefficiencies and production costs led to a decrease in EBIT margin of 5.2 percentage points compared to the prior corresponding period. Within our international fibre cement business, net sales increased 8% due to volume increases in our Asia Pacific market, and EBIT increased by 10%, driven by the strong performance of our Australian and New Zealand businesses."
Minister requests more money for Belarusian plants 08 August 2017
Belarus: The construction ministry has asked Alyaksandr Lukashenka to provide a fresh portion of government aid to Belarus’ three cement plants. Minister Anatol Chorny confirmed this on 7 August 2017, adding that the government was also considering selling stakes in the companies to investors that ‘could take over the financial burden.’ Chorny explained that the companies were struggling because of the need to pay off massive loans taken out to cover modernisation projects several years ago.
Dangote targeting 1Mt of Zambian sales in 2017 08 August 2017
Zambia: Dangote Industries Limited says it will continue to penetrate the Zambian cement industry and is targeting 1Mt of sales by the end of 2017. This follows record sales of 0.3Mt of cement during the first six months of 2017.
Country CEO Desmond Maharaj said that Dangote would look to spread its influence in more Zambian provinces going forward. He added that export markets such as Malawi, Democratic Republic of Congo and the great lakes region were also attractive, hence leading to the company to produce more cement from its Zambian operations.
Record July for Pakistan 07 August 2017
Pakistan: The cement sector in Pakistan recorded an all-time high single month sales in July 2017 as the commodity's sales and exports grew by 44% year-on-year to 3.38Mt. The All Pakistan Cement Manufacturers Association (APCMA) said that sales and exports were 2.33Mt in July 2016. Domestic sales rose by 55% to 2.91Mt, while exports remained flat at 0.48Mt.
“The dispatch figures for July 2017 are most encouraging,” said an APCMA spokesman. “The industry has established a record for this month. Never before has the sector crossed the dispatch limit of 3Mt in July.” The spokesman added that the turnaround after a dismal performance in June 2017 had taken the industry by surprise and that the sharp increase in dispatches in July rekindled hopes for growth. “The dispatches were achieved despite political turmoil in the country and unprecedented rains throughout the country. This depicts the maturity of the construction sector in the country,” he said.
Exports to Afghanistan during the month increased by 40.3% year-on-year to 210,000t but this was off-set by a large fall in exports to India and elsewhere. Sales to India fell by 11.6% to 122,000t and to other countries sales fell by 19.0% to 144,000t.
Stronger cement demand in Argentina 07 August 2017
Argentina: Cement production rose by 18.8% year-on-year to 1.01Mt in Argentina in July 2017, according to data from the local cement association AFCP. Sales including exports also climbed by 18.8%, rising by 0.9% compared with June 2017. Domestic sales, including imports, rose by 19.8% in July 2017. Domestic consumption totalled 1.01Mt in July 2017, around 1% above national consumption in June 2017.