Displaying items by tag: Results
France: Lafarge's net loss has grown by 15% year-on-year for the first quarter of 2014, from Euro117m in 2013 to Euro135m in 2014. The company blamed the result on the 'seasonality' of its business and the effect of the variations of the net-of-tax gains and losses on divestments.
Overall sales across all business lines fell by 2% year-on-year to Euro2.63bn from Euro2.68bn. Earnings before interest, taxes, depreciation and amortisation (EBITDA) rose by 21% to Euro343m from Euro342m. Notably an improvement in EBITDA in the group's Western Europe region was noted.
"Our first quarter results confirmed the positive trends experienced at the end of 2013. Our volumes were supported by continuing growth in emerging markets and the progressive improvement in several European markets. North America was affected by a harsh winter but the underlying market trends are positive. Our outlook for the year is confirmed and we expect to see cement demand growth in our markets of between 2% to 5% in 2014," commented chairman and chief executive of Lafarge, Bruno Lafont.
For its cement business, cement sales volumes rose by 8% to 25.9Mt from 23.9Mt. Despite this rise in volumes, cement sales remained static at Euro365m for the quarter.
By region for its cement business, Lafarge reported static sales volumes for cement year-on-year for the quarter in North America due to adverse weather. Sales volumes rose by 7% to 2.6Mt in Western Europe with notable improvements recorded in Spain and Greece. Volumes rose by 19% to 1.9Mt in Central and Eastern Europe with increases in Poland and Romania but a fall in sales in Russia. In the group's Middle East and Africa region cement sales volumes rose by 15% to 10.5Mt. In Latin America sales volumes fell by 15% to 1.9Mt impacted by group divestment and deconsolidation in Honduras and Mexico, despite increase sales volumes in Brazil. In Asia sales rose by 7% to 7.5Mt.
Nigeria: Dangote Cement has reported that its first quarter pre-tax profits fell by 1.25% year-on-year to US$331.7m. Gross earnings rose to US$652.5m compared with US$599.9m in the same period of 2013.
Dangote's chairman, Aliko Dangote, disclosed that its expansion drive would increase capacity and add an additional 9Mt/yr of production capacity by July 2014, expressing satisfaction that cement imports into Nigeria had continued to fall. An estimated 1.1Mt of cement was imported in 2013, down from 1.9Mt in 2012.
Dangote vowed that the company would stop at nothing to expand, as most of Nigeria's neighbours are currently importing cement from the Far East. "We are confident that Nigeria's cement will prove more attractive than the imports, particularly within the 15 member Economic Community of West African States (ECOWAS)," he added.
To stabilise the price of cement and free the consumers from 'profiteering middlemen,' Dangote said that his company would intensify its direct-to-consumer deliveries.
Cemex loss deepens despite increased earnings
30 April 2014Mexico: Cemex has announced that its net sales reached US$3.6bn in the first quarter of 2014, an increase of 8% compared to the same period of 2013. Operating earnings before interest, tax, depreciation and amortisation (EBITDA) increased by 3% year-on-year. The group made a net loss of US$293m for the quarter, a deterioration compared to a loss of US$281m in the first quarter of 2013.
Net sales in Cemex's operations in Mexico decreased by 6% in the first quarter of 2014 to US$737m, compared to US$780m in the first quarter of 2013. Operating EBITDA for the country decreased by 5% to US$250m versus the year-earlier period.
Cemex's operations in the United States reported net sales of US$792m in the first quarter of 2014, up by 8% from the same period in 2013. Operating EBITDA in the country increased by 48% to US$28m.
In Northern Europe, net sales for the first quarter of 2014 increased by 21% to US$912m, compared with US$756m in the first quarter of 2013. Operating EBITDA increased to US$13m in the quarter, versus a loss of US$17m in the same period of 2013.
First-quarter net sales in the group's Mediterranean region were US$412m, 19% higher than the US$347m taken during the first quarter of 2013. Operating EBITDA increased by 11% to US$81m.
Cemex's operations in South, Central America and the Caribbean reported net sales of US$538m during the first quarter of 2014, representing an increase of 8% over the same period of 2013. Operating EBITDA remained flat at US$187m.
Operations in Asia reported a 3% increase in net sales for the first quarter of 2014, to US$146m, versus the first quarter of 2013. Here, operating EBITDA for the quarter was US$26m, up by 8% year-on-year.
Fernando A González, Executive Vice President of Finance and Administration at Cemex, said, "We are pleased with the growth in our operating EBITDA during the quarter, on a like-to-like basis, adjusting for the seasonal maintenance and inventory-drawdown effects, which we expect will revert throughout the rest of the year. We also saw positive dynamics in consolidated volumes and prices for our main products."
Mykolaivcement reports US$5.47m loss in 2013
30 April 2014Ukraine: Mykolaivcement has reported a loss of US$5.47m in 2013. Its revenue fell by 10% to US$46.6m from US$5.28m in 2012. In 2012 Mykolaivcement reported a loss of US$5.79m according to the Ukranian News agency.
The cement producer based in Mykolaiv, Lviv region also makes paving slabs and facade tiles, concrete, pavestone and other construction materials. In April 2013 Cement Roadstone Holdings held talks with Lafarge on the acquisition of the company. Lafarge Ukraine Holding owns 99.26% of shares in the factory.
Vicat sales up 14% year-on-year in first quarter of 2014
29 April 2014France: Vicat Group has announced its results for the first quarter of 2014, which show a 14% improvement to sales compared to the first quarter of 2013. The group highlighted improved conditions in Egypt, the United States, West Africa and Turkey, increasing sales in India and favourable weather conditions in its native France as among the reasons for the improvement.
Sales for the three months to 31 March 2014 were Euro536m, an increase of 9.2% (14% after adjusting for constant scope and exchange rates). Vicat's cement sector saw sales of Euro275m for the quarter, up from Euro256m in the first quarter of 2013, a year-on-year improvement of 7.4%(15.2% at constant scope and exchange rates). Cement sales volumes were up by 6% across Vicat's global operations.
"Vicat achieved strong sales growth in the first quarter of 2014. Our businesses benefited from mild weather conditions in France and were able to capture positive momentum in the Swiss, US and Turkish construction sectors," said Vicat's CEO Guy Sidos. "The return to growth in Egypt is a positive sign for our full-year performance and we are continuing to ramp-up our business in India, although prices are likely to remain volatile. The group is still gradually reaping the benefits of its investments over the last few years, using its strong market positions to maximise cash flow and continue reducing debt."
In Europe (excluding France) consolidated sales were Euro89m, 22.2% higher than the Euro72m seen in the first quarter of 2013. Switzerland was highlighted as a good performer, with 13% growth in cement sales, while Italy saw consolidated sales fall by 17.6% year-on-year due to a 19.2% fall in volumes.
In the United States, sales were Euro51m compared to Euro46m in the first quarter of 2013, a 9.5% rise year-on-year. The group said that business continued to pick up in the country, with cement sales picking up by 13.9% and volumes increasing by 3%.
In Turkey sales were Euro44m, 25.8% higher (at constant scope and exchange rates) than in the year-earlier quarter. In India sales came to Euro47m, 27.2% higher (at constant scope and exchange rates) year-on-year. In Kazakhstan sales fell by 14% to Euro9m (at constant scope and exchange rates), which resulted from comparison to unusually high sales in the first quarter of 2013.
In Africa and the Middle East Vicat's consolidated sales were Euro98m, a 12.9% improvement over the first quarter of 2013 when it took Euro87m. Egypt saw a 26.7% improvement year-on-year, while west Africa saw revenues up Euro11.6% due to a 14% improvement in sales volumes.
In the rest of 2014 Vicat expects the French market to gradually stabilise and the Swiss market to continue to be strong. Italy is likely to remain weak, while volume rises and price increasese are expected in the United States. In Turkey Vicat warns that further growth will be dependent on foreign exchange effects and potential after-effects of elections. It says that Egypt remains unpredictable but plans for gradual improvement to the security situation. West Africa is expected to be buoyant in terms of consumption but warns against increased competition that may dampen prices. In India, weak infrastructure development will continue to adversely affect volumes, as will chronic overcapacity in the nation's cement industry. In Kazakhstan, it expects its strong local position to continue to reap rewards.
Colombia: Cementos Argos has reported that the acquisition of cement and concrete assets in Honduras and Florida and the recovery of the US construction market have resulted in 51.7% growth in net profits, from US$4.00m in the first quarter of 2013 to US$6.07m in the first quarter of 2014. Earnings before interest, taxes, depreciation and amortisation (EBITDA) were up by 12% and income grew by 18% compared with the same period of 2013. Cement sales in the US grew by 27%, while sales in the Caribbean and Central America grew by 27% in value and 11% in volume.
Switzerland: Holcim has reported its first quarter of 2014 operating results, citing increased like-for-like sales and sales volumes in all of its business segments.
"Holcim reported a significant increase in operating profit during the first quarter of 2014, mainly driven by higher like-for-like cement volumes in all group regions and the continued strong momentum of the Holcim Leadership Journey coupled with strict cost management across the group," said Bernard Fontana, CEO of Holcim. "Margins continued to increase and cash flow from operating activities was also better than in the first quarter of 2013."
Consolidated cement sales increased by 2.9% to 33.0Mt in the first quarter of 2014. This positive development was mainly attributable to Europe, where France, Germany and Russia reported the strongest increases. Net sales reached Euro3.35bn, a fall of 5.4% that was mainly influenced by negative currency effects. On a like-for-like basis net sales were up by 7.8%. Consolidated operating earnings before interest, taxes, depreciation, and amortisation (EBITDA) decreased by 5.1% to Euro507m but grew by 10.1% when adjusted for foreign exchange effects and changes in consolidation. Driven by higher sales, most European group companies reported higher operating EBITDA, while North America, the Middle East and Africa recorded better operating results.
Operating profit was Euro242m, an increase of 9.3%. On a like-for-like basis the growth in operating profit reached 28.4%. Net income, which in the first quarter of 2013 benefited from the sale of a 25% stake in Cement Australia, decreased by 39.5% year-on-year and reached Euro147m. Adjusted for this transaction in 2013 net income was up by 19.6%. Net income attributable to shareholders of Holcim Ltd was down by 57.5% to Euro65.6m. Cash flow from operating activities, which is traditionally negative in the first quarter, improved by 24.9% and reached negative Euro199m. Over the last 12 months Holcim reduced its net financial debt by Euro589m from Euro8.86bn to Euro8.20bn.
As part of the Holcim Leadership Journey, the company continued to optimise its portfolio in the first quarter of 2014 and sold its activities in French Guyana and acquired a port facility in the Philippines. Holcim has made progress with its plans to further optimise its strategic portfolio in Europe, having secured approval for the transaction with Cemex in the Czech Republic and is awaiting the decision on the other parts of the transaction. For the planned streamlining of the ownership structure of its Indian operations, Holcim has received approvals from the High Courts in Delhi and Gujarat and is now awaiting final approval from the Foreign Investment Promotion Board.
On 7 April 2014, Holcim and Lafarge announced their intention to combine the two companies through a merger of equals, which was unanimously approved by their respective board of directors and fully supported by the core shareholders of both companies. After a strategic optimisation of the portfolio through a proactive divestment process in anticipation of regulatory requirements, LafargeHolcim would occupy complementary positions. The proposed combination would be structured as a public offer filed by Holcim for all outstanding shares of Lafarge on the basis of a 1 for 1 exchange ratio and closing is expected in the first half of 2015.
For 2014 Holcim expects global economies to show another year of uneven performance. Construction markets in Europe are expected to have reached the bottom with slow recovery in sight. North American markets are expected to continue to benefit from a further recovery, especially in the United States. Latin America could continue to face uncertainties in Mexico but should overall show slight growth in 2014. The Asia Pacific region is expected to grow, although at a comparatively slower pace than experienced in recent years. Africa and the Middle East are expected to gradually improve. Holcim expects cement sales volumes to increase in all regions in 2014.
UltraTech’s annual profit down
24 April 2014India: UltraTech Cement, part of the Aditya Birla Group, has announced that its net profit declined year-on-year by 19% to US$351m in 2013-2014. This marks the company's first fall in profit for five years and was attributed to rising input costs and sluggish sales.
UltraTech's net sales rose to US$3.29bn for 2013-2014 from US$3.28bn in 2012-2013. For 2013-2014, the company's cement shipments grew to 41.47Mt from 40.65Mt in 2012-2013. For the quarter that ended in March 2014, UltraTech reported an 8% increase in net sales to US$954m, up from US$882m in the same period of 2013.
Huaxin forecasts huge percentage gains
16 April 2014China: Huaxin Cement Co Ltd has announced that it anticipates its net profit for the first quarter of 2014 to grow by 350-400% year-on-year, compared to a profit of US$4.14m in the corresponding period of 2013. The Hubei Province-based company attributes its forecasted profit growth to increasing cement product sales and prices.
China Tianru revenue rises by 14% to US$1.4bn in 2013
02 April 2014China: China Tianrui Group Cement Company has reported that its revenue rose by 14% to US$1.40bn in 2013 from US$1.22bn in 2012. Its gross profit remaining static at US$305m in 2013 and its earnings before interest, taxes, depreciation and amortisation rose slightly to US$356m. The Chinese cement producer attributed the rise in revenue to increasing sales volumes of cement in response to a 'proactive' pricing strategy and a general increase in demand driven by rural development and the demand from certain large-scale infrastructure projects, such as the South-North Water Transfer Project.
Sales of cement rose by 19% year-on-year to US$1.30bn in 2013. Sales of clinker fell by 23% to US$107m. By region, the company saw its revenue in its Central China region rise by 13% to US$1.01bn. In Northeastern China its revenue rose by 16% to US$385m. By volume, the company sold 36.9Mt/yr in 2013, a rise of 41.4% from 2012.
In 2013 Tianrui acquired one 1.2Mt/yr clinker production line and six cement production lines with a combined production capacity of 5.3Mt/yr in Liaoning and Henan provinces, at a cost of US$109m.