Displaying items by tag: Results

Switzerland: Holcim recorded net sales of US$6.75bn in the first quarter of 2022, up by 20% year-on-year from US$5.62bn in the first quarter of 2021. The group’s recurring earnings before interest, taxation, depreciation and amortisation (EBIT) rose by 16% to US$643m from US$553m. The company has upgraded its outlook 2022 to a forecast of full-year net sales growth of at least 10%.

CEO Jan Jenisch said “I am very encouraged by the record start of the year, setting a solid foundation to our Strategy 2025 – Accelerating Green Growth.”

The first quarter of 2022 brought four new bolt-on acquisitions in addition to the group’s conclusion of its US$1.35bn Malarkey Roofing Products acquisition. The company says that it remains actively engaged in supporting humanitarian efforts in Ukraine.

Holcim has also published its industry-first Climate Report 2022. The report details the company’s progress towards achieving its sustainability targets under the four pillars of its Strategy 2025 – Accelerating Green Growth. Under the Accelerating Growth pillar, Holcim reached a total of 15 markets with its ECOPlanet reduced-CO₂ cement range. Under Expanding Solutions & Products, it reduced the proportion of cement sales in its consolidated sales to 57% in 2021 from 60% in 2020. Its other pillars are Leading in Innovation and Sustainability and Delivering Superior Performance. In 2021, the company used 6.6Mt of recycled construction and demolition waste in its products, against a 2050 target of 10Mt.

Chief sustainability and innovation officer Magali Anderson said “On our net-zero journey, we are walking the talk at Holcim, taking clear science-driven action to win the race for climate.”

Ireland: CRH’s first-quarter consolidated sales rose by 15% year-on-year in 2022. Its Americas Materials business’ sales rose by 13%, while its Europe Materials business sales rose by 11%. Cement volumes in the Americas region remained in line with 2021 levels as strong Central and Southern regional demand offset weather-impacted performances in Canada and some Western regions, and the company noted ‘good’ price momentum in Canada and the US. The company’s Europe Materials business recorded some volume increases, partly due to favourable weather conditions.

During the quarter, CRH made US$600m-worth of new acquisitions, and retains a ‘strong’ opportunities pipeline. The group says that its integrated solutions strategy continues to deliver across all divisions.

Chief executive officer Albert Manifold said “Although a number of challenges and uncertainties continue, our demand backdrop remains favourable and, absent any major dislocations in the macroeconomic environment, we expect first-half sales, earnings before interest, taxation, depreciation and amortisation (EBITDA) and margin to be ahead of the prior year period.” During the first half of 2022, the company also expects to complete US$600m-worth of its on-going share buyback programme.

India: ACC’s earnings before taxation, interest, depreciation and amortisation (EBTIDA) fell by 26% year-on-year to US$83.1m in the first quarter of 2022 from US$113m in the same period in 2021. Net sales rose by 3% to US$566m from US$552m. Sales volumes of cement dropped by 3% to 7.71Mt but volumes of ready-mixed concrete grew by 5% to 0.87Mm³. The subsidiary of Ambuja Cement and Holcim said that its costs had been negatively affected by a global rise in fuel costs caused by ‘geopolitical events.’

The cement producer said that its new integrated plant at Ametha in Madhya Pradesh is scheduled to be commissioned in the fourth quarter of 2022. It commissioned an upgrade to its Tikaria grinding plant in Uttar Pradesh in February 2022. Waste heat recovery unit projects at its Jamul and Kymore plants are ‘on track’ and the board of ACC has approved the next phase of similar projects at its Chanda and Wadi plants.

Tanzania: Twiga Cement’s sales were US$194m in 2021, up by 14% year-on-year from US$170m in 2020. The subsidiary of HeidelbergCement recorded a profit for the year of US$38.1m, up by 18% from US$32.2m. During the year, the company recorded its highest ever cement and clinker production and sales volumes.

China: Tangshan Jidong Cement’s consolidated net income was US$779m in the first quarter of 2022, down by 2.5% year-on-year from US$799m in the first quarter of 2021. The decline contributed to a widening in the group’s net loss to US$36.6m, more than four times its 2021 first-quarter loss of US$8.07m.

Kazakhstan: Steppe Cement recorded rising revenues in the first quarter of 2022 due to stronger cement volumes and higher prices during the period. The manufacturer posted sales revenue of US$14m in the three months to 31 March 2022, up by 29.6% year-on-year from US$10.8m in the first quarter of 2021.

Sales volumes rose by 6% to 281,968t from 266,007t, while average prices for delivered cement also climbed. Exports from Kazakhstan fell by 50% as new factories opened in Uzbekistan. Imports into Kazakhstan, predominantly from Russia, increased from 6.5% to 8% of the market.

Steppe Cement estimates that Kazakhstan's cement market demand will stay at 11 - 12Mt in 2022 but added that there was is a high degree of uncertainty due to the ‘geopolitical situation’ in the region.

Mexico: Increases in raw material prices and energy costs, as a result of high inflation levels, will affect the operating margins of cement companies listed on the Mexican Stock Exchange in the first quarter of 2022, according to analysts quoted by CE NoticiasFinancieras.

Jacobo Rodríguez, director of Economic Analysis at Black Wallstreet Capital, explained that, "Despite the fact that companies are slow to pass on the increase in their costs to their final products, we will see pressure on their margins in their results in the first quarter of the year and from now on.”

Heriberto Sandoval, investment advisor at Increase Kapital, said “The cement industry is strongly affected by the increase in energy costs and, considering that the high cost pressures worldwide will be longer lasting than originally thought, this will lead to a decrease in earnings before interest, tax, depreciation and amortisation (EBITDA) this year.”

Mexican cement companies recorded a decline in the price of their shares between January and March 2022. Market leader Cemex led the way, with a 23.59% drop in the value of its shares. The second largest drop was seen by GCC, which lost 9.5% of its value. Cementos Moctezuma’s shares also lost 3.05% of their value in the first quarter of 2022.

Tanzania: Tanga Cement’s full-year results show a 9% year-on-year rise in sales to US$99.5m in 2021 from US$91.7m in 2020. Its net profit was US$1.5m, as against a US$903,000 loss in 2020.

The Kenyan Wall Street newspaper has reported that the company replaced a kiln shell at its Tanga cement plant and outsourced mining operations at its quarry during the year.

Egypt: Sinai Cement’s consolidated sales were US$78.9m in 2021, up by 62% year-on-year from US$48.7m in 2020. The company recorded a loss of US$19.4m, down by 37% year-on-year from US$30.7m in 2020.

Nigeria: BUA Cement recorded consolidated sales of US$619m in 2021, up by 23% year-on-year from US$504m in 2020. Bagged cement sales rose by 23% to US$618m, while bulk cement sales rose by 40% to US$1.48m. Cost of sales was US$328m, up by 19% year-on-year, and the company recorded a profit after tax of US$217m, up by 25% from US$174m in 2020.