Cementir boosts trading profit by 61%
Cementir Holding increased turnover by 10.8% to €933m and the EBITDA advanced by 14% to €124.2m. With depreciation and impairment provisions being just 1.8% higher at €88m, the pre-tax profit advanced by 60.8% to €36.2m. However, a swing in net financial items from a €1.3m profit to a €22.6m loss was the prime factor behind a 39.8% reduction in the pre-tax profit to €36.2m. The net attributable profit came down by 67.6% to €3m. Net debt at the end of the year was 6.4% higher at €357.5m to give a gearing level of 33%, compared with 31.2% a year earlier.
In the Nordic region, the group’s largest led by Aalborg Portland, turnover increased by 18.5% to approximately €400m, helped by strong demand more or less across the board and moderate price increases in cement and in ready-mixed concrete. Cimentas Izimir Cimento Fabrikasi in Turkey increased turnover by 16.8% to €287m, helped by higher volumes and, in ready-mixed concrete, also higher prices, while cement prices were stable. Italian cement volumes and prices were both slightly higher, but a full year’s consolidation of the 14 batching plants bought towards the end of 2010 helped boost turnover by 15.3% to just over €150m.
The strongest growth came from the Far East, where a full year’s full production at the extended white cement business in China led to a 31% increase in turnover to €50m. Egypt, on the other hand, suffered from the effects of the uncertain political situation in the country and revenue fell by 19% to just over €50m, from €62.6m in the preceeding year. With a global capacity of about 3.0Mt, the group is a global leader in white cement, with 0.85Mt of this capacity being at the Rørdal works in Denmark.
Total group shipments of grey and white cement improved by 4.5% to 10.47Mt and aggregates shipments were ahead by 6.3% to 3.83Mt. Helped by the initial consolidation of Betontir in Italy, ready-mixed concrete deliveries advanced by 20.7% to 3.84Mm³. Cementir’s management is confident of a further overall advance in 2012, even though the reduction in public sector spending in Italy and the uncertain situation in Egypt are likely to provide negative influences as far as volumes are concerned.
