Athi River Mining pretax profit rises 24%

Kenya’s Athi River Mining posted a 24 per cent rise in first-half pretax profit thanks to increased cement sales.

The country’s second-largest cement producer, behind Bamburi Cement, said pretax profit for the six months to June rose to KES790.96 (US$9.4m).

The company is positive on its second-half outlook due to anticipated cut in interest rates, a stable shilling and good growth in infrastructure demand.

It also expects its new 1.5Mta cement plant in Dar es Salaam, Tanzania to boost revenues in the final quarter of 2012. A second Tanzanian cement plant is scheduled to come on-stream in the third quarter of 2013 which will be situated in Tanga in the northeast.

In March it said it planned to raise US$50m through a six-year convertible loan from Africa Finance Corp this year to finance expansion.