Tvornica Cementa Kakanj net profit plummets, Bosnia-Herzegovina

The net profit of Tvornica Cementa Kakanj, part of the HeidelbergCement group, fell by almost half to  BAM9.4m (EUR4.8m) from BAM17.2m a year earlier.

Operating income fell to BAM66.5m in 2012 from BAM75.3m a year earlier while operating costs rose to BAM57.1m from BAM56.9m, the company said in a financial statement.

At present, the 0.8Mta integrated works at Kankanj plant runs at about 60 per cent of its capacity. It is 45.58 per cent owned by HeidelbergCement.

Following a 11.3 per cent contraction in 2010, cement consumption in Bosnia Herzegovina stabilised in 2011 at 1.25Mt. Only modest growth of 3.8 per cent was expected in 2012 and a further advance of three per cent is expected this year.