Cementir advances in Nordic area and Turkey

Cementir showed a 6.1 per cent recovery in first quarter turnver to EUR206.6m and  EBITDA jumped from EUR9.2m to EUR24.6m, reflecting improved profits from the Nordic countries and from Turkey. At constant exchange rates, the turnover would have been ahead by 17.1 per cent.

The trading loss recorded in recent first quarters was replaced by a EUR4.9m profit this time, while the pre-tax loss was reduced from EUR13.7m to EUR1.8m. Net debt at the end of March was 9.4 per cent lower at EUR363.2m to give a gearing level of 35.4 per cent.

With the more clement weather, shipments of grey and white cement increased by 11.8 per cent to 2.1Mt, despatches of aggregates jumped by 44.9 per cent to 0.69Mt and ready-mixed concrete deliveries improved by 8.4 per cent to 0.86Mm³. The Italian volumes and prices continued to decline, with the result that turnover fell by some 19 per cent, or EUR4.5m. In contrast, the Nordic turnover increased EUR14.7m thanks to the mildest winter for some years and deliveries of cement and ready-mixed concrete increased by 27 per cent and 22 per cent respectively.

In Turkey, cement deliveries rose by some 15 per cent and turnover in local currency was ahead by some 30 per cent. Selling prices rose faster than inflation, but the Turkish lira did depreciate by some 28 per cent over the past year. Egyptian selling prices improved on average both in domestic and export markets, but volumes were little changed. The average price improvement was some 11 per cent, against which has to be set the eight per cent fall in the Egyptian pound against the euro. The Far Eastern turnover increased by two per cent or EUR0.2m. Shipments of white cement increased by some 15 per cent and prices were slightly ahead in China, while in Malaysia turnover declined by 1.3 per cent as work to expand capacity restricted output.