One of Pakistan's smaller cement companies, Fecto Cement Ltd (FECTC) is reported to plan a new cement plant in Kalar Kahar, Chakwal district, Punjab.
The works is expected to add 0.95Mta of capacity to the company's existing 0.819Mta. The project represents an estimated investment of PKR12bn and commissioning is expected by 2018.
Financial performance
FECTC saw also a boost in revenues during the nine-month period ended 31 March 2016 as net sales revenue rose 7.7 per cent YoY to PKR3.731bn from PKR3.464bn in 9MFY14-15. The company earned profit before taxation of PKR845m during nine months as against the profit before taxation of PKR528m.
Totall sales volume for the nine months increased by just under eight per cent while for the entire domestic cement industry YoY growth reached just below 10 per cent. FECTC's domestic sales volume saw a 16.03 per cent advance but its export volumes fell by 13.6 per cent. Export revenues were down 13.2 per cent YoY in 9MFY14-15.
Export prices to Afghanistan during first half of the year improved when compared with the same period last year. However, during the quarter under review prices remained under pressure, resulting in a price reduction.
