LafargeHolcim Bangladesh reports 9% sales growth in 9M22

LafargeHolcim Bangladesh (LHBL), a joint venture between Holcim Group and Cementos Molins, has reported positive trends in net profit, net sales, operating profit and earnings per share during the first nine months of 2022, despite an unprecedented increase in raw material costs.

The company saw a seven per cent rise in net profit during the 9M22 to BDT3.308bn (US$32.4m), compared to BDT3.089bn in the same period a year earlier. Net sales grew nine per cent to BDT16.987bn from BDT15.656bn over the same timeframe. Operating profit saw a 14 per cent advance from BDT3.761bn to BDT4.288bn, while earnings per share improved by seven per cent YoY to BDT2.85.

Administrative expenses stood at BDT1.2bn and sales/marketing costs at BDT362m, compared to BDT1.07bn and BDT370m, respectively, in the 9M21.

Although the 3Q22 in particular saw an unprecendented increase in raw materials costs, the company said some of this was mitigated by significant growth in its businesses with new products and new business channels gaining traction. "The innovation in digital and development of new business segments also contributed strongly to our topline growth," said Rajesh Surana, CEO, LHBL. "Our focus on sustainable waste disposal supports our objective of becoming carbon neutral by 2050 while also adding resilience on energy costs," he adds.