Cement News tagged: Corporate
Dangote switches strategies to improve margins
This week Dangote Cement held a press conference on its 2016 results and explained why its market strategy in Nigeria changed from a volume-based approach to one focussing on cashflow and increased profit margins going forward. In the first two quarters of 2016, Dangote found high cement volumes were working well. The group’s total cement volumes rose in Nigeria by 13.8 per cent to 15.1Mt i...
Germany: Karsdorfer and Sötenich plants for sale
CRH confirmed with its annual 2016 results, that it will sell a large portion of its German cement assets, as part of a wider EUR400m divestment programme. The company has agreed to sell the Karsdorfer integrated cement plant (2.3Mta) and Sötenich grinding plant (0.45Mta), to an unnamed purchaser, subject to approval by the German Competition Authority (Bundeskartellamt). CRH is expected to ...
Borneo: CMS Cement not raising prices
CMS Cement Sdn Bhd has no plans to raise cement prices. Cahya Mata Sarawak Berhad (CMSB) Group Managing Director, Datuk Richard Curtis, said: “Whenever there is pressure on the financial markets, rumours of price hikes in all materials surface. I am happy to record that CMS Cement has absolutely no plans to increase prices.” Mr Curtis cited new and more favourable rates for raw materials a...
Egypt: Sinai Cement returns to black
Fortune took a turn for the better for Sinai Cement in 2016. The company improved its net results significantly as it reported a net profit of EGP13.47m (US$835,183). In 2015, Sinai Cement reported a loss of EGP39.83m. Sinai Cement is owned by France’s Vicat group. The company operates a 3.5Mta cement plant in Sinai.
Siam City Cement renames Holcim's former Vietnam operations
Siam City Cement Public Co Ltd (SCCC), Thailand’s second-largest cement producer, announced it will rename its Holcim Vietnam Co into Siam City Cement Vietnam. SCCC signed an agreement in August 2016 to buy LafargeHolcim’s entire 65 per cent stake in LafargeHolcim Vietnam for US$890m. SCCC recently embarked on a strategy of building a regional asset footprint. The cement producer has ...
Egypt: Suez Cement reports deepening net loss
Suez Cement has reported a deepening net loss of EGP629.3m (US$33.8m) for 2016. This compares with EGP100.8m reported in 2015. Part of HeidelbergCement following its Italcementi acquisition, Suez Cement is the largest cement producer in Egypt. The company operates some 14.8Mta of grey cement capacity in its Tourah, Helwan, Kattameya and Suez plants as well as a 1Mta white cement plant at El...
Cemex will ‘gladly’ supply materials for Trump border wall
Cemex board Chairman, Rogelio Zambrano, has stated that Cemex would be happy to give estimates for the supply of cement to companies building the US-Mexico border wall, Reuters reports. Last Friday the US government said that it would release a request on or around 6 March, inviting companies to submit designs for the new wall. "If one of our clients asks us for a quote for materials, we...
Egypt: Tourah Cement sees improving net loss in 2016
Tourah Cement has reported improved company results in 2016. The company reduced its net loss from EGP218.97m (US$13.5m) in 2015 to EGP151.05m in 2016. Tourah Cement is a subsidiary of Suez Cement, which is owned by Germany’s HeidelbergCement.
CRH 2016 gross profits up 69%
CRH released its 2016 results with its gross profits at EUR1741m up by 69 per cent on its EUR1033m in 2015. Operating profits were also up EUR2027m, as against EUR1277 a year earlier. CRH announced that margins and revenues were ahead in all business divisions and sales of building materials amounted to EUR27.1bn, 15 per cent ahead of 2015. Meanwhile, EBITDA was up 41 per cent to EUR3.1b...
Hengya Cement gives green light to US$1bn Tanzania investment
Hengya Cement, a subsidiary of China's Hengyuan International Engineering Group, has announced that it will build a new cement plant in Tanga on Tanzania's northeast coast, reports website China.org.cn. The plant's capacity has not been disclosed, but Hengya claims that it will be one of the largest in sub-Saharan Africa. The initial phase of the project will cost US$1bn, with a second phas...
India: Prism Cement receives part-fuel requirement for 5 years
Prism Cement Ltd has successfully bid for 18,300tpa of coal from South Eastern Coalfields Ltd, a subsidiary of Coal India Ltd, in a recently-held auction of coal linkages for the cement industry, according to a filing to the Bombay Stock Exchange. With the bid, the cement producer has secured part of its fuel requirement for the next five years. The allocation was made at a nominal premium ...
Vicat's profits modestly ahead in 2016
Vicat's turnover eased by 0.2 per cent in 2016 to EUR2453.8m while EBITDA was up by the 3.2 per cent to EUR458m, while at unchanged exchange rates and other parameters there would have been increases of 4.1 and eight per cent, respectively. The trading profit improved by five per cent to EUR258m, with the increase at unchanged parameters being 9.6 per cent. The net financial charge was EUR10.1...
Semen Indonesia 2016 net profit plateaus
Semen Indonesia posted a 0.2 per cent increase in net income in 2016 last year amid falling sales and revenue, according to a company filing on Monday. The state-controlled company posted IDR4.5trn (US$337m) in net income last year, just slightly higher than in 2015. The company's total sales and revenue dropped three per cent to IDR26.1trn amid weak demand from the domestic market. S...
Croatia: HeidelbergCement appeals Commission's decision
HeidelbergCement AG has appealed against an EU Commission decision from 10 October 2016 that initiated an in-depth Phase II investigation into the joint acquisition of Cemex Croatia by HeidelbergCement and Schwenk. HeidelbergCement and Schwenk Cement jointly control Duna Dráva Cement ("DDC"), a Hungarian cement company that is the largest cement importer in Croatia. Cemex Croatia, the large...
Pakistan's cement industry performance sees profitability soar during 1HF17
Pakistan's cement industry performed well during 1HFY17, report local analysts. The industry's profitability soared by 12 per cent YoY to PKR29bn (US$276m), as compared to PKR26bn recorded in the corresponding period last year. E xperts attribute the increase in profitability to higher dispatches, improved gross margins to 43 from 42 per cent and lower financial costs (-44 per cent YoY). Ac...
China: Shanshui Cement defaults on bond
Shandong Shanshui Cement Group has defaulted on a CNY1bn (US$145m) bond, according to China Merchants Bank. With a huge amount of debt due in 2017, China is facing rising default risks as growth moderates and Beijing switches to a tighter monetary policy. Shanshui hasn't been able to raise enough money to fully repay the three-year debt, which was due 27 February, the underwriter said in...