18 May 2012
Eagle Materials cement earnings up 60% 18 May 2012
US: Eagle Materials Inc. has reported its financial results for the 2012 fiscal year and the fiscal fourth quarter that ended on 31 March 2012. Its results showed that the group's revenue was up by 7% for the fiscal year, to US$495m and cash flow from operations was US$60.2m, up by 37%. In the quarter ending 31 March 2012, the company netted revenues of US$116.8m, a 22% year-on-year increase.
Eagle said that its low cost operations continued to execute well during the 2012 fiscal year and that it was beginning to see improving construction activity across most of its markets. Eagle's earnings began to improve during the second half of fiscal 2012 and accelerated during the fourth quarter.
The company saw improved cement revenues, which were up by 8% for the full fiscal year to US$244m. Operating earnings from cement were up by 3% to US$46.9m. In the fourth quarter its cement operating earnings were US$7.5m, a massive 60% increase from the same quarter of the 2011 fiscal year.
Eagle said that the increase in its cement earning primarily reflected improved sales volumes and sales prices offset by US$2m of additional maintenance costs incurred in the quarter versus the prior year quarter. Cement revenues for the quarter, including joint venture and intersegment revenues, totalled US$49.8m, 23% greater than the same quarter of 2011. Cement sales volumes for the quarter were 0.53Mt, 20% higher than the same quarter of 2011.
FLSmidth receives contract for large US project 18 May 2012
Denmark/US: FLSmidth has been awarded a contract worth approximately US$136m by an un-named customer in the US for the modernisation of its cement production facility.
The purpose of the engineering, procurement and construction project is to convert one of the plant's existing wet process kilns to a dry preheater/precalciner kiln. As a result, the customer will be able to better fulfil its key environmental objectives, namely reduction of emissions and achieving lower energy consumption.
The equipment includes an FLSmidth drier crusher, modification of the existing kiln, a new 1-stage preheater with calciner, a kiln bypass system, an FLSmidth Cross-Bar cooler, a coal dosing system by FLSmidth Pfister and an ATOX solid fuel mill with an FLSmidth MAAG Gear reducer.
With the installation of three new FLSmidth fabric filters, the project will significantly improve the plant's ability to reduce the particulate emissions. Similarly, an FLSmidth control system will optimise operational efficiency. The scope of supply also includes a new HOTDISC reactor that will allow the plant to increase its consumption of whole car tyres, thus increasing its use of alternative fuels.
FLSmidth said that the award of this contract demonstrates the company's ability to help US cement producers prepare for the anticipated National Emission Standards for Hazardous Air Pollutants (NESHAP) regulations. "The United States cement industry is facing a number of challenges, ranging from a slowly recovering economy to significant regulatory changes in plant emission standards. We are very pleased to work with one of our much valued customers as it takes a leading role in investing in the future of this industry," said Group CEO Jørgen Huno Rasmussen. The order will contribute beneficially to FLSmidth's earnings until mid 2014.