10 February 2016
Semapa cement sales grow by 11% to Euro477m in 2015 10 February 2016
Portugal: Semapa has reported that its cement sales grew by 11% year-on-year to Euro477m in 2015 from Euro430m in 2014. It attributed the increase to growth in turnover of operations in Portugal, Lebanon and Angola and the integration of the Supremo Group on 1 July 2015.
Earnings before interest, taxation, depreciation and amortisation for its cement business grew by 14.7% year-on-year to Euro85.4m from Euro74.4m in 2014. However, its pre-tax profit fell to a loss of Euro18.3m from a gain of Euro9.7m a year earlier.
The Portuguese industrial conglomerate noted that cement sales in Portugal rose by 3.4% year-on-year in 2015, the highest increase since 2008. In Lebanon it reported a 8.6% year-on-year drop in cement consumption in 2015. In Tunisia it reported a drop in cement demand in the second half of the year. In Angola it reported that cement consumption fell by 11.7%. Despite these market conditions its turnover in Lebanon and Angola grew in 2015.
In Brazil Semapa acquired the remaining 50% of the Supremo Group in June 2015, taking control of its 2Mt/yr production capacity. However, Semapa reported SNIC data that the Brazilian cement market has dropped by 9.2% in 2015.
Looking ahead, Semapa forecasts that the cement market is expected to drop slightly in 2016 but with growth in Portugal.
PCA say US Cement consumption to grow up to 5% in 2016 10 February 2016
US: Domestic cement consumption will grow by as much as 5% in 2016, according to a report from the Portland Cement Association (PCA). Edward Sullivan, PCA chief economist noted that the ‘the fundamentals of our economy are sound’ at the 2016 World of Concrete event.
"With the recently passed federal highway bill and continued net increases in new jobs, we see clear indications that positive growth will continue," said Sullivan. The PCA's Market Intelligence Group will release an updated report on US cement consumption in March 2016.
The PCA has launched a year of celebrations to mark the organisation’s 100th anniversary.
Boral profit grows by 23% to US$97.2m for half year 10 February 2016
Australia: Boral’s profit after tax has grown by 23% year-on-year to US$97.2m in the first half of its 2016 financial year. It reported a profit of US$80m for the same period in its 2015 period. It attributed the growth to a strong residential
market and growth in New South Wales (NSW) with cost cutting, price rises and slightly higher property earnings for its construction materials and cement business. Overall revenue fell by 4% year-on-year to US$1.6bn.
“The success of the first half is underpinned by a very strong residential construction market in NSW, a solid performance in South-East Queensland, further recovery in the US and a successful growth strategy in the gypsum business in Australia and Asia,” said Boral CEO and Managing Director Mike Kane
Boral’s cement business reported a 6% rise in external revenue to US$113m. Profitability was also aided by cost cutting inititaives including improved utilisation of assets and sourcing of raw materials and energy at lower cost.