Displaying items by tag: Denmark
Denmark: Danish cement plant manufacturer FLSmidth has reported that its profit fell by 9% to Euro175m in 2012 from Euro193m in 2011. However, its revenue rose by 21% to Euro3.33bn from Euro2.75bn. Earnings before non-recurring items, depreciation, amortisation and amortisation (EBITDA) rose by 9% to Euro370m from Euro339m.
FLSmidth commented that in 2012 in the cement industry, capacity utilisation outside China remained relatively subdued at around 75%. Overall, the global cement market was affected by macroeconomic uncertainty and slow growth, but there were several local areas, where the economy grew and where cement demand outpaced supply.
In its cement division FLSmidth reported a fall in revenue of 3% to Euro584m in 2012 from Euro565m in 2011. It commented that the global market for contracted new kiln capacity (excluding China) amounted to an estimated 40Mt/yr in in 2012, compared to 46Mt/yr in 2011. This is the lowest level since 2002 and FLSmidth stated that it expects the market for new cement kiln capacity to have hit 'bottom' in 2012.
"We expect 2013 to be a trough year in terms of EBITA margin – particularly in Cement and Mineral Processing, where execution times are typically up to two to three years. The explanation is simply that we will now be executing orders taken at trough margins during the years of global financial crisis. Fortunately, we have seen market conditions improve since then, and we therefore expect margins to increase again in 2014," commented CEO Jørgen Huno Rasmussen in his outlook for 2013.
FLSmidth secures Euro125m loan for research and development
15 January 2013Denmark: Danish cement plant manufacturer FLSmidth has signed a Euro125m loan agreement with the European Investment Bank (EIB). The five-year-bullet loan will finance FLSmidth's global research and development (R&D) programme within the cement industry during the period 2013-2016. The R&D programme will focus on development of innovative products, optimisation of energy efficiency and use of materials and fuel in the production process as well as reduction of harmful emissions.
"Through its focused R&D efforts FLSmidth aims at fulfilling its customers' future needs for innovative technical solutions, high reliability and availability, minimum environmental impact and the lowest possible lifecycle costs. This loan from the European Investment Bank supports these efforts," said Group Executive Vice President and CFO Ben Guren.
In its press release about the loan, FLSmidth noted that it places emphasis on the use of alternative fuels, reduced emissions and waste, improved heat recovery, lower power consumption, minimised water consumption, increased plant capacity, availability and operating efficiency and minimum safety risk.
Thomas Schulz appointed as new CEO of FLSmidth
05 December 2012Denmark: Danish cement plant manufacturer FLSmidth has announced that Jørgen Huno Rasmussen, aged 60, group chief executive officer (CEO) of FLSmidth since 2003 has decided to retire in the middle of 2013 after 10 years of service. Thomas Schulz will be appointed new group CEO of and is expected to take up his new position no later than 1 June 2013.
Schulz, aged 47, is a German citizen and has since 1998 been part of Sandvik (Svedala Industries), currently as President of Sandvik's Construction business area and member of Sandvik's Executive Management Group, based in Sweden. From 2005 to 2011 Schulz was based in Germany, Sweden and Singapore as president of Construction and senior vice president of Mining and Construction. Schulz holds a MSc and PhD in Engineering from the Technical University of Aachen, Germany with a dissertation in Mineral Mining and Quarrying.
"On behalf of the Board, I wish to express my sincere gratitude to Jørgen Huno Rasmussen for his decisive contribution to the successful turnaround and development of the FLSmidth Group and for his dedicated leadership over 10 years. I am sure Thomas Schulz will prove to be a worthy successor and look forward to welcoming him to FLSmidth", commented chairman of the board of FLSmidth, Vagn Ove Sørensen.
FLSmidth revenue up 23% so far in 2012
13 November 2012Denmark: The Danish cement plant manufacturer FLSmidth & Co. A/S has continued strong growth in both revenue and order intake over the nine month period to 30 September 2012. The company's full year revenue guidance has been maintained, based on expectations of strong revenue generation in the fourth quarter.
In the third quarter of 2012 FLSmidth's order intake increased by 11% to Euro1.07bn from Euro962m in the third quarter of 2011. Revenue increased by 23% year-on-year to Euro847m from Euro688m and earnings before interest, tax, depreciation and amortisation (EBITDA) increased by 6% to Euro95.1m from Euro89.7m. The profit for the period decreased by 6% to Euro50.6m from Euro54.1m in the third quarter of 2011.
Over the nine months to 30 September 2012 FLSmidth's order intake increased by 19% year-on-year to Euro2.90bn from Euro2.44bn and its order backlog increased by 13% to Euro4.18bn. Revenue for the nine months increased by 23% to Euro2.25bn. Nine month EBITDA was up by 16% to Euro204m. Profit for the period decreased by 3% to Euro113m.
FLSmidth has maintained its full year revenue guidance for continuing activities of Euro3.35-3.48bn. Cash flow from investing activities (exclusive of acquisitions and their subsequent capital expenditure needs) is expected to amount to Euro102.9m in 2012 due to investments in service supercentres and expansion of manufacturing in India and China.
FLSmidth acquires Teutrine for undisclosed sum
03 September 2012Denmark: FLSmidth has acquired Teutrine GmbH Industrie-Technik, a German company specialising in mobile solutions for repairs, refurbishments and installation services for the cement and minerals industries. The value of the takeover was not disclosed.
Teutrine mainly carries out maintenance and repair services at sites where it offers mobile solutions within repair (welding), refurbishment (machining, grinding, hard facing and overhauling), replacement (parts replacement, alignment, lifting) and upgrades (equipment replacement, alignment, lifting). The company's key markets are found in Europe and the Middle East.
"The acquisition of Teutrine is a significant addition to our service concept in relation to repair and refurbishment services as well as replacement and upgrade services for all the major equipment on a cement plant," said FLSmidth group CEO Jørgen Huno Rasmussen.
Teutrine was founded in 1973 by Antonius and Annemarie Teutrine. In 2009 the ownership was transferred to Gabriele Teutrine, CEO and successor to the founders. The company has 45 employees. Teutrine will be integrated in FLSmidth as part of the Plant Operation & Equipment Services within the Customer Services division.
FLSmidth Q2 profit dented by write-off
15 August 2012Denmark: Cement equipment provider FLSmidth has reported that its second-quarter net profit for 2012 fell by 24% to Euro30m as increased costs and big write-downs outweighed growth in its revenue. Its profit in the same period in 2011 was Euro38.8m.
FLSmidth saw its revenue improve by 26% year-on-year, to Euro811m from Euro644m. Order intake also grew substantially by 20%, to Euro973m from Euro812m. As a result, earnings before interest, tax, depreciation and amortisation (EBITDA) rose by 32%, to Euro90m from Euro68.2m.
However, amortisation and write-downs of intangible assets jumped to Euro34.4m from Euro5.51m, which had a negative effect on overall profit. This negative item consisted mainly of a one-off Euro25.3m write-down of capitalised research and development costs.
FLSmidth registered strong order intake and earnings before interest, tax and amortisation (EBITA) in all its segments except for Bulk Materials, which has been experiencing difficulties in project execution as a result of underestimated risks in connection with orders received in previous years. For its cement sector two major orders in the USA and the Middle East were received in the second quarter. The period saw a order intake rise by 47%, to Euro256m from Euro173m.
FLSmidth Q1 profits below forecast
16 May 2012Denmark: FLSmidth, a supplier of engineering services and equipment to the cement and minerals industries, has kept its outlook for 2012 after first quarter profits rose less than forecast. The company said market trends remained favourable and that a rise in order intake confirmed its growth expectations.
FLSmidth said that it still expected full-year 2012 consolidated revenues of US$4bn, up from US$3.78bn in 2011, and an earnings before interest and tax (EBIT) margin of 9-10% against a 2011 margin of 9.9%. It is also aiming for a 2012 earnings before interest, tax and amortisation (EBITA) margin of at least 10%, against a 2011 margin of 10.9%. First-quarter earnings before interest and tax (EBIT) rose to US$57.7m in January to March 2012 from US$52.4m in the first quarter in 2011.
Major Middle Eastern contract for FLS
30 April 2012Denmark: FLSmidth has signed a contract worth approximately Euro85m with a company in the Middle East to supply a complete 6000t/day cement production line. The country and precise location of the plant were not announced.
The contract comprises complete equipment supplies and includes a combined limestone and clay crusher, a gypsum crusher, a circular stacker and reclaimer store, a stacker and side scraper store for additives, an ATOX vertical raw mill, a CF silo, a double-string preheater tower, a ROTAX kiln, an FLSmidth Cross-Bar cooler, an OK mill and equipment for the packing and dispatch of cement. FLSmidth will also supply automation equipment.
"FLSmidth has a long history in the Middle East and is maintaining its leading role in serving the rapidly-expanding cement market," said Group CEO Jørgen Huno Rasmussen. "The growing economy and increasing infrastructure investment in the region continue to offer opportunities. This project confirms that the slowdown from the 'Arab Spring' is lifting."
The company added that the cement plant would feature state-of-the-art equipment including the latest technology to ensure an environmentally-friendly and energy-efficient production process.
Denmark: Carsten R Lund will be appointed new Group Executive Vice President of FLSmidth and a member of the Group Executive Management in July 2012. He will replace Christian Jepsen, who will be joining Alcoa, one of FLSmidth's global mining customers. Lund will be heading the new global Bulk Materials Division that was formed as part of the new FLSmidth Group structure announced in February 2012.
Lund, age 49, is a Danish citizen, Executive MBA and Mechanical Engineer (BSc.), who has been employed by the FLSmidth Group for 24 years in varying managerial positions. Most recently, Lund has headed the implementation of a major business system program for the entire FLSmidth group as program director. Prior to that, he was CEO of FLSmidth Airtech from 2007-2011 and responsible for growing and developing FLSmidth's Air Pollution Control business to become a major global player.
FLSmidth taps into Chinese pollution-control sector
09 March 2012China: The major Danish cement plant manufacturer FLSmidth has achieved authority approval of its first acquisition in China, which will help it to secure a lucrative share of the multibillion dollar Chinese market for environmental control technologies. The move comes less than a month after China announced new NOx emission regulations, providing an excellent market for FLSmidth's new capabilities.
Together with a minority shareholder, FLSmidth has started a company to market and sell air pollution control products to the cement industry in China. This local company is groundbreaking for FLSmidth as it combines local presence and relations with global technologies and resources. The founder company, Chinese Sino Environment Engineering Development Co. Ltd. (SEPEC), continues as a minority shareholder and brings a large reference base and contact network from the cement industry in China, both on a corporate and a plant level.
"FLSmidth and SEPEC are the perfect fit," said FLSmidth CEO Jørgen Huno Rasmussen. "FLSmidth's strong technological platform coupled with SEPEC's strong organisation, reputation and customer base in China will enable us to develop air pollution control products that are uniquely designed together with the Chinese customer and fit his specific requirements."
The local company will market FLSmidth's highly-efficient air pollution control products and thereby help Chinese cement manufacturers to fulfil the new and stricter emission standards imposed on the industry. As the majority shareholder, FLSmidth will retain the intellectual property rights to the technology. The Chinese market accounts for half of the total world market for air pollution control equipment. "With China's increased focus on environmental aspects as stated in the 12th five year plan, the timing of FLSmidth's local expansion is just right," said CEO of FLSmidth China, Anders Bech.