
Displaying items by tag: Results
China: Tangshan Jidong Cement’s consolidated net income was US$779m in the first quarter of 2022, down by 2.5% year-on-year from US$799m in the first quarter of 2021. The decline contributed to a widening in the group’s net loss to US$36.6m, more than four times its 2021 first-quarter loss of US$8.07m.
Kazakhstan: Steppe Cement recorded rising revenues in the first quarter of 2022 due to stronger cement volumes and higher prices during the period. The manufacturer posted sales revenue of US$14m in the three months to 31 March 2022, up by 29.6% year-on-year from US$10.8m in the first quarter of 2021.
Sales volumes rose by 6% to 281,968t from 266,007t, while average prices for delivered cement also climbed. Exports from Kazakhstan fell by 50% as new factories opened in Uzbekistan. Imports into Kazakhstan, predominantly from Russia, increased from 6.5% to 8% of the market.
Steppe Cement estimates that Kazakhstan's cement market demand will stay at 11 - 12Mt in 2022 but added that there was is a high degree of uncertainty due to the ‘geopolitical situation’ in the region.
Margins being eroded for cement producers in Mexico
13 April 2022Mexico: Increases in raw material prices and energy costs, as a result of high inflation levels, will affect the operating margins of cement companies listed on the Mexican Stock Exchange in the first quarter of 2022, according to analysts quoted by CE NoticiasFinancieras.
Jacobo Rodríguez, director of Economic Analysis at Black Wallstreet Capital, explained that, "Despite the fact that companies are slow to pass on the increase in their costs to their final products, we will see pressure on their margins in their results in the first quarter of the year and from now on.”
Heriberto Sandoval, investment advisor at Increase Kapital, said “The cement industry is strongly affected by the increase in energy costs and, considering that the high cost pressures worldwide will be longer lasting than originally thought, this will lead to a decrease in earnings before interest, tax, depreciation and amortisation (EBITDA) this year.”
Mexican cement companies recorded a decline in the price of their shares between January and March 2022. Market leader Cemex led the way, with a 23.59% drop in the value of its shares. The second largest drop was seen by GCC, which lost 9.5% of its value. Cementos Moctezuma’s shares also lost 3.05% of their value in the first quarter of 2022.
Tanga Cement boosts sales amid profitable full-year 2021
08 April 2022Tanzania: Tanga Cement’s full-year results show a 9% year-on-year rise in sales to US$99.5m in 2021 from US$91.7m in 2020. Its net profit was US$1.5m, as against a US$903,000 loss in 2020.
The Kenyan Wall Street newspaper has reported that the company replaced a kiln shell at its Tanga cement plant and outsourced mining operations at its quarry during the year.
Sinai Cement increases sales in 2021
05 April 2022Egypt: Sinai Cement’s consolidated sales were US$78.9m in 2021, up by 62% year-on-year from US$48.7m in 2020. The company recorded a loss of US$19.4m, down by 37% year-on-year from US$30.7m in 2020.
BUA Cement’s sales and profit grow in 2021
04 April 2022Nigeria: BUA Cement recorded consolidated sales of US$619m in 2021, up by 23% year-on-year from US$504m in 2020. Bagged cement sales rose by 23% to US$618m, while bulk cement sales rose by 40% to US$1.48m. Cost of sales was US$328m, up by 19% year-on-year, and the company recorded a profit after tax of US$217m, up by 25% from US$174m in 2020.
Votorantim Cimentos increases earnings and sales in 2021
01 April 2022Brazil: Votorantim Cimentos recorded a 37% year-on-year rise in its adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) to US$1.10bn in 2021. Its sales rose by 33% to US$4.71bn, while its profit more than tripled to US$2.1bn. The group’s sales grew in all of its regions. Its cement volumes totalled 37.2Mt, up by 15% from 2020 levels. Its capital expenditure (CAPEX) investments grew by 30% year-on-year to US$317m. It commissioned a new production line at its Pecém grinding plant in Brazil and continued to work on an upgrade to Cementos Artigas’ Sayago grinding plant in Uruguay, scheduled for completion in 2022. It also completed its acquisition of Spain-based Cementos Balboa.
Cement operations, logistics and adjacent businesses director Osvaldo Ayres Filho, who was serving as group CFO during 2021, said “We had a record financial performance in 2021, despite the challenging environment due to the ongoing effects of the pandemic and global inflationary pressure.” He added that the producer also made ‘significant strategic moves.’
Unacem boosts sales in 2021
31 March 2022Peru: Unacem’s sales were US$655m in 2021, up by 43% year-on-year from US$458m in 2020. It sold US$598m-worth of cement, up by 41% year-on-year from US$425m-worth, and exported US$30.3m of clinker, up by 35% year-on-year from US$22.5m-worth.
The producer said “2020 and 2021 have been years of great challenges for the world and our country because of the Covid-19 pandemic. In this context, the company implemented a plan of measures that has allowed it to cope with this crisis, having as a fundamental pillar ensuring the safety and health of its employees, the sustainability of the company and all its shareholders. Likewise, the Peruvian government continues to take the necessary actions to mitigate the effects of the third wave of Covid-19 as well as to safeguard the payment chain of companies.”
China: CNBM’s sales revenue grew by 7% year-on-year to US$43.1bn in 2021 from US$40.1bn. Its sales volumes of cement and clinker fell by 3% to 332Mt and 13% to 40.4Mt respectively. Concrete sales volumes increased slightly to 112Mm3. Its adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 7% to US$8.11bn from US$7.6bn. The group increased its average cement prices by 10% in 2021. However, the group’s sales revenue from its engineering division fell by 29% to US$421m from US$590m, although its earnings recovered significantly. The group blamed this on “great uncertainty” in overseas markets due to the coronavirus pandemic although it said that producer’s willingness to invest was starting to recover.
Zhou Yuxian, chair of CNBM, said “The year 2021 was an extraordinary and tough year. In the face of complex environment abroad and numerous risks and challenges, China adhered to the general keynote of seeking progress in a stable manner, coordinating prevention and control of the Covid-19 pandemic and the development of economy and society, continuing the national economic recovery, taking a new step in building a new development pattern and achieving a good start of the 14th Five-Year Plan.”
Buzzi Unicem records earnings growth in 2021
29 March 2022Italy: Buzzi Unicem’s earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 1.8% year-on-year in 2021 to Euro795m. Despite this, its net profit for the year declined by 3.2% year-on-year to Euro542m.
In 2022, Buzzi Unicem forecasts a 10% full-year EBITDA decline due to the impacts of the Russian invasion of Ukraine.