Pakistan: Lucky Cement has declared its best ever profit after tax of US$71.8m for the year ending 30 June 2012. The result is 70.8% higher than the net profit of US$42.1m made in the same period in 2011.
The company's gross profit increased by 46% as its net sales revenue improved by 28.1% to US$353m from US$276m. Higher sales volume in the domestic market coupled with better retention prices attributed to the record-breaking profit. Local sales volumes grew by 7%, to 3.72Mt from 3.46Mt. However, export sales volume fell by 4% from 2.35Mt to 2.25Mt, mainly due to a focus on the domestic market, which contributed in increasing the overall profitability of the company.
Lucky Cement undertook various capital expenditures in the year ending 30 June 2012, including new refuse-derived fuel (RDF) and tyre-derived fuel (TDF) plants and a new European-origin packing plant. The RDF and TDF plants replaced up to 20% of coal consumption with alternative fuels. During the year, a project of supplying electricity to the Hyderabad Electric Supply Company (HESCO) was also successfully completed whereby a grid station and 22km of interconnection lines were installed. The company is also working on joint venture investments for a cement plant in the Democratic Republic of the Congo and a grinding facility in Iraq.
