Philippines: Holcim Philippines has posted a net profit of US$38.0m for the second quarter of 2014, slightly higher than the US$37.4m reported for the same period of 2013, with sales on pace to meet internal targets amid robust demand from the construction industry. Revenue was US$203m during the second quarter of 2014, up from US$188m for the same period of 2013.
This brought first half 2014 net profit to US$76.6m, up from US$70.3m in the first half of 2013, while revenue for the period was US$389m, compared with US$355m in 2013. Holcim Philippines' president and CEO, Eduardo A Sahagun, said that the company is 'on track' with its 8% short-term sales growth target, as well as its 5% to 6% sales growth target for the long term.
"On top of the sustained government and private sector spending, we now see some major private-public partnership projects being implemented in the metropolis, hence, our strong sales," said Sahagun. "We were able to meet this demand due to our ability and commitment to keep the market supplied during this period of robust growth." Other factors that contributed to the company's growth were 'full-swing' construction during the summer months and post-calamity construction in the Visayas Region.
Holcim, which has a local market share of around 34%, is currently in the process of merging with Lafarge, which has a share of around 28%. Sahagun said that the merger might be finalised by May 2015, resulting in a combined market share of 62% in the Philippines.
