Displaying items by tag: GCW597

Nigeria: Dangote Cement recorded sales of US$3.49bn in 2022, up by 17% year-on-year from US$3.05bn in 2021. The producer's cement sales volumes fell by 5.1% year-on-year to 27.8Mt from 29.3Mt. Its selling and distribution costs rose by over 50% to US$643m, yet profit after tax also rose, by 4.9% to US$833m.

The Premium Times newspaper has reported that the producer invested US$543m in is subsidiaries throughout the year. The group said that most of this investment took place outside of Nigeria.

Nigeria: BUA Cement's gross earnings rose by 31% year-on-year to US$1.29bn in 2022 from US$981m in 2021. Meanwhile, the producer's net profit rose by 2.2% year-on-year to US$193m. The group said that increased bagged cement sales volumes offset the impacts of inflation and currency effects. BUA Cement's full-year finance costs were US$23m, up by a factor of six year-on-year.

Spain: Cementos Molins' sales were Euro1.27bn in 2022, up by 31% year-on-year from 2021 levels. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) were Euro276m, up by 14% over the same comparison period. The producer noted significant earnings contributions from its South American and Asian business, as well as from new acquisitions during the year. Its implementation of its operational efficiency plan and price rises successfully offset inflationary pressures. Throughout the year, the group's debt dropped by 18% to Euro145m.

Cementos Molins CEO Julio Rodríguez said "We have achieved record sales and profits in a very complex year with a constantly changing environment; despite this, once again we have been able to confirm the strength of our business model by achieving the objectives of the strategic plan 2020-2023 one year ahead. I would like to highlight that these results are the consequence of the contribution and talent of the Cementos Molins team worldwide and imply a boost of energy to continue working on the priority objective: our 2030 Sustainability Roadmap.”

Ireland: CRH expects to record increased earnings before interest, taxation, depreciation and amortisation (EBITDA) and profit before tax in its 2022 results. The producer has predicted an EBITDA of US$5.5bn, up by 10% year-on-year from US$5bn in 2021. This would entail a 0.8% year-on-year decline in its fourth-quarter EBITDA in the year. The producer also expects its profit after tax to rise by comparison to its 2021 figure of US$3.1bn.

CRH said that its projection “captures the impact of bad weather, higher energy costs in Europe, the risk of destocking in the building products chain and all this against tough comparisons from 2021.”

China: Taiheiyo Cement subsidiary Jiangnan-Onoda Cement suspended its production and sale of cement on 28 February 2023. Its Japan-based parent company said that it decided to suspend operations due to the 'tougher competitive environment' in China. This came about due to other producers' capacity expansions and 'advances in technical capabilities.' The suspension is in line with Taiheiyo Cement's strategy for the construction of a new business portfolio in Asia, under which it plans to expand its footprint in Southeast Asia and develop its logistics network.

India: Three cement producers placed winning bids for coal mining leases at auctions on 27 February 2023. Press Trust of India News has reported that Dalmia Cement (Bharat) and Rama Cement Industries won bidding for coal mining leases in Madhya Pradesh, while Shree Cement won a lease for mines in Chhattisgarh.

US: 100 Workers at Continental Cement's Hannibal cement plant in Missouri are on strike against alleged unfair labour practices. IndustriALL Global Union has accused the producer of restricting employees' say in schedules, overtime and cross training requirements at the plant, as well as of withholding information necessary for bargaining. The union additionally alleged that the company was discriminatory in its termination of contracts. The workers have continued to work amid on-going contract renegotiations following the expiry of a collective agreement between them and the producer in May 2022.

IndustriALL Global Union said "Continental Cement’s actions have left workers no other options but to make their voices heard by striking against unfair labour practices. We are determined to fight for the fair contract. It's time for Continental Cement to follow the law and negotiate in good faith for a fair contract.”

Pakistan: Fauji Cement recorded sales of US$406m during the first half of its 2023 financial year, up by 33% year-on-year from US$306m in the first half of the 2022 financial year. The producer's profit was US$61.3m, up by 34% from US$45.7m. During the half, the company's selling and distribution expenses fell by 1.4%, its administrative expenses rose by 8% and its other expenses rose by 12%.

Denmark: FLSmidth's cement business recorded 29% year-on-year sales growth to US$2.14bn in 2022, from US$1.66bn in 2021. The business' earnings before interest, taxation and amortisation (EBITA) totaled US$28.9m, compared to negative earnings of US$2.7m in 2021. During the year, its Americas region contributed 34% of sales, its Europe, North Africa and Russia region (subsequently Europe and North Africa) 26%, its Sub-Saharan Africa, Middle East and South Asia region 25% and its Asia-Pacific region 15%. Overall, FLSmidth's sales rose by 24%, while its EBITA fell by 8%, year-on-year.

The supplier said "Overall, our cement service showed strong performance throughout the year. In some countries, we did however start to see the first cases of budget constraints imposed to counter the increasing energy costs."

Looking forward to 2023's anticipated result, it noted a 'healthy' order pipeline, but an anticipated slow-down in producers' decision making. This is due to concerns related to energy volatility continuing the wake of the outbreak of war in Ukraine. FLSmidth concluded "The short-term outlook for the cement industry remains impacted by overcapacity, and the potential recession is expected to impact market demand negatively over the coming period."

Germany: The Science-Based Targets Initiative (SBTi) has validated Heidelberg Materials' new 2030 CO2 reduction targets. The targets have a base year of 2020 and conform to a 1.5°C climate change framework. Per tonne of cementitious material, the producer is now committed to reducing its Scope 1 CO2 emissions by 24%, its Scope 2 CO2 emissions by 65% and its Scope 3 emissions by 25%.

Heidelberg Materials' chief sustainability officer Nicola Kimm said “As reflected in our updated Sustainability Commitments 2030, climate action is a crucial element of Heidelberg Materials’ sustainability strategy. The SBTi validation shows that our sustainability agenda not only includes the most ambitious reduction target in the cement industry – but also a realistic, measurable plan in line with the 1.5°C scenario. We follow a clear, science-based approach, reducing our carbon footprint through the levers of product and process innovation and industrial-scale carbon capture, utilisation and storage. By closing the carbon and material loops, we will lead the sustainable transformation of our sector.”

In 2019, Heidelberg Materials became the first cement company to secure SBTi validation for its emissions reduction commitments.