Displaying items by tag: US
Lively US market drives Buzzi Unicem’s sales so far in 2019
05 August 2019Italy: Buzzi Unicem sales revenue grew by 13.6% year-on-year to Euro1.52bn in the first half of 2019 from Euro$1.34bn in the same period in 2019. Its net profit rose by 27% to Euro135m from Euro123m. Its cement sales volumes increased by 7.1% to 13.9Mt from 12.9Mt but ready-mixed concrete sales fell slightly to 5.8Mm3.
The building materials producer said that ‘lively’ activity levels in the US had driven its sales so far in 2019. This was mainly caused by falling imports in the face of weak domestic demand and ‘considerable production and logistical difficulties’ in June 2019 caused by flooding of the Mississippi river. A slight recovery in Italy was also noted with growing cement sales volumes and strengthening prices. Elsewhere, growth was recorded in most territories apart from Luxembourg, the Czech Republic and Slovakia.
Vicat fights poor markets in Turkey, Switzerland, Indian and West Africa in first half of 2019
02 August 2019France: Vicat’s sales rose by 4.6% year-on-year to Euro1.34bn in the first half of 2019 from Euro1.28bn in the same period in 2018. This was mainly due to its acquisition of Brazil’s Ciplan in late 2018. At constant scope and exchange rates its sales fell by 0.6% due to poor markets in Turkey, Switzerland, Indian and West Africa. Its earnings before interest and tax fell by 9.4% to Euro97m from Euro107m. Cement sales volumes dropped by 4.9% to 10.8Mt from 11.4Mt and concrete volumes decreased by 6.7% to 4.3Mm3 from 4.57Mm3.
“In the first half of 2019, solid performances in France, Asia and the US drove an increase in our sales and earnings before interest, taxation, deprecation and amortisation (EBITDA). These results reflect a marked improvement in the operational profitability given the on-going increase in consumed energy costs, the deteriorating macroeconomic situation in Turkey and the exceptional rainfalls in California that we experienced in the first half,” said Guy Sidos, the group’s chief executive officer (CEO).
By region, the group’s sales and earnings rose in France but fell in the rest of Europe. Sales grew in the Americas region, even without the Ciplan acquisition, but earnings fell due to a Euro10.6mn settlement payment booked in the US in the first half of 2018. The group’s sales fell in India but earnings rose due to price increases. Poor markets in Turkey and Egypt hit sales and caused a loss.
US: Summit Materials' revenue rose by 3% year-on-year to US$739m in the first half of 2019 from US$717m in the same period in 2018. Its adjusted earnings before interest, taxation, deprecation and amortisation (EBITDA) grew by 4% to US$147m from US$141m. Cement sales volumes increased by 2% to 1Mt from 0.97Mt. Tom Hill, the chief executive officer of Summit Materials, noted that flooding on the Mississippi River had presented ‘significant’ challenges for its cement business during the second quarter of 2019.
Summit Materials is active in the aggregates, asphalt and concrete sectors. It also owns Continental Cement, a cement producer that runs two integrated cement plants at Hannibal, Missouri and Davenport, Iowa.
Mississippi Lime completes acquisition of Southern Lime
02 August 2019US: Mississippi Lime has completed its acquisition of Southern Lime, the lime business of Covia based in Calera, Alabama. The purchase increases Mississippi Lime’s production facilities to nine locations, supported by a network of distribution sites throughout the country. The Southern Lime business and its Calera plant will be fully integrated into Mississippi Lime. No value for the transaction was disclosed.
Improving markets in Greece and Southeastern Europe add to Titan Group’s revenue growth in first half of 2019
01 August 2019Greece: Titan Group’s turnover rose by 10% to Euro785m in the first half of 2019 from Euro713m in the same period in 2018. The building materials producer attributed this to improving markets in Greece and Southeastern Europe, as well as continued ‘strong’ performance in the US.
Its earnings before interest, taxation, depreciation and amortisation (EBITDA) remained stable at Euro122m but its net profit fell by 46% to Euro13.3m from Euro24.8m. In its Eastern Mediterranean region the group described market conditions as ‘challenging’ with falling demand in Egypt and Turkey. In Brazil it said that cement sales volumes were stable but that revenue had risen due to an improving market.
Cemex Latam Holdings denies corruption charges in Colombia
01 August 2019Colombia: Cemex Latam Holdings has denied that it has an office dedicated to illegal activity following accusations of bribery in the local media. In a statement to the Superintendencia Financiera de Colombia, the company said that its Enterprise Risk Management office “supports the decision-making process by anticipating and coordinating risk management that could make it difficult for Cemex to reach its strategic objectives and identify short, medium and long-term opportunities.” It addd that risk management was an institutional process followed by companies around the world to anticipate and mitigate potential business hazards.
Cemex Colombia has been linked by Semana magazine and other outlets to payments to political figures in return for preferential treatment on construction contracts. The cement producer has also faced a long running investigation by local and US agencies into unusual payments relating to its Maceo cement plant project in Antioquia.
US: Nine of Cemex USA’s ready-mixed concrete (RMX) plants in the San Francisco Bay Area of Northern California have earned ISO 14001:2015 certification for their environmental management systems (EMS). The company says these are the first RMX operations in the country to achieve the designation.
The nine plants located in Berkeley, Concord, Oakland, Pleasanton, San Carlos, San Francisco, San Jose, Union City and Santa Clara, California each received certification after Lloyd’s Register, an accredited third-party organisation, audited Cemex USA’s West Region management system at corporate and site level, verifying that it conforms to the standard. In addition to the plants, Cemex USA’s Livermore office also earned the certification.
“Effective environmental management systems are critical in helping our operations meet and exceed our environmental and sustainability goals. By following well-established standards of ISO 14001:2015, our operations can continue to build on their successes while serving as inspiring examples for others to follow across the US,” said Cemex USA president Ignacio Madridejos.
Earlier in 2010 Cemex’s Clinchfield cement plant in Georgia became the first Cemex operation in the US to achieve ISO 14001:2015 certification. The company is currently in the process of achieving the certification at several other of its operations in cement, ready-mix and aggregates across the country.
Lehigh Cement signs order with KHD
29 July 2019US: Humboldt Wedag, a subsidiary of Germany’s KHD, has signed a contract with Lehigh Cement to supply a cement plant for a cost of more than Euro100m. The contract includes engineering, supply of equipment and structural steel as well as advisory services related to erection and commissioning of the unit. Lehigh Cement, a subsidiary of HeidelbergCement, has separately announced that it is currently preparing for a US$600m upgrade to its integrated Mitchell plant in Indiana. Construction work on the project is scheduled to start in 2020.
Mexico: Cemex’s sales have fallen in all regions except for Europe. Its net sales fell by 4% year-on-year to US$6.72bn in the first half of 2019 from US$7bn in the same period in 2018. Its operating earnings before interest, taxation, depreciation and amortisation (EBITDA) dropped by 11% to US$1.21bn from US$1.36bn. Cement sales volumes decreased by 9% to 31.3Mt and ready-mixed concrete volumes by 3% to 24.9Mm3.
“The second quarter was impacted by the challenging global economic environment. Weaker-than-expected industrial activity and continued trade conflicts have resulted in lower investment in several of our markets. Mexico in particular has been affected by these factors, which led to lower-than-expected volumes. Adverse weather in the US also translated into muted activity during the quarter. In contrast, we are very pleased with the favourable performance of our Europe region,” said chief executive officer (CEO) Fernando A Gonzalez. He added that earnings were expected to pick up in the second half of the year due to improved government spending in Mexico, higher prices and sales volumes of cement in the US and Europe, stabilising energy prices and the group’s ‘Stronger Cemex plan’.
GCC’s half year results hit by poor weather in US
25 July 2019Mexico: GCC’s results for the first half of 2019 have been negatively affected by poor weather in the US. Its net sales grew slightly by 1.3% to US$404m from US$399 in the same period in 2018. Sales fell in the US but they rose in Mexico. Its earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 5% to US$109m from US$115m.
“While GCC’s US operations continued to be adversely impacted during the second quarter by an above average precipitation, below-average temperatures and construction labour shortages, the substantial backlog at our US operations underscores strong demand for our products. We’ve begun to reap the benefits early in the third quarter, as the US weather has finally cleared,” said Enrique Escalante, GCC’s chief executive officer (CEO). He added that the group had ‘successfully leveraged’ its new Trident plant in Montana and improved production levels at its Rapid City plant in South Dakota following a stabilisation process. Oil well cement shipments from its Chihuahua Plant to new terminal at Fort Stockton in Texas have also started.