Displaying items by tag: growth

India: JK Cement has commissioned its latest new grinding plant in Uttar Pradesh. Reuters News has reported that the facility has a cement production capacity of 2Mt/yr.

JK Cement is on track to increase its total installed capacity to 23Mt/yr by the end of 2023.

UK: Breedon Group says that it recorded 10-month sales of Euro1.38bn so far in 2022, up by 14% year-on-year from the same period in 2021. The producer completed scheduled maintenance on Kiln 2 of its Hope cement plant in the UK on time and on budget. Throughout the period, it noted 'supportive' trading conditions, with 'resilience' from the majority of its markets in its Great Britain and Ireland regions. In the year's second half to date, Breedon Group's four-month sales grew by 16% year-on-year. The group said that it is on track for record full-year earnings in 2022.

CEO Rob Wood said “Visibility in the trading landscape has been poor for some years now, for a variety of reasons. Against this constantly changing backdrop, our team’s commitment and resolve have delivered quality products and great service to our customers, regardless of the economic or political landscape. For this, we thank them. Their focus and determination in turn continues to deliver for all our stakeholders.” Wood continued “This time last year, we reminded our investors of the agile and entrepreneurial DNA that sets Breedon apart. Our rapid response to changing market conditions, local focus, vertically-integrated business model and disciplined financial framework will again enable us to deliver record results in 2022."

India: Wonder Cement has completed a successful kiln ignition in its Chittorgarh cement plant's new Line 4. The three pre-existing lines gave the plant a former capacity of 8Mt/yr. Wonder Cement additionally operates grinding plants in Haryana, Madhya Pradesh and Maharashtra, with a total capacity of 5Mt/yr.

Vice chair Vimal Patni's technical assistant Lokesh Lohar congratulated the entire Chittorgarh cement plant team on its work on the latest expansion.

India: JK Cement recorded US$536m in standalone income during the first half of its 2023 financial year, up by 26% year-on-year from US$427m. Throughout the period, the producer's profit after tax declined by 19%, to US$37.7m from US$46.4m. Also on a standalone basis, the company reported total expenses of US$482m, up by 31% year-on-year from US$368m. JK Cement's consolidated income rose by 23% to US$558m, while the group's expenses rose by 30% to US$509m, resulting in a 20% consolidated net profit drop to US$33.5m.

Sri Lanka: Tokyo Cement's consolidated sales rose by 34% year-on-year to US$82.8m during the first half of its 2023 financial year. Its cost of sales rose by less than 1% to US$50.8m. As such, the company recorded a profit for the period of US$10.1m, up by more than a factor of eight from first-half 2022 financial year levels.

Bangladesh: Crown Cement has estimated the total cost of cement capacity currently unused in Bangladesh at US$1.46bn. The figure is even higher when maintenance costs are included, according to Crown Cement's chief advisor Masud Khan. Over the past 15 years, national cement capacity has nearly quadrupled to 83.3Mt/yr from 22.4Mt/yr, while demand has merely doubled to 46.7Mt/yr from 22.8Mt/yr. Khan estimated the cost per 1Mt/yr of new Bangladeshi cement capacity over the period at US$40m.

Khan said that producers continue to anticipate an acceleration in local cement consumption growth in the medium-term future. Reflecting on the situation up to the end of 2022, he said "They thought if they were not prepared for the growing demand, they would lose their market share. That was why they continued expansion, bearing the burden of excess capacity." Khan forecast a further decline in the industry's capacity utilisation if gross domestic product undergoes a forecast drop during the 2023 financial year, impacting on producers' results for the year.

India: Dalmia Bharat sold 12Mt of cement during the first half of its 2023 financial year, up by 20% year-on-year from 10Mt in the first half of the 2022 financial year. Its income was US$757m, up by 21% year-on-year from US$624m. Meanwhile, the company's earnings before interest, taxation, depreciation and amortisation (EBITDA) fell by 28% to US$116m from US$161m. The company noted the growth effects of 'fuel price corrections' during the second quarter of 2022, which it expects to increase its profitability during the second half of year.

Managing director and CEO Punit Dalmia said “We are pleased with the performance of the first half of this year despite the intense inflationary environment, and are confident that we will be among the best in the industry, leaving the bad times behind. While the geopolitical turmoil continues, we are confident in the resilience of the Indian economy, which is further cementing its position at the centre of global growth and consumption.” Dalmia continued “In view of the government's continued momentum in the infrastructure sector, driven by the revitalisation of the housing sector, we expect the demand for cement to grow rapidly. Looking ahead, we will remain focused on our capacity expansion progress.”

Dalmia Bharat's 14 integrated cement and grinding plants span 10 Indian states and have a capacity of 37Mt/yr, India's fourth largest.

Finland: Geoprime producer Betolar has named Riku Kytömäki as its new president and CEO. Riku's professional background is in materials technology, having served as president and CEO of Exel Composites and held senior positions in Switzerland-based ABB. Kytömäki holds board positions in several international companies and organisations, including polymers producer Teknikum Group. He has management experience in Asian markets where Betolar has expanded during the past few years.

Betolar said "Riku will lead Betolar through its next growth phase as its Geoprime solution is entering active production. Geoprime is a next-generation, low-carbon solution and sustainable alternative to cement: it delivers 80% fewer emissions and 100% cement-free building materials with the same performance as traditional concrete."

US: Martin Marietta Materials recorded revenues of US$4.68bn throughout the first nine months of 2022, up by 20% year-on-year from US$3.92bn. Cement sales contributed US$455m, 9.7% of total revenues, up by 27% from US$358m. Cost of revenues rose by 4% for the group, to US$3.62bn from US$2.92bn. Nonetheless, Martin Marietta Materials successfully recorded nine-month net earnings growth of 25% year-on-year, to US$638m from US$546m.

Chair and CEO Ward Nye said that double-digit price growth drove the company's record profitability. He said "Importantly, we expect a return to expanding margins in the fourth quarter of 2022, as the compounding effect of multiple pricing actions throughout the year offsets continued inflationary pressure and a slowdown in single-family residential construction. Martin Marietta's strategic coast-to-coast footprint is well positioned for long-term growth, driven by favourable population migration trends, housing shortages in our markets and a long-term federal highway bill complemented by healthy Department of Transportation budgets in the company's key states. Near-term, we expect affordability-driven headwinds in the single-family residential end market will be offset by a significant acceleration in public infrastructure investment and continued strength in large-scale energy, domestic manufacturing and multi-family residential projects."

India: Adani Group plans to invest US$12.1bn across the various sectors in which it operates in the state of Karnataka before 2030. Press Trust of India News has reported that the company has confirmed that expansions to its cement operations will be included under the investment package.

Adani Group's four cement facilities in Karnataka share a cement production capacity of 7Mt/yr.