Global Cement News

Philippines: Cemex Philippines’ sales were US$238m during the first nine months of 2023, down by 15% year-on-year. The Philippine Daily Inquirer newspaper has reported that the company recorded increased costs during the period, although its electricity costs dropped. It implemented cost efficiency measures, but failed to reduce its net loss, which rose by 47% to US$66.5m from US$45.4m.

President and chief executive officer Luis Franco said "In this year of transition for our company, we remain dedicated to finding opportunities to improve our overall efficiency and profitability by proactively managing the variables we can control. I am pleased with the initial progress we have made in the implementation of our efficiency programme and its results in optimising our operations, streamlining processes, increasing supply chain efficiency and improving our energy mix."

Saudi Arabia: Yanbu Cement’s sales were US$156m during the first nine months of 2023, down by 21% year-on-year. Its net profit also dropped in the period, by 35% to US$27.1m.

Mexico: Cemex has refinanced a syndicated credit agreement worth US$3bn. Dow Jones Institutional News has reported that the refinanced agreement includes a US$1bn, five-year term loan and US$2bn five-year revolving credit facility.

Cemex’s chief financial officer Maher Al-Haffar said "We now have a flatter debt maturity profile, with no significant maturities in any year."

Algeria: Holcim Algeria successfully commissioned a new 18,000t/day clinker loader at the Port of Djendjen in late October 2023. The cost of the equipment was Euro3m. APS News has reported that port authorities have ordered two further such machines from China.

Austria: RHI Magnesita says that its sales volumes declined quarter-on-quarter during the third quarter of 2023, with its refractories plants operating at 70% capacity. The company noted ‘under-absorption’ of fixed costs. However it succeeded in maintaining constant earnings before interest, taxation and amortisation (EBITA) levels in line with the second quarter of the year. As such, RHI Magnesita revised its adjusted EBITA guidance for full-year 2023 to Euro380m from Euro360m. It said that its order book visibility is at ‘normal’ levels, with limited signs of a recovery in demand volumes in 2024, as global construction activity continues to be weak.

Chief executive officer Stefan Borgas said “I am pleased by the strong execution demonstrated by RHI Magnesita during difficult conditions for our key end markets. We are currently benefitting from the strategic investments we have made in reducing our cost base and rationalising our production network, together with improved planning and careful management of our assets through this period of weaker demand. Pricing discipline has helped to maintain EBITA margins at over 11%, offsetting the impact of lower production on our fixed cost base. We have also been able to progress our mergers and acquisitions strategy, with six acquisitions completed in the first nine months of 2023 and a total of nine in the past 24 months.