Oman Cement has issued its statement on the first quarter, which shows a 46.7% decline in net profit, attributed to the shutdown of one of its kilns for upgradation. Net profit for the January – March period reached RO3.7 million, down from RO6.9 million in the year ago period. Sales volumes fell 17% to 521 667 t of cement during the quarter, down from 628 553 t in 1Q13. This equated to a 16.7% drop in sales value to RO15.65 million.
The kiln 1 upgrade project will increase production capacity by 2700 tpd. This kiln was shut down for the entire first quarter, affecting production and sales. In the company’s directors’ report, Dr Abdullah Abbas Ahmed says the company is confident that performance will improve when the kiln comes online towards the end of the second quarter. In addition, Oman Cement has arranged financing for the installation of a new 150 tph cement mill and related silos.
Edited from various sources by Katherine Guenioui
Read the article online at: https://www.worldcement.com/africa-middle-east/01052014/oman_cement_reports_declining_profits_while_upgrade_project_continues_122/