The Lafarge Bamburi Group, which encompasses Hima Cement Ltd, Bamburi Special Products Ltd and Lafarge Ecosystems Ltd, has announced its unaudited financial results for the first half of 2012. Turnover rose by 17% y/y to KShs19.2 billion. This growth has been attributed to investment in increased capacity and improvements to products and services. However, operating profit fell by 9% to KShs3.6 billion due to high fuel, transport and power costs. Exchange losses and loan financing costs in Uganda meant that pre-tax profit declined by 13% y/y to KShs3.7 billion.
The Group expects the East African cement market to remain strong, and is optimistic that revenue growth will continue in the latter half of the year as plant upgrade projects improve efficiency further and the full effects of a new production line at the Kasese plant, Uganda, are felt.
Programmes and projects
As part of the Group’s sustainability initiative, a KShs400 million electrostatic precipitator upgrade has been carried out in Mombasa and a similar project is due to take place in Uganda next year. In terms of its focus on health and safety, road safety has been encouraged through industrial safety measures for employees and contractors and driver fatigue management courses and road patrols have been introduced. Approximately KShs450 million has been invested in increased ready-mix and pre-cast capacities in Kenya over the last two years.
Adapted from press release by Louise Fordham
Read the article online at: https://www.worldcement.com/africa-middle-east/14082012/cement_lafarge_bamburi_half_year_results_africa_658/
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