Asia Cement (China) Holdings Corporation has reported growth of 2% in its total sales volume of cement, clinker and slag powder in 1Q15. Unaudited consolidated revenue for the quarter was RMB1348 million, while profit reached almost RMB1.5 million.
Subdued demand and bad weather created a depressed market environment that was disappointing compared to the same period of 2014. From February to early March, cement manufacturers lowered prices to reduce inventory, with prices bottoming out in early March. By mid-March prices began to rebound.
Mr Hsu Shu-tong, Chairman of Asia Cement (China), said: “The Group is optimistic about the cement demand in the next three quarters. The central government will continue to implement proactive fiscal policy and prudent monetary policy, and will increase investment in shanty town redevelopment, railway and hydraulic engineering works, etc. With the strategic implementation of the “One Belt and One Road” and “Yangtze River Economic Belt” schemes, as well as the promotion of new urbanisation, cement demand is expected to grow in the next three quarters.”
In 2015, the group plans to sell a total of 33 million t of cement, clinker and slag powder, representing a year-on-year increase of over 10%. The group will continue enhancing efficiency and improving cost control throughout the year and intends to adopt a flexible marketing strategy in order to solidify its market-leading position.
Adapted from press release by Katherine Guenioui