Holcim Philippines, Inc. has reported a strong second quarter, with profits rising 34% to Php1.62 billion. Revenues for the cement business were likewise up, by 13% to Php8.11 billion and net income climbed 34% to Php1.62 billion, thanks for strong sales and improved operational efficiency. In the six months from January to June, revenues grew 10.5% and net income was up by 50%.
"Our industry is a key sector that is benefiting early from the Philippines’ economic revival,” said Holcim Philippines CEO Ed Sahagun. “We see a continuing trend in construction activities -- government is keen on sustaining infrastructure investments, and private construction is being driven by real demand. In such an environment, the challenge is keeping the market supplied and we are committed to do our share.”
In addition, the company’s attention to operational efficiency and cost management improved production and distribution costs. Sahagun said that the company’s performance confirms their decision to invest in keeping the plants in good condition. Going forward, Holcim Philippines is set to conduct its regular maintenance activities during the rainy season, when demand tends to slacken off.
Looking ahead, the government’s proposed national budget for infrastructure development in 2014 is set to be 35.5% higher than in 2013, which is good news for the cement industry. Holcim Philippines is set to reactive its 1 million tpa grinding plant in Mabini, Batangas, this coming quarter to make the most of the opportunities afforded by increased infrastructure spending. Plans for a new production line in Bulacan are also on track.
Adapted from press release by Katherine Guenioui
Read the article online at: https://www.worldcement.com/asia-pacific-rim/12082013/holcim_philippines_reports_good_cement_sales_103/