Italcementi’s Board of Directors has examined and approved the consolidated results for FY14. Consolidated revenue reached €4155.6 million, a decrease of 1.8% y/y. Recurring EBITDA was up 3.2% at €649.1 million. EBIT was up 42.3% at €226.7 million. The total loss for the year was €48.9 million. Cement and clinker sales were up 0.6% to 43.4 million t, while aggregates declined 5.6% and ready-mixed concrete was down 6.5%.
“The results achieved during 2014 confirm the validity of the action plan we have been implementing in recent years, culminating with the operating start-up of the strategic investments completed during the year in Italy and Bulgaria,” said Italcementi Group CEO Carlo Pesenti. “In line with our forecasts, as signs of an economic recovery emerge, we now have largely upgraded and highly efficient industrial network, backed by independent renewable electric energy production covering more than 11% of our total requirement. This capacity exceeds our targets and could rise with the additional initiatives we have planned, including an important wind farm in Egypt to counter the local energy shortages, which have been limiting the Group’s cement production capacity in recent months. Capex in 2015 will in any case be more contained than in 2014, returning to our customary levels of under €400 million. In addition to boosting industrial efficiency, the Group has strengthened its focus on innovative materials and services with high added value. With the new i.nova product offer system fully operational, in 2014 the innovation rate (proportion of innovative products to total sales) rose to 6.6% from 5.3% in 2013, and the industrial contribution margin grew by 11% from the previous year.”
In 2015, the Group expects to see a recovery in North America and Asia, growth in demand in Egypt and relative stability in Mediterranean Europe, but weakness in France. Group recurring EBITDA will benefit from the positive effect of marketing initiatives and innovation, the efficiency improvements arising from the production start-up of the new cement plants, the diversification of energy sources, greater use of production capacity in Egypt and the continuing rationalisation of Group fixed and structural costs. Recurring EBITDA is expected to rise slightly from the 2014 figure.
Ciments Français was delisted on 15 July 2014 and was transformed into a simplified joint stock company by decision of a general meeting on 4 Novermber 2014. It has approved the audited annual and consolidated results for 2014, including consolidated revenues of €3584.5 million, recurring EBITDA of €613.3 million (down 3.9%) and net group consolidated profit of €108.4 million, down from €114.9 million in 2013.
Adapted from press releases by Katherine Guenioui
Read the article online at: https://www.worldcement.com/europe-cis/05032015/italcementi-approves-consolidated-fy14-results-459/