Full year results
The Italcementi Group continued to feel the impact of the economic downturn in 2012, which hampered demand for construction materials in affected countries. However, net financial debt showed some improvement thanks to cash flow controls and a more rigorous investment policy. Revenue for the year fell by 3.8% y/y to €4.48 billion, although revenue increased in markets outside of Central Western Europe and Morocco.
Total cement and clinker sales dropped by 6.6% y/y to 45.9 million t, after suffering declines in Europe and MENA. A reduction in cement consumption affected sales volumes in Italy, while sales levels declined by 8% in Belgium/France and by 5.4% in Egypt. There was more positive news in North America and Asia, with sales volumes increasing by 0.3% in the US, 9.7% in India and 10.3% in Thailand. Overall, aggregates fell by 10.8% y/y to 34 million t and ready-mix concrete sales totalled 12.9 million m3, down 10.8% y/y. However, the latter did experience growth in Egypt, Thailand and the US.
Sales volumes in 4Q12
Although cement and clinker sales fell by 4.3% y/y to 11.2 million t during 4Q12, the decline was lower than that experienced in the first nine months of the year. The improvement was driven by growth in the emerging markets, particularly Thailand where cement sales increased by 21.6% y/y. Sales of aggregates dropped by 7.7% y/y to 83 million t and ready-mix concrete volumes fell 8.1% y/y to 3.2 million m3. Revenue for the quarter came in at €1.08 billion, down 1.9% y/y. As with the sales volumes, however, this drop was less than that experienced in 1Q12 – 3Q12.
Adapted from press release by Louise Fordham.
Read the article online at: https://www.worldcement.com/europe-cis/06022013/cement_italcementi_italy_financial_results_2012_857/