Cementir Holding reports a 0.9% fall in revenue for the first quarter to €204.7 million, attributed to difficulties in the markets of Egypt and Turkey. However, at €3.8 million, profit before taxes was considerably up on the €1.8 million loss in 1Q14.
Adverse weather conditions in Turkey and subdued demand in Egypt led to declines in sales revenue of 13% and 11%, respectively, while problems bringing new capacity online in Malaysia led sales volumes there to decline by 10% y/y. However, revenue increased 3% in Scandinavia in 1Q15, driven by the strong performance in Denmark and Sweden, which offset the contraction recorded in Norway. In China, the increase in sales volumes in export markets was offset by the slowdown in internal demand, bringing revenue more or less in line with 1Q14. Italy was also stable.
Cementir reports that results are in line overall with management expectations. In the year ahead, the company plans to implement the measures required to meet its performance and financial objectives for 2015. EBITDA is forecast at €190 million and net financial debt at around €230 million.
Adapted from press release by Katherine Guenioui
Read the article online at: https://www.worldcement.com/europe-cis/12052015/difficulties-in-egypt-and-turkey-affect-cementir-holding-818/