1Q14 financial highlights
- In local currency, Cimpor’s EBITDA increased by 15.3% y/y. However, if the impact of forex is taken into account then the €133.1 billion EBITDA declined by 9.7% y/y.
- Turnover fell to €593 million, down 6.8% when compared to 1Q13.
- Net income attributable to shareholders came in at negative €10.8 million.
Cement and clinker
- Total cement and clinker sales improved by 12.2% y/y to reach 7.2 million t in 1Q14.
- Sales grew by 5.2% y/y in South America and by 18.9% y/y in Africa.
Regional variations
Latin America: Improved synergies and continued dynamism helped to drive sales up by 7.7% in Brazil and to mitigate high energy costs and lower non-recurring items. Cement and clinker sales volumes grew by 45.8% y/y in Paraguay, where Cimpor launched a new cement mill. However, sales volumes contracted by 1.5% y/y in Argentina.
Europe: In Portugal sales volumes increased by 21.5% due to a 43.8% rise in exports. Exports now account for 70% of Cimpor’s activities in Portugal.
Africa and Middle East: Sales of clinker and cement improved across Cape Verde (7.1%), Egypt (21.3%), Mozambique (11.7%) and South Africa (18.4%). In Mozambique, Cimpor has inaugurated two new mills, although its operations in the country were affected by an unstable electricity supply and a rise in imports in the country. Enhanced efficiency and a new commercial strategy helped to offset increased competition in South Africa.
Adapted from press release by Louise Fordham
Read the article online at: https://www.worldcement.com/europe-cis/27052014/cimpor_1q14_results_highlights_250/
