The cement industry led growth in RHI Magnesita’s Industrial Division, the global refractories supplier said in its recent results statement. Adjusted pro-forma revenue for the Industrial Division grew by 2.6% in 2017 to €658.8 million.
“RHI Magnesita recorded a strong operating performance in the financial year, which is attributable to the company’s efficient operations, improving macroeconomic environment, and the engagement of all employees worldwide,” said CEO Stefan Borgas.
Total pro-forma revenue was €2.7 billion, an 11% increase on the previous year, led by robust sales growth from the steel sector driven by a 5.3% increase in global steel production.
The steel industry accounts for 74.4% of RHI Magnesita’s pro-forma revenue in 2017. Within the Industrial Division, which accounted for the remaining 25.6% of total pro-forma revenue, cement accounts for 45.8% of revenue – or 11.7% of the company’s overall revenue.
Sales to cement customers amounted to €226.8 million in 2017, up 19.8% on the previous year. The improvement was driven by “a significantly better market environment in 2017, especially in the second half of the year.”
China remained RHI Magnesita’s largest market in the cement industry, followed by India, where RHI Magnesita’s sales remained stable with new contacts offsetting weaker underlying demand.
Sales in Europe returned to growth after several years of decline, while North American sales exceeded cement market growth on the back of greenfield activity in the region.
Read the article online at: https://www.worldcement.com/product-news/30032018/cement-industry-supports-growth-at-rhi-magnesita/