TCL Group announces results for January – September 2014

The TCL Group achieved a 6.5% rise in revenue in January – September 2014. This increase has been attributed to growing cement markets in Trinidad and Jamaica, while the market in Barbados remained flat. The company also noted a 12.3% improvement in concrete sales during the period. Price increases were implemented in Guyana, Trinidad and Jamaica.

Furthermore, as part of the PetroCaribe Agreement, Caribbean Cement Company Ltd (CCCL) dispatched 80 300 t of clinker to Venezuela.

The group’s operating profit before interest, taxes, depreciation and non-recurring items from continuing operations grew by 9.6%. This increase was impacted by rising costs in Jamaica caused by the depreciation of the Jamaican dollar, as well as higher operating costs in Barbados. The group recorded profit after taxes of $63.7 million, compared to $78.9 million in the corresponding period in 2013.

TCL Group met with lenders at the end of September 2014, after which the Board decided to suspend all payments due under its restructured loan agreements. The Board is now negotiating with financiers to establish a newly restructured loan agreement. A financial and operational overview of the company is now being carried out to ensure the long-term viability of the group. This is due to be completed by the end of October 2014.

Barbados-based Premix & Precast Concrete Inc., a subsidiary of Readymix West Indies, was discontinued as of 30 September 2014. The subsidiary had been suffering from continued operating losses, leading to a loss of $4.2 million in the first nine months of this year.

Adapted from press release by Louise Fordham

Read the article online at: https://www.worldcement.com/the-americas/21102014/tcl-group-results-january-to-september-2014-707/