China Resources Cement Holdings Ltd said Monday its plans to expand its production capacity by around one third in 2011 in anticipation of higher selling prices and rising demand.
The company made the announcement the same day as it reported that its net profit more than doubled to HK$2.04bn in 2010 as revenue soared to HK$14.14bn from HK$6.91bn in 2009, thanks to growth in both sales volume and selling prices. The company declared a final dividend of HK$0.045 per share for 2010. The company didn’t pay a final dividend for 2009.
According to Zhou Longshan, chief executive officer at China Resources Cement, the company’s production capacity will grow to 61.8Mt by end-2011 and 77.8Mt by end-2012 from 47.8Mt currently.
The company sold 29.6Mt of cement in 2010, up 80 per cent from a year earlier, while its sales of clinker and concrete jumped 14 per cent and 71 per cent respectively in volume terms during the same period.