BBMG targets 2010 capital expenditure

BBMG targets 2010 capital expenditure
Published: 21 April 2010

BBMG said that its estimated capital expenditure for this year will be CNY4.5bn, according to CFO Wang Hongjun.

The Hong Kong-listed firm will have sufficient funds in 2010, as it had CNY5.5bn in cash and cash equivalents at the end of last year and will issue more than CNY3bn worth of medium-term bonds, Wang added.

This year, the company aims to produce 40Mt of cement. Its market share in Beijing, where it is based, is expected to be 80 per cent, while in Tianjin and Hebei provinces it forecasts a market share of 36 per cent and 20 per cent respectively.

BBMG acquired 11 cement firms in 2009 and will continue its merger and acquisition activities this year.

Yesterday BBMG said its net profit was KH$2.04bn in 2009, up 54.1 per cent YoY, and that its revenue surged 36.8 per cent, totalling HK$11.7bn.