Vicat first quarter decline

Vicat first quarter decline
Published: 06 May 2009

Vicat today reported first-quarter 2009 sales of €425 million for the three months ended 31 March 2009, representing a decline of 9.8%. At constant scope and exchange rates, sales declined by 14% compared with the same period of 2008.

In relation to this report, the Management Board stated: “As anticipated, the continuation of the economic downturn impacted the Group’s performance during the first quarter of 2009. In spite of this backdrop and highly unfavourable weather conditions, Vicat managed to deliver a solid performance in its Cement activity, the core business of the Group. We are now benefiting from our prudent strategy and the investments achieved under the Performance 2010 plan. They are helping us to capitalise on the momentum of our markets in Africa and the Middle East.

In an environment still characterized by poor visibility, Vicat is more determined than ever to leverage on its solid and proven fundamentals, i.e. a long-term strategic vision, prudent management and well balanced financial profile.”

Consolidated sales posted during the first quarter of 2009 came to €425 million, representing a decline of 9.8% compared with the same period of 2008. At constant scope and exchange rates, sales declined by 14.0%.

The Cement business posted a slight contraction of 1.3% at constant scope and exchange rates, while the Concrete & Aggregates and the Other Products and Services businesses recorded sales declines of 26.4% and 18.8% respectively at constant scope and exchange rates.

The breakdown of sales between the Group’s various divisions over the period shifted in favour of the Cement business (52% of consolidated sales, up from 46% in the first quarter of 2008) and to the detriment of the Concrete & Aggregates business (36%, down from 41% in the first quarter of 2008). The Other Products and Services business remained stable from one quarter to the next (12% vs. 13% in the first quarter of 2008).