Readymix expects losses of €47m, Ireland

Readymix expects losses of €47m, Ireland
Published: 27 February 2009

Readymix yesterday said that its losses for year-end December 2008 would be €47m, a hike of €14m on a previous guidance reflecting the downturn.

In a trading update, the company, which is a subsidiary of Cemex, said in December it indicated an expected operating loss of €22m and this is unchanged.

However, it said total losses before taxes were now expected to be in the region of €47m, an increase of some €14m on the €33m previously advised.

"The additional €14m non-cash writedown arises from the elimination of goodwill, reflecting the downturn in realisable asset values, and a re-evaluation of the carrying value of certain property, plant and equipment," according to the statement.

The company will announce full-year results in March.

Irish house completions fell by more than one-third in 2008, dropping to the lowest in eight years as the country’s property boom collapsed.

Builders completed 51,724 houses in 2008, compared with 78,027 in 2007, according to new figures from the Department of the Environment. For the first nine months of 2008, house starts fell 52pc from a year earlier.