Nine month 2007 revenue levels at Shurovsky Cement have moved up 72.2 per cent to US$94.3m while estimated EBITDA has increased by a healthy 135 per cent to US$45.9m and net profit has grown 126 per cent to US$32.3m according to CentreInvest Group, Moscow. Net margins are recorded at 36.1 per cent and EBITDA margins at close to 50 per cent for the whole year.
This small Russian cement producer based near the city of Kolomna in the Moscow region has lifted sales from 1.05Mt in 2005 to an estimated 1.17Mt for 2007 but the main profit driver has clearly been the exceptional growth in local cement prices which have moved up from about US$55 in 2005 to US$71 in 2006 and then US$100 per tonne in mid-2007. Analysts are now suggesting moscow prices of over US$125 per tonne in mid-2008.
Shurovsky Cement is majority owned by the Alfa-Cement Holdings which controls 85.94 per cent of the common stock. Alfa is in turn reportedly owned 68.81 per cent by Holcim Switzerland