HeidelbergCement shows good margin improvement
HeidelbergCement raised turnover by 12.5% to EUR4,810.8 in the first half of 2007m, with the EBITDA advancing by 19.7% to EUR974.5m. The trading profit rose by 28.0% to EUR719.7m and the net attributable profit jumped by 247.4% to EUR1302.7m. The net interest charge increased by 5.9% to EUR112.2m, with net debt at the end of June standing at EUR4,498m to giving a gearing level of 58.9%. Capital expenditure in six months amounted to EUR385m, in increase of 80.8%, while EUR3,254m were spent on acquisitions, principally Hanson. Cement and clinker deliveries in the period were ahead by 12.5% to 41.1Mt, while aggregates volumes improved by 8.2% to 48.1Mt and ready-mixed concrete deliveries were 3.3% higher at 14.7Mm³.
Europe, which for HeidelbergCement also covers other parts of the former Soviet Empire, increased turnover by 20.3% to EUR2247m and the EBITDA advanced by 42.7% to EUR502m. Cement and clinker volumes rose by 14.6% to 20.42Mt, with a strong underlying increase of 8.4% before taking acquisitions into account. Good growth was seen particularly in Poland and Rumania, but also in the Nordic area, where it helped to compensate for lower exports to the USA. However, cement demand has eased in recent months in Germany and Great Britain. Aggregates shipments were 11.2% ahead at 34.67Mt and ready-mixed concrete deliveries were 3.4% higher at 9.00m m³, with good growth being seen in Eastern and Northern Europe and in the Benelux. On the other hand, the sale of East German ready-mid concrete operations to Schwenk has reduced the German downstream exposure. Published under Cement News
