Bío Bío 2006 profits surge 82% to US$89m
Chilean company Cementos Bío Bío saw net profits climb 81.9% to 48.0bn pesos (US$88.8m) last year compared to the 26.4bn pesos posted in 2005, the company reported to the country’s securities regulator (SVS).
In 2006, Bío Bío recorded revenues of 330bn pesos, up 3.1% from the previous year.
Bío Bío’s operating profit decreased, however, to 38.7bn pesos in 2006, due mostly to increased energy costs. The company had reported 41.7bn pesos in operating profits the previous year. It sold 1.32Mt of cement, 9.7% higher than in 2005, which in part helped to palliate the high energy costs.
The sale of forestry assets in June are what saved Bío Bío’s bottom line. Thanks to the sale, the company had non-operating profits of 17.8bn pesos versus a non-operating loss of 10.4bn pesos the year before.
Bío Bío, Cemento Polpaico and Cemento Melón are Chile’s top three cement producers. Published under Cement News
