Cement Hranice ups 2005 profit by 32 per cent Hranice

Cement Hranice ups 2005 profit by 32 per cent Hranice
Published: 22 June 2006

Czech cement maker Cement Hranice raised audited net profit by 31.7 per cent YoY to Kc659.3m in 2005, says its annual report, obtained by CTK. Board chairman Jaromir Chmela said in the report the growth was due to a launch of trading in emission permits in January 2005 as Cement obtained bonuses owing to investment in technologies with lower energy demands.

"By selling the unused permits, we made net profits worth more than Kc130m," Chmela said. Sales were flat YoY at Kc1.5bn. "Despite a generally favourable development of building production in the Czech Republic, our cement sales dropped slightly again, and so did prices," said Chmela. He added the company introduced more products with higher value added to set off this influence. At end-2005, Cement had total assets worth Kc2.2bn, net worth amounting to Kc1.7bn, and loans worth Kc556.8m. 
 
 Shareholders today decided Cement would take over the share capital of its unit Cemos Ostrava to simplify administration. Cement is fully owned by Germany’s Dyckerhoff Aktiengesellschaft which squeezed out minority shareholders last year.