Croatian cement maker Dalmacijacement-RMC Group, now owned by Mexico’s Cemex, said on Monday its net profit fell by 4.9 per cent on the year to 58.6 million kuna (US$9.8m) in the first half of 2005. In a consolidated report, sent to the Zagreb Stock Exchange, the company said the earnings were in line with its plans.
Lafarge Malayan Cement falls on lower-than-expected Q2 results
Lafarge Malayan Cement Bhd was lower after reporting a wider loss of 26.9 mln rgt in the second quarter from a loss of 24.82 mln a year ago, substantially below consensus estimates, dealers said. "The stock is down because of the below-expectation results," a local brokerage dealer said. An analyst at a local research house agreed, adding that the wider losses were due largely to lower domestic selling prices as a result of keen competition in Peninsular Malaysia, and higher production costs primarily as a result of higher fuel prices.
"Similarly, the net loss of 40.8 mln rgt in the first half is attributed to the lower selling prices and higher fuel prices," he said. He pointed out that Lafarge has indicated that domestic selling prices have since recovered in the last two months. "Selling prices in the export market have improved in 2005 and are expected to remain higher than 2004 level," he said, adding that the company has a good chance of meeting the consensus forecast. "Based on consensus estimates, Lafarge is trading at 2005 and 2006 price-earnings ratios of 18.7 times and 14.4 times respectively," he added.