Vulcan's cement losses drastically reduced

Vulcan Materials' turnover for the first nine months recovered by 0.5 per cent to US$1958.9m, while the EBITDA declined by 15.7 per cent to US$286.8m. The trading profit before capital restructuring costs increased by 5.2 per cent to US$72.6m.

After a net interest charge three per cent lower at US$159.0m the pre-tax loss for the period increased by 29.1 per cent to US$125.5m and the net loss rose by 30.7 per cent to US$56.1m. The net debt was 3.7 per cent lower than a year earlier at US$2,569.5m, giving a gearing level of 68.2 per cent.

Turnover from aggregates declined by 0.5 per cent to US$1,317.9m, as shipments were 0.8 per cent lower at 97.57Mt (107.56Mst). The average price, however, improved by 1.3 per cent to US$11.51/t. Volumes in the third quarter were helped by higher volumes in Arizona, Florida and Texas, states that showed a 12 per cent volume increase on the back of higher private sector demand.

Ready-mixed concrete and concrete products increased turnover by 7.6 per cent to US$303.3m, with ready-mixed concrete deliveries recovering by 8.2 per cent to 2.41m m³ and the average price edged ahead by 0.1 per cent to US$120.95/m³. Sales of asphalt mix gave rise to a turnover 6.7 per cent lower at US$293.3m, with the price improving by 1.1 per cent to US$60.76/t as volumes declined by 5.7 per cent to 4.72Mt.

Vulcan's overall cement deliveries staged a 27.6 per cent recovery to 0.63Mt (0.7Mst). Inter-group deliveries recovered by 16.1 per cent to 0.33Mt and third-party sales moved ahead by 30.7 per cent to 0.30Mt. The average cement price achieved improved by 3.4 per cent to US$85.95/t (US$77.97/st) and the turnover advanced by 21.1 per cent to US$63.6m. The gross loss was reduced by 71.4 per cent to US$1.6m in the nine months.