Vicat advances in India and Kazakhstan

Vicat advances in India and Kazakhstan
Published: 06 February 2013

Tagged Under: Vicat France Results 

Vicat's turnover increased by 1.2 per cent in 2012 to €2292.2m, which becomes an underlying decline of 0.2 per cent on a like-for-like basis. Turnover in cement was ahead by 1.6 per cent to €1155.7m, while aggregates and concrete sales were ahead by one per cent to €826.1m. Other activities saw turnover edge ahead by 0.2 per cent to €310.5m.

Cement accounted for 52.3 per cent of turnover, very marginally higher than the 52.1 per cent in the previous year. The concrete and aggregates share eased from 32.8 per cent to 32.5 per cent and other activities accounted for 15.2 per cent.

Group cement deliveries declined by 0.8 per cent to 17.89Mt and aggregates shipments were 3.2 per cent lower at 21.52Mt, while ready-mixed concrete deliveries eased by 0.5 per cent to 7.93Mm³.

Group regions


The French turnover declined by 6.3 per cent to €879m, as a more normal winter and a weaker economic environment affected construction activity. Cement turnover declined by 11.6 per cent as volumes fell by in excess of 13 per cent. The reduced cement deliveries reflect the completion of a number of large contracts on top of the weaker trading environment, but the rate of reduction in the final quarter was less than it had been earlier in the year and the average cement price achieved showed a slight improvement. The underlying aggregates tonnage declined by more than nine per cent, while ready-mixed concrete deliveries were off by around 2 per cent, but downstream prices were slightly higher and the turnover was off by 4.3 per cent. In other activities, turnover declined by 4.7 per cent, with the transport operations suffering poor weather conditions at the beginning and at the end of the year, but building chemicals showing an improvement.

In the rest of Europe, nominal turnover was ahead by 2.9 per cent to €411m, but at the underlying level there was a 0.3 per cent decline. The Swiss cement turnover advanced again was 5.0 per cent ahead over the year and volumes were almost 2 per cent higher, in spite of a 7 per cent drop in the first quarter because of the harsh winter. The average cement price rose, helped by a favourable product mix. The Swiss concrete and aggregates turnover declined by 5.3 per cent, as aggregates volumes were off by almost 3 per cent and ready-mixed concrete volumes showed a decline of almost 4 per cent. Pre-cast concrete sales recorded a 1.9 per cent increase. In Italy, turnover eased by 1.2 per cent, with higher prices and increased exports largely offsetting the lower volumes in the very difficult domestic market

The United States turnover showed an 18.7 per cent recovery to €196m, though in local currency the improvement was a more modest 9.6 per cent. The cement turnover was also up by 18.7 per cent, helped by a volume increase of in excess of 17 per cent. Selling prices in the final quarter showed higher average than in the corresponding period in the previous year. Turnover in ready-mixed concrete improved by six per cent, in spite of an unfavourable final quarter, when volumes dropped by almost 10 per cent because of bad weather conditions leading to a 5.2 per cent reduction in turnover.

Overall Asian turnover showed a 27.0 per cent advance to €332m. Turnover in Turkey improved by 12.3 per cent to €221m, with a weak start but a 16.9 per cent improvement in the final quarter. The underlying Turkish cement turnover rose by 10.9 per cent and pricing improved almost two per cent, but remains highly competitive, but a greater portion of cement sales went into the domestic market. Deliveries of aggregates and concrete were ahead and the turnover rose by 14.2 per cent, with aggregates volumes advancing by more than 13 per cent.

In India, Bharathi Cement produced a turnover 30.5 per cent higher at €156m on the back of growing volumes and a slight improvement in prices. In excess of 2.5m tonnes of cement were sold during the year. The fourth quarter saw an underlying growth rate of 18.9 per cent. The 2.8Mta Vicat Sagar Cement will start selling cement with the beginning of 2013, also under the Bharathi Cement brand. In Kazakhstan, the 1.1Mta Jambul Cement works sold almost 1Mt of cement in 2012 in a positive pricing environment.

The West African and Egyptian turnover declined for the second year in a row, falling by 11.3 per cent to €364m. In Egypt, turnover fell by some 27 per cent on volumes down by a similar percentage, while the average selling price was marginally ahead, and irregular gas supplies have limited production. In the final quarter of 2012, volumes were 13.9 per cent lower, compared with the 28 per cent drop seen in the same period last year and visibility in Egypt remains poor.

In West Africa, turnover declined by 5.2 per cent. This reflects increased competitive pressures in Sénégal and an increased volume being sold into export markets. Overall volumes were almost two per cent higher, but in the final quarter the volume increase was running at in excess of nine per cent. The aggregates operations in Sénégal were affected by delays on a number of important construction projects and volumes were down by 11.6 per cent in the year.

The full results will be announced on the 7th of March.