Cimpor sales rise 6% in 2014

Cimpor sales rise 6% in 2014
Published: 03 March 2015


Cimpor’s turnover eased by 0.8 per cent in 2014 to EUR2603.7m while the EBITDA declined by 6.7 per cent to EUR645.6m. The trading profit emerged 7.9 per cent lower at EUR448.8 and the net financial charge declined by 8.8 per cent to EUR371.4m, giving a pre-tax profit 3.5 per cent lower at EUR77.3m and at the net attributable level there was a swing from a loss of EUR19.4m to a profit of EUR27.2m. Net debt at the end of 2014 stood at EUR3561m, an increase of 3.7 per cent, while shareholders’ funds declined by two per cent to EUR928m, giving a gearing level eight per cent higher at 283.7 per cent. 

The group cement and clinker volume sold in the year amounted to 29.99Mta, an increase of 5.7 per cent. Brazil represented 41.3 per cent of the consolidated cement volume,  followed by Argentina (20.2 per cent), Portugal (14.3 per cent), Egypt (12.3 per cent) Mozambique (five per cent) and South Africa (4.9 per cent). Aggregates shipments were 0.4 per cent lower at 8.22m tonnes, while ready-mixed concrete deliveries were 6.1 per cent lower at 4.54Mm³ and mortar sales, which are now predominantly in Brazil, were off by one per cent at 238,000t.

Brazil remains, by far, the largest market for the group for cement, concrete and mortar and the second largest, behind Portugal, for aggregates. Influenced by a less favourable exchange rate, turnover declined 5.7 per cent to EUR1168.4m and EBITDA fell by 22.6 per cent to EUR322.2m. Cement and clinker sales edged ahead by 0.6 per cent to 12.60Mt and the clinker capacity utilisation rate edged up from 70 per cent to 70.4 per cent. Capital expenditure was reduced by 43 per cent to EUR127.9m. Aggregates shipments increased by one per cent to 2.42Mt while ready-mixed concrete deliveries declined 13.3 per cent to 2.39Mm³ and sales of mortar were 6.6 per cent lower at 0.18Mt. 

Argentina’s Loma Negra contributed a turnover 11.3 per cent lower at EUR545.4m following a sharp devaluation of the local currency. Argentinean cement shipments were 3.2 per cent lower that the previous year’s record figure at 6.18Mt compared with a capacity of 8.5Mt. Shipments of aggregates were 4.8 per cent lower at 1.06Mt while deliveries of ready-mixed concrete fell by 13.3 per cent to 0.71Mm³. Yguazu Cementos in Paraguay increased output its new grinding centre by 50.6 per cent to 0.42Mt and its kiln came on-stream at the end of the year, giving the works a cement capacity of 0.68Mta. The turnover in Paraguay was 45.6 per cent higher at EUR55.9m. Between them, Argentina and Paraguay generated an EBITDA 2.3 per cent higher at EUR128m. Capital investment in the year in Argentina and Paraguay amounted to EUR46.8m, a reduction of 35.4 per cent.

The Portuguese turnover declined by a further two per cent to €274.3m in a continued weak market, where domestic deliveries fell by a further 12 per cent following the previous year’s 24 per cent drop to stand at around 1.3Mt. Helped by a further 20 per cent growth in exports, the total cement and clinker shipments, however, did advance by 7.7 per cent to 4.55Mt. Most of the cement exported went to Africa and to Latin America, with Algeria being a notable contributor in the year. Aggregates sales declined by 2.3 per cent to 4.1Mt, but ready-mixed concrete deliveries staged a 9.4 per cent recovery to 1.06M m³ and mortar sales recovered by 23.7 per cent to 56,000t.  In Cape Verde cement sales were 3.7 per cent ahead and downstream volumes were substantially higher, giving a 12.7 per cent increase in turnover to EUR27m. Total EBITDA from Portugal and Cape Verde declined by 2.7 per cent to EUR32.8m, while capital investment was raised by 93.7 per cent to EUR6.4m.

Shipments in Africa increased by 17.5 per cent to 6.78Mt with turnover rising by 16.5 per cent to EUR521.9m and the EBITDA advancing by 24.8 per cent to EUR148.4m. Capital investment was reduced by 53.3 per cent to €21.5m. In Egypt, Amrayah raised turnover by 36.6 per cent to EUR246.9m as cement and clinker shipments increased by 17.7 per cent to 3.761Mt, while ready-mixed concrete deliveries improved by 9.1 per cent. In Mozambique, turnover grew by five per cent to EUR148.9m as cement deliveries improved by 17 per cent to 1.52Mt – a new record.  South Africa produced a turnover 0.7 per cent ahead at EUR126.1m a while cement shipments rose by 17.3 per cent to 1.5Mt, again gaining market share. Aggregates shipments rose by 12.5 per cent to 0.57Mt while ready-mixed concrete deliveries were ahead by a more modest 4.3 per cent to 0.19Mm³.