Buzzi Unicem preliminary figures show revenues rise 6.2 per cent in 2015

Buzzi Unicem preliminary figures show revenues rise 6.2 per cent in 2015
Published: 15 February 2016

Tagged Under: Results Italy Buzzi Unicem 

Buzzi Unicem’s preliminary results for 2015 show a 6.2 per cent rise in revenues to EUR2662m from a year earlier. Thanks to the strengthening of the dollar, which was partly offset by the devaluation of the Russian ruble and the Ukrainian hryvnia, foreign exchange fluctuations had a favourable impact of
EUR101m.

The group’s net debt fell to EUR1.03bn in 2015 from EUR1.06bn in 2014. It expects from preliminary data that EBITDA will be EUR470m in 2015.

Cement volumes for the year rose by 1.7 per cent to 25.6Mt and ready-mix concrete deliveries fell by 0.9 per cent to 11.9Mm3.

In its home market of Italy, consolidated net sales came in at EUR381m, down 2.7 per cent versus 2014. Cement consumption is estimated to have fallen 3.5 per cent during the year to approximately 19.3Mt (down 59 per cent from the 2006 peak). Construction investments for 2015 showed a further contraction in all segments except for the renovation of residential properties.

In central Europe, Buzzi's deliveries of hydraulic binders, although recovering at the end of the year, were penalised above all by the weaker oil-well cement demand. They closed with a decrease of 2.8 per cent, with prices slightly down (-1.1 per cent). Output volumes in the ready-mix concrete sector recorded a more marked reduction (-5.1 per cent) with prices down (-1.3 per cent). Overall net sales decreased from EUR603m in 2014 to EUR574m in 2015 (-4.9 per cent).

The eastern European group region was boosted by the additional contribution from the Korkino cement plant in Russia and the recovery of the market positioning in Poland.

US hydraulic binder sales rose by 2.4 per cent thanks to the good performance in the Midwestern regions and despite a sharp contraction in oil well products deliveries. Ready-mix concrete output, mainly located in the Southwest, decreased from last year (-5.2 per cent). Selling prices trend dynamics in local currency was favourable, thus causing a +7.7 per cent increase in the cement sector and a +9.7 per cent rise in the ready-mix concrete segment. Overall net sales stood at EUR1109m, up 29.5 per cent from EUR856m in the previous year. Sales were strongly favoured by the strengthening of the dollar, with a contribution of EUR183m.

Cement volumes of the associate Corporación Moctezuma were strong for the whole of 2015, with average prices in local currency improving from last year. Ready-mix concrete output showed a similar trend. Net sales stood at EUR626m (+19.9 per cent). The Mexican peso maintained its value during the year: at constant exchange rate net sales would have increased by 19.7 per cent.