Vicat sees 1Q16 revenues reach EUR554m

Vicat sees 1Q16 revenues reach EUR554m
Published: 28 April 2016

Tagged Under: France Vicat Quarterly Results 

In their quarterly statement for 1Q16, Vicat announced that turnover improved by 3.3 per cent YoY to EUR554m (US$629m), which represents an underlying advance of 6.5 per cent. Cement turnover was up by 1.5 per cent to EUR346m (US$392m), as cement shipments rose by 13.8 per cent to 4.83Mt.

The turnover in concrete and aggregates was 7.7 per cent ahead at EUR204m (US$231m), which represents an underlying advance of 9.1 per cent, as aggregates shipments rose by 15.2 per cent to 4.83Mt and ready-mixed concrete deliveries improved by 9.8 per cent to 1.89Mm³. Other products and services generated a turnover five per cent higher at EUR84m (US$95m), and at the consolidated level there was a 4.8 per cent advance to EUR65m (US$74m). The net debt ratio increased from 44 per cent to 46 per cent of shareholders' funds.

The French turnover improved by 8.9 per cent to EUR183m (US$208m), as weather conditions were more favourable than in the previous year and industry dynamics also improved. The turnover in cement rose by 10.9 per cent, or by 7.2 per cent on a consolidated basis and volumes advanced by over 14 per cent. Concrete and aggregates turnover rose by 10.3 per cent, with aggregates shipments recovering by more than eight per cent and ready-mixed concrete deliveries were more than 14 per cent ahead. Other products and services saw turnover improve by 8.4 per cent.

Elsewhere in Europe, turnover rose by 1.5 per cent to EUR81m (US$92m), helped by the strength of the Swiss franc. The Swiss turnover improved by 3.8 per cent at constant parameters. Underlying cement sales declined by 8.6 per cent, as cement volumes declined by more than eight per cent following the completion of a number of large projects and prices were again lower. Turnover in aggregates and ready-mixed concrete showed an underlying recovery of 16.7 per cent. Volume recovered by almost eight per cent in aggregates but were off by almost five per cent in ready-mixed concrete. The precast concrete turnover was virtually stable with a 0.1 per cent advance. The Italian turnover showed a very slight recovery of 0.6 per cent as volumes were just over one per cent higher, with prices showing a slight reduction.

In the United States, turnover improved by 9.5 per cent to EUR80m (US$91m), with the underlying increase being 7.1 per cent. The underlying cement turnover rose by 18.4 per cent as volumes advanced by almost 14 per cent. Volumes rose strongly in the southeast but were only stable in California, which suffered from heavy rainfall in the period. Prices were ahead, more so in California than in the southeast. In ready-mix concrete, turnover declined by an underlying 4.3 per cent as volumes declined by more than 11 per cent with all of the reduction being seen in California. The prices achieved were ahead, more so in California than in south-east.

Turnover in Turkey, India and Kazakhstan declined by 2.4 per cent to EUR115m (US$130m), but on unchanged exchange rates there was a 10.8 per cent increase. The Turkish turnover showed an underlying advance of 23 per cent to EUR42.4m (US$48m). The cement turnover rose by 20.4 per cent and, helped by more favourable climatic conditions, cement shipments rose by almost 29 per cent, while prices were lower than a year ago but stable compared with previous quarter.

The turnover in aggregates and concrete rose by 30.4 per cent, thanks to more favourable weather conditions and volumes rose by more than 41 per cent in aggregates and by in excess of 30 per cent in ready-mix concrete.

Indian turnover improved by an underlying 4.8 per cent to EUR68m (US$77m). The volumes sold increased by almost 19 per cent to 1.2Mt, but prices declined as a result of increased competitive pressures and a less favourable geographical mix.

In Kazakhstan turnover dropped by 46.1 per cent to EUR4.7m (US$5.3m) as a result of the currency devaluation last August, but at unchanged exchange rates there was a 1.5 per cent improvement. The Kazakh volumes did improve by almost eight per cent, helped by increased exports.

Africa and the Middle East saw turnover decline by 2.9 per cent, to EUR96m (US$109m). The Egyptian turnover increased by an underlying 14.5 per cent to EUR33m (US$37m) as volumes increased by almost 22 per cent, but selling prices remained under pressure though these were higher than in the previous quarter.

In west Africa, turnover declined by an underlying 7.4 per cent and volumes were very slightly lower. Volumes in Senegal were slightly ahead but were lower in Mali and Mauritania. Prices were lower than a year ago, but the decline took place during 2015 and there was a slight improvement over the previous quarter.