Lucky Cement’s margin increases 38%, Pakistan

Lucky Cement’s margin increases 38%, Pakistan
02 June 2010

Lucky Cement’s margin has increased 38 per cent to PKR43/50kg bag on yearly basis because of power cost saving, said KASB Securities analyst Farrah Marwat in her research report.

Earnings of Lucky Cement, the country’s largest cement producer, will increase 15 per cent in fiscal year 2011.

“This is expected to further cement Lucky’s sector leadership while bringing down, already lowest-in-peers, production cost a notch. The company plans to save a further five to six megawatts via power plant heat recovery which can help cut the cost further,” Marwat said.

Company management has also commented that Lucky may reconsider bringing online its deferred 1.25Mt expansion in fiscal 2011. The initial south expansion plans were for 2.5Mt which the company brought down to 1.25Mt.
Published under Cement News