CMS records 4% increase in revenue for 2017

CMS records 4% increase in revenue for 2017
30 March 2018

Malaysia-based Cahya Mata Sarawak Berhad (CMS) has released its results for the full-year 2017 period, recording a 4 per cent YoY increase in revenue to MYR1.61bn (US$415.67m) from MYR1.55bn. The group also announced a 26 per cent rise in profit after tax and non-controlling interests (PACNI), to MYR213.21m from MYR169.18m.

The cement division was amongst the main contributors to the group's revenue, despite revenue of the divison falling 7.5 per cent YoY to MYR520.91m (2016: MYR563.07m). The company’s profit before tax saw a minor 3.5 per cent fall from MYR105m to MYR101.34m. The performance of the sector has been attributed to enhanced operational and production efficiencies, alongside savings from lower coal and raw material prices. CMS maintained cement prices despite the weakening currency, according to its financial report.

Expanding operations
The company’s integrated facility in Mandong, commissioned in November 2016, has a 0.84Mta clinker plant which can satisfy up to 50 per cent of the cement division’s total clinker demand. Alongside this, its 1Mta grinding plant features a 150Mt/hr ball mill, two 10,000Mt cement silos, four line bulk loaders and a 3000 bag/hr packing and palletising machine. Moreover, the raw material reserves of the nearby quarry are expected to last for at least the next 50 years.

CMS’ cement sector has a total production capacity of 2.75Mta, more than sufficient to supply the local demand of approximately 1.5-1.7Mta.

Furthermore, a new product is being developed to bolster the range currently offered by the company and is expected to be introduced to the market in the second half of 2018.

Published under Cement News