Vicat advances in most areas, other than Egypt and Switzerland

Vicat advances in most areas, other than Egypt and Switzerland
03 May 2018

Vicat's 1Q18 turnover showed 3.9 per cent improvement to EUR573m, which represents an underlying advance of 10.8 per cent at constant parameters and exchange rates. The cement turnover grew by 2.5 per cent to EUR290m, as cement shipments advanced by 6.5 per cent to 5.21Mt. Before inter-sector eliminations, the cement turnover amounted to EUR342m, a two per cent improvement. The turnover in concrete and aggregates was 2.9 per cent ahead at EUR215m, which represents an underlying recovery of nine per cent, as aggregates shipments improved by 3.6 per cent to 5.19Mt while ready-mixed concrete deliveries were ahead by 9.4 per cent to 2.02Mm³. Other products and services generated a turnover 11.7 per cent ahead at EUR72m. The net debt ratio eased from 40 to 39 per cent of shareholders' funds.

The French turnover improved by 6.4 per cent to EUR208m, as weather conditions were slightly less favourable than in the previous year. The turnover in cement advanced by 3.8 per cent and by 4.4 per cent on a consolidated basis, with volumes ahead by almost three per cent in spite of slightly less good weather and reduced exports. Concrete and aggregates turnover increased by 4.1 per cent, with both aggregates shipments and ready-mixed concrete deliveries being stable and prices showing a slight improvement. Other products and services saw turnover up by 12.1 per cent. 

Elsewhere in Europe, turnover declined by 8.3 per cent to EUR74m, but at constant exchange rates the reduction was just 1.9 per cent. The Swiss turnover declined by 1.6 per cent at constant parameters. Underlying cement sales declined by 8.8 per cent, as cement volumes fell by almost 15 per cent about selling prices did show some improvement. Turnover aggregates and ready-mixed concrete showed an underlying 10.1 per cent drop with volumes falling by in excess of 20 per cent in aggregates and by almost 18 per cent in ready-mixed concrete. The pre-cast concrete turnover advanced by an underlying 18.5 per cent. The Italian turnover showed an 8.5 per cent reduction as volumes were down by in excess of nine per cent higher, with prices showing a slight improvement. 

In the United States, turnover improved by 3.7 per cent to EUR87m, with the underlying increase being 19.7 per cent. The underlying cement turnover rose by 14.4 per cent as volumes advanced by in excess of nine per cent, with California showing the strongest growth. Volumes in the southeast were only modestly ahead because of heavy rainfall in the period. Prices increased in both California and in the southeast. In ready-mixed concrete, turnover advanced by 7.1 per cent as published, and by 23.7 per cent on an underlying basis, as volumes improved by in excess of 19 per cent with the strongest growth being seen in California. The prices achieved were in solid progression in California, while stable in the southeast.

Turnover in Turkey, India and Kazakhstan rose by 23.4 per cent to EUR136m, but on unchanged exchange rates the advance was 40.5 per cent. The Turkish turnover showed an underlying rise of 58.4 per cent to EUR42.2m. The cement turnover advanced by 57.3 per cent on an underlying basis and by 32.0 per cent as published helped by more favourable climatic conditions and cement shipments in the Konya region showed the stronger recovery. The turnover in aggregates and concrete rose by an underlying 42.2 per cent, or by 19.3 per cent as published. Both volumes and prices showed good rated of advance in both ready-mixed concrete and in aggregates.

The Indian turnover improved by 17.8 per cent as published to EUR88m. The volumes sold increased by almost 34 per cent to some 1.7Mt and prices were under considerable pressure in some areas. In Kazakhstan turnover rose by 56.0 per cent to EUR6.4, but at constant exchange rates the advance was 80.4 per cent. The Kazakh volumes rose by more than 84 per cent on the back of both solid growth in the domestic market and increased exports.

Africa and the Middle East saw turnover decline by 16.5 per cent, to EUR67m. The Egyptian turnover dropped by 61.6 per cent to EUR6.8m, but a November devaluation for the second year in a row is leading to higher prices. Provided that the current cease-fire holds, volumes should recover. In west Africa turnover showed a slight improvement of 0.4 per cent. Cement volumes improved by almost six per cent, but aggregates prices declined by almost 12 per cent.

Published under Cement News

Tagged Under: France Vicat businesss results