Lafarge Malaysia reduces net loss in 1Q19

Lafarge Malaysia reduces net loss in 1Q19
30 May 2019

Lafarge Malaysia successfully reduced its net loss to MYR32.07m (US$7.64m) in the 1Q19, compared with MYR68.73m of the year-ago period. However, revenue saw a minor 1.5 per cent YoY fall to MYR538.7m from MYR546.8m, with the decrease attributed to lower cement sales caused by market conditions.

The company noted that key infrastructure projects will help reduce the domestic cement industry’s overcapacity, but market conditions are expected to remain challenging.

"There is still healthy demand for clinker in the export market and the Langkawi Plant is well positioned to benefit from this. Cost reduction and plant reliability remains a priority and the group will also continue to focus on enhancing its operational efficiency further," said the company in a statement.

The company also commented on LafargeHolcim’s recent divestment of its entire 51 per stake in the company to YTL Cement.

"The market consolidation following the acquisition by YTL Cement is expected to be positive for the cement industry."

Published under Cement News