Tokyo Cement Group has opened the FY25-26 with cautious optimism, reporting steady demand supported by improved economic conditions and private sector investment.
For the quarter ended 30 June 2025, the company recorded revenue of LKR12,544m (US$41.6m), up from LKR11,665m a year earlier. Profit after tax, however, dipped slightly to LKR668m from LKR707m. The topline growth was driven by higher sales volumes and ongoing construction activity, though seasonal slowdowns and monsoon disruptions weighed on demand.
The group noted that lower interest rates and easier credit access continue to stimulate private real estate and commercial projects. But delays in public infrastructure remain a drag, with projects such as BIA Phase II and the Kadawatha–Mirigama Expressway section seen as key future demand drivers.
Tokyo Cement said its 4Mta capacity remains underutilised but reaffirmed strict cost discipline and expressed confidence that improving forex inflows, subdued inflation, and stronger investor sentiment will underpin long-term growth.
