Cement News tagged under: Fitch Ratings

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Fitch B+ rating for United Cement Group

01 June 2023, Published under Cement News

Fitch Ratings has awarded a B+ rating to United Cement Group (UCG) . The positive outlook by the rating agency is due UCG’s large-scale modernisation as well as with an increase in profitability. The recent acquisition of construction glass producer Kvarts by UCG is also expected to lead to ongoing improvements in product diversifiaction and strengthening of financial stability. Moreover, the integration of Kyzylkumcement is anticipated to increase operating profitability.  According to F...

Deteriorating outlook for Latin American cement, says Fitch Ratings

21 December 2022, Published under Cement News

The outlook for the cement market in Latin America is deteriorating, according to Fitch Ratings. This is being blamed on softening demand in most markets and persistent cost inflation, which will be partially mitigated by lower energy costs. The expectation of higher interest rates and continued inflationary pressures is expected to curb disposable income, resulting in a cooling off of demand in home improvement and remodelling trends. Lower government stimulus that had allowed for a stro...

Fitch: Colombia's positive cement cycle partially mitigates inflationary impacts

04 May 2022, Published under Cement News

Fitch Ratings has said Colombian cement companies face a challenging operating environment as rising commodity and energy prices, global supply chain disruptions and political uncertainty pressure their cost structures. Since 2021, the companies have benefited from the recovery in demand, marked by construction of housing and infrastructure projects in the main markets where they operate. The rating's agency notes that sound volumes should sustain revenue growth, even though at lower pace, a...

Fitch rates West China Cement's proposed US$ notes as 'BB'

28 June 2021, Published under Cement News

Fitch Ratings has assigned West China Cement's (WCC) proposed US dollar senior unsecured notes a rating of 'BB'. The proposed notes will be issued by WCC and guaranteed by WCC's existing subsidiaries, other than those organised under the laws of China. WCC plans to use the proceeds of the proposed notes for refinancing and general corporate purposes, including potential investments. Fitch highlights that WCC maintains a strong position in Shaanxi province, with a market share of around 25 ...

Fitch revises Votorantim Cimentos' outlook to stable

05 May 2021, Published under Cement News

Fitch Ratings has affirmed Votorantim Cimentos SA's (VCSA) Long-Term Foreign- and Local-Currency Issuer Default Ratings at 'BBB-' and revised the rating outlook to ‘stable’ from ‘negative’. The change in outlook mirrors that made to VCSA's ultimate parent, Votorantim SA (VSA).   VCSA accounted for 55 per cent of VSA's EBITDA during 2020 and 46 per cent of its debt. These figures compare with 45 per cent of EBITDA in 2019 and 53 per cent of the group's debt. Fitch noted that: "Although there ...

Private construction to increase Thailand's cement demand

13 February 2019, Published under Cement News

Cement demand in Thailand is forecast to increase in the next few years after a recovery in the private construction sector, says Fitch Ratings. Fitch Ratings expects high-single-digit growth for cement demand in Thailand in 2019, while cement sales data from the Office of Industrial Economics in 3Q18 reported 3.7 per cent YoY growth and a further 2.8 per cent growth in 4Q18. Domestic cement demand for all of 2018 remained low at 0.8 per cent growth YoY. "Cement consumption should rise...

Fitch Affirms Votorantim Cimentos' IDR at 'BBB-'; Outlook remains Negative

20 April 2017, Published under Cement News

Fitch Ratings has affirmed the Long-Term Foreign and Local Currency Issuer Default Ratings (IDRs) of Votorantim Cimentos SA (VCSA) at 'BBB-' and its National Scale rating at 'AAA(bra)'. The Rating Outlook for the IDRs remains Negative while the Outlook for the national scale rating has been revised to Negative from Stable. The Negative Outlook reflects the challenges VCSA and its parent Votorantim SA (VSA) face as they attempt to deleverage by 2018. “It is likely VSA and VCSA will need to ...

Fitch: Latin America 2017 outlook stable

13 December 2016, Published under Cement News

According to a new Fitch Ratings report, the 2017 Latin American cement outlook for both ratings and the sector is stable. Associate Director at Fitch Ratings, Gilberto Gonzalez: “Issuers have built significant operations in the US, which should benefit from increased public and private spending… Housing starts should increase seven per cent to 1.26m, which should provide an additional boost.” For Argentina cement consumption is forecast grow in the mid-single digits, recovering some o...

Fitch lowers Indonesia cement consumption expectations

27 April 2016, Published under Cement News

Indonesian cement producers are on track to achieve the lower-end of the Indonesian Cement Association's (ASI) 4-5 per cent annual growth target, with Fitch Ratings expecting a boost in demand during 2H16 due to new construction projects and more favourable economic conditions. Domestic cement demand rose 4.3 per cent YoY in 1Q16 to 14.4Mt, according to ASI's latest cement consumption data. This followed a modest increase of only 0.9 per cent YoY in 2015. However, Fitch said the quart...

Anhui Conch still outperforming rivals, claims Fitch

01 April 2016, Published under Cement News

Fitch Ratings claims that Anhui Conch Cement Company Ltd has maintained its financial strength and improved its market share in 2015, despite seeing a sharp decline in its domestic Chinese cement market. Sales volume in China's cement industry fell 4.9 per cent and average selling prices (ASPs) decreased 15 per cent in 2015, driven by the weakness in fixed-asset investments and industry oversupply. Conch has outperformed its peers by increasing its sales volume by three per cent, although ...