Caribbean Cement reports 28% rise in revenues

Byyuanyanping

Updated Tue, 19 Aug 2014 11:20:48 GMT

Caribbean Cement Company Limited, part of the TCL Group, reports increased cement and clinker sales volumes for the January – June period (1H14), with revenues accordingly up by 28% at J$7.25 billion from 1H13’s J$5.68 billion. Local cement sales volumes amounted to just under 310 000 t in 1H14, with cement exports rising from 100 780 t in 1H13 to 133 028 t in 1H14. Clinker exports reached 63 260 t, from zero in 1H13.

Earnings were impacted by currency depreciation, an increase in debt servicing and the cost of the planned maintenance shutdown. In all, the group reported ‘a consolidated loss of J$53 million for the first six months of 2014 compared to a loss of J$137 million in the corresponding period of 2013’. In the unaudited interim financial report, the group notes the effects of its June 2013 debt restructuring exercise:

‘In this regard, the results for 2013 include a J$591 million reversal of previously accrued withholding taxes, resulting in a much improved operating profit for the first six months of 2013. Additionally, the reduction in the Group’s exposure to currency exchange losses from June 2013 resulted in a net reduction of J$652 million in foreign exchange transaction losses for 2014 compared to the corresponding period of 2013.’

The group anticipates some small growth in the second half, describing itself as ‘cautiously optimistic’, and plans to further consolidate the gains made in South America.

Meanwhile, it is being reported that shareholders of Trinidad Cement Limited are planning a meeting tomorrow to remove six directors from the board and replace them with new directors.