Italcementi loss grows to Euro69.3m in 2015

Byjirong

Updated Mon, 22 Feb 2016 09:36:19 GMT

Italy: Italcementi’s loss has grown by 41.7% year-on-year to Euro69.3m in 2015 from Euro48.9m in 2014. The multinational cement producer blamed this on falling revenue per unit amidst general poor markets, particularly in Egypt. Despite this its revenue grew by 3.5% to Euro4.3bn in 2015 from Euro4.16bn in 2014, boosted by a stronger fourth quarter and currency effects.

Overall cement clinker sales volumes remained unchanged in 2015 at 43.4Mt. Growth in North Africa, Middle East (Egypt and Kuwait) and the more contained growth in North America was counterbalanced by downturns in Europe, Asia and Trading.

Italcementi expects growth in North America, moderate sales growth Egypt and stability in emerging markets in 2016. Demand for building materials is expected to be stable overall in Italy, France and Belgium, with a general recovery elsewhere in Eastern European and Mediterranean markets. It plans to raise prices in all areas except for India and Thailand.

The group also announced that it has completed the procedures for the sale of non-core assets to Italmobiliare, under the agreements signed by Italmobiliare with HeidelbergCement. Italcementi will sell to its parent Italmobiliare the stakes it holds in renewable energy company Italgen and e-procurement specialist BravoSolution, in addition to a building in the centre of Rome. The asset sales will be wrapped up on finalisation of the agreement between Italmobiliare and HeidelbergCement.