Tuesday, 17 November 2009 00:00
[ manilatimes.net ]
Holcim Philippines Inc. announced on Monday that its third quarter sales jumped as demand for cement grew by double digits because of higher private and public sector construction activities.
In a statement, the company said its sales in the third quarter grew 30 percent to P5.5 billion from P4.2 billion last year on the back of the 18-percent rise in cement demand, boosted by the “exceptional growth” in Mindanao.
Holcim said government projects in Mindanao—including the construction of Cagayan de Oro port, Lagundingan airport, and bridges and roads in Agusan del Norte, Davao Oriental and Maguindanao—used Holcim products.
Private sector-led construction projects for the business process outsourcing, housing and tourism sectors pulled demand up, the company said.
The third quarter is a “traditionally low season for the cement industry” since the rainy season is “historically a dry period for the cement industry.”
“But there was no such downtrend this year and, in fact, we experienced volume growth across all regions,” Ian Thackwray, Holcim Philippines chief operating officer (COO), said in a statement.
For the first nine months, the company’s net income doubled to P2.8 billion from last year’s P1.3 billion as revenues climbed by 23 percent to P16.9 billion from P13.7 billion a year earlier.
Earnings before interest, taxes, depreciation and amortization went up 6H0 percent to P5.8 billion as of end-September, from P3.6 billion last year.
“With further improvements in net working capital, the company succeeded in generating P5.8-billion cash flow from operating activities,” Holcim said.
The company said it expects the strong demand to go on until yearend.
BEN ARNOLD O. DE VERA
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