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| Holcim reports third-quarter results Swiss cement maker Holcim said demand for building materials decreased further in the third quarter. Holcim has reduced production capacity by roughly 10 million tonnes of cement in markets with weak demand. In the period from January to September, Holcim saved CHF 573 million in fixed costs. Consolidated cement deliveries decreased by 8.9 percent to 99.1 million tonnes in the first nine months. Sales of aggregates also fell by 18.9 percent to 103.2 million tonnes, and volumes of ready-mix concrete sold were down by 17.8 percent to 30.4 million cubic meters. Asphalt sales amounted to 8.1 million tonnes, which represents a decrease of 21.4 percent. Group net sales declined by 18.4 percent to CHF 15.8 billion, impacted mainly by lower volumes. Operating EBITDA fell by 17.2 percent to CHF 3.6 billion, and the related margin reached 22.9 percent, which is higher than the corresponding previous year’s figure of 22.6 percent – a strong signal that the Group has gained in efficiency. Net income decreased by 25.2 percent to CHF 1.6 billion. Net income attributable to shareholders of Holcim Ltd declined by 31 percent to CHF 1.2 billion. The downturn in profit primarily reflects the poor business development in Europe. Reductions in sales volumes decreased in the third quarter. Due to cost savings, operating EBITDA and net income increased like-for-like by 5.5 percent and 13.7 percent respectively. write your comments about the article :: © 2009 Construction News :: home page |