Accounting Jobs

Holcim net profit up 58% in Q2

LEADING CEMENT-MAKER HOLCIM Philippines posted a 58-percent growth in second-quarter profit from a year ago on the back of robust demand from large-scale infrastructure projects and low-cost housing across the country.

Holcim reported yesterday a net profit of P1.2 billion for the April-to-June period, higher than the P742 million in the same period last year. This brought the first semester net income to P2 billion, up 66.7 percent from the previous year’s P1.2 billion.

“It was a semester of exceptional performance and, with the government’s strong focus on infrastructure, coupled with continuing demand for housing, we hope to sustain this for the balance year,” Holcim Philippines chief operating officer Ian Thackwray said in a statement.

While North Luzon still accounted for the biggest volume and demand increased across all regions, Holcim reported it was from Mindanao where growth was “exceptional.”

“This was largely due to infrastructure projects funded by the government’s stimulus package. Robust housing construction activity was also sustained, following strong OFW (overseas Filipino worker) remittances and declining interest rates,” the company reported.

For the second quarter alone, revenues were up by 14 percent to P6 billion from a year ago, outpacing the industry-wide cement demand of 2.9 percent for the same period.

The company’s cash flow, as measured by its earnings before depreciation, amortization, interest and taxes (Ebitda), also jumped 33 percent to P2.2 billion in the second quarter from last year’s P1.6 billion.

Holcim generated revenues of P11.4 billion for the six-month period, up 20 percent from the P9.5 billion reported a year ago. The company also boosted its net working capital, generating P4.1 billion cash flow from its operating activities during the period.

Source: Inquirer