Search filter
Tags
Tags
Back

Cementos Portland Valderrivas expands revenues after three years of market slowdown

05/05/2011

Cementos Portland Valderrivas expands revenues after three years of market slowdown

Cementos Portland Valderrivas increased sales of cement, concrete and aggregate in the first quarter of 2011 compared with the same period last year. This marks a turning point as it is the first increase in 13 quarters, i.e. since the fourth quarter of 2007. The group maintains its policies to maximise cash flow, control capital expenditure, and pursue efficiency and innovation to weather the crisis and emerge stronger when the cycle changes.
Cementos Portland Valderrivas expands revenues after three years of market slowdown

First quarter earnings were impacted by the ongoing economic situation in Spain and the US, the sharp increase in energy costs and adverse weather conditions. Revenues totalled 187 million euro, EBITDA 37 million euro, the EBITDA margin was 20%, and income attributable to the parent company amounted to -10.9 million euro.

The Group remains strategically committed to energy-from-waste and the use of alternative raw materials. Thermal substitution in Spain increased from 5.5% in 2010 to 9.8% in the first quarter of 2011. The use of alternative raw materials increased to 5%. This strategy is hugely beneficial considering the increase in the prices of electricity (22%) and petcoke (44%) in the first quarter.

The 2011 Excellence Plan, which is starting to bear fruit, is the continuation of Plan 100+, which enabled the company to obtain recurrent savings of over 121 million euro in two years. Improvements in the quarter are attributable to additional cost adjustments. New revenues will become visible in the coming quarters.

As regards Corporate Social Responsibility, Cementos Portland Valderrivas group has been recognised again as the leading Spanish cement company by the Spanish Monitor of Corporate Reputation (MERCO). It is the only cement group in MERCO's TOP-100.

The company's General Shareholders' Meeting will be held in Pamplona on Wednesday, 11 May.

Images