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Huarun cement will become Hainan's largest cement manufacturer

2011-8-18   Source:   Browse:2602

In the cement new capacity limit not to relax and continued strong market demand, China Southern China region's largest cement Shang Huarun cement is expected this year, the District, cement market will demand exceeds supply. In addition, the company in the second half of the year will not significantly increase the cost of material, believe that cement Maori ( the unit contribution margin per ton ) and prices rise.
Huarun cement chief financial officer Liu Zhongguo said, the second half of the cement price will be available in the first half of the year based on the improved 15-20%," now in the second half of the year cost not inflated as well, so in principle to increase the proportion of the gross profit."
The first half of the year, the average price of Huarun cement cement annual promotion 21. In 2%, gross of approximately HK $120 per ton; period coal prices rose an average of 15. 7%.
Liu Zhongguo explained that, due to production costs accounted for the largest proportion of coal prices will be steady, even if the rise up to feed only about 5%, other cost is also very limited, so that the cement margin can follow per ton of cement prices rise.
Huarun cement board chairman Zhou Junqing said, to promote the green economy, and in accordance with the guidance of national policy, the company future aims and group system in Huarun power, Huarun venture 's brewery consists of circular economy industrial park, the plant production wastes are recycled. In energy saving and emission reduction at the same time, also can reduce the enterprise to the equipment investment, and indirect expansion cement production channels, through the new capacity is controlled to restrict.
Zhou Junqing says, this kind of environmental protection projects supported by the government, and is expected to get the government to give priority to build cement plant approval.
In 2009 the Chinese government promulgated the document No. 38, by September of that year to suspend the approval to build a new cement production line, it seems no signs of easing.
Will become Hainan's largest cement producers Huarun
It is understood, Huarun cement products including Guangdong Province, Guangxi, Fujian, Hainan and Shanxi. As of the end of 6, Huarun cement clinker and cement production capacity of 37600000 tons and 53400000 tons respectively, and 2012 year respectively company plans to increase to 59400000 tons and 78700000 tons of.
In the market, with Hainan cement the highest price, the first half of the average price of every tons of 448. HK $6, compared with Guangxi and Guangdong of HK $320 and HK $398 high 13-40%. The company's strategic development director Yu Zhongliang pointed out, the only three new dry process cement production, annual production capacity of 12000000 tons, which accounted for three of Huarun cement a share. Due to the construction of Hainan international tourism island, to cement strong demand, estimated this year demand amounts to 15000000 tons, in short supply, pushing up the price of cement.
Zhou Junqing said, the company is currently Sanya build grinding station, at the appointed time will be from Guangdong or Guangxi delivery to the local mixed into cement clinker. The estimated two to three years, the company in Hainan cement annual production capacity of up to 7000000 tons, has become the largest cement producers.
By the sales of cement and price all rises, Huarun cement year net profit rose 2 year-on-year. 4 times, to 20. HK $4500000000. The company and for the first time to distribute interim dividend per share, 0. HK $05.
Since this year, Huarun cement price rising almost 27%, outperform the Hang Seng index. HSI more than 12% of the decline over the same period. Its larger rival Anhui conch and China building materials earlier gains were nearly 51% and more than 60%.
Source: Reuters Chinese Web
[editor: Wang Hong]
Reprinted please specify" source: cement business network"