Double digit rise in sales volume pushes company towards year on year growth
Listed local cement company Eagle Cement Corporation (EAGLE) welcomes the new financial year with positive results across the board as it posted a revenue growth of 6% to ₽4.0 billion for the first quarter of 2018 from ₽3.8 billion of the same period last year. EAGLE still managed a modest net income growth of 3% to ₽1.1 billion for the first quarter of 2018, despite the tight environment from the commodity price movements felt by the local market.
The company’s balance sheet continues to be strong. As of 31 March 2018, its total assets stood at ₽43.2 billion. Its debt-to-equity ratio is at 0.42 for the period, while financial debt-to-equity ratio is at 0.29 which are well-managed levels.
The growth rides at the back of the company’s increase in sales volume which is attributed to EAGLE’s long standing cost-effective and efficient production grounded on owning the country’s most-modern end-to-end cement manufacturing plant. The higher cement output, coupled with the company’s highly capable team, contributed to EAGLE’s ability to meet demands in more markets.
“We remain confident about the future as private consumption continues to drive our economy coupled with the infrastructure boom. We are constantly looking at opportunities to grow the company, at the same time continuously manage costs to maintain our competitiveness,” EAGLE President and Chief Executive Officer Paul Ang said.
EAGLE’s third production line in Bulacan is set to commence operations this year. This will add two million metric tons to the company’s current annual production capacity of 5.1 million metric tons, and allow EAGLE to strengthen its service capabilities across northern and central Luzon, and to new markets in MIMAROPA, Bicol, and Western Visayas regions.
The company’s fourth production line in Cebu, which is set to add another two million metric tons to EAGLE’s output, is also undergoing construction and will be operational by 2020.