HOLCIM Philippines Inc. said its net income in 2015 increased by more than half to P8.1 billion, thanks to a one-time gain from the revaluation of its investment in an affiliate.
Eduardo Sahagun, Holcim Philippines president and CEO, said Wednesday that the company’s net income in 2015 was 59 percent higher from the previous year’s P5.1 billion.
The one-off gain added some P2.6 billion to the net income. Excluding the one-time gain, net income stood at P5.5 billion, or just an 8 percent increase from a year earlier, the company said.
Revenues rose 15 percent to P37.5 billion from the previous year’s P32.64 billion driven by higher sales.
It said demand was fueled by increased private and public construction as total industry registered growth of 14.3 percent last year. In particular, the government accelerated its infrastructure spending during the second half of 2015, the company said.
Sahagun said investments in its facilities enabled the company to achieve better operating efficiency.
“The local cement market has greatly changed due to the sustained investments of the public and private sectors in the past years. Serving the market required us to act differently and we did just that by pushing our plants to new limits and strengthening our logistics operations,” he said.
He added that efforts to raise annual capacity to 10 million tons from 8 million tons is currently underway, and that the company will allocate some P2 billion this year for capital expenditures, about the same amount as in the previous year.
“We are confident that we can grow by another double-digit rate this year because of the strengthening performance of the industry as a whole,” he said.