Thanks to a balanced global and regional market presence and consistently pursued efficiency enhancement drives, the CHF 1.903 billion operating profit virtually matched the previous ye
Trang 1Corporate Communications Holcim Ltd
Zürcherstrasse 156 CH-8645 Jona/Switzerland
Phone +41 58 858 87 10 Fax +41 58 858 87 19
Media release
Holcim posts solid operating result in difficult
market environment
Jona/Zurich, March 19, 2003 – The Holcim Group achieved its operative
targets in 2002 Thanks to a balanced global and regional market presence and consistently pursued efficiency enhancement drives, the CHF 1.903
billion operating profit virtually matched the previous year's level despite heavy currency translation losses Adjusted for currency effects and
changes in the scope of consolidation, internal growth reached a solid 6.8 percent Special factors led to a 37.7 percent decline in Group net income
to CHF 506 million The Board of Directors will be proposing to the Annual General Meeting that an unchanged dividend be paid
Sales trends and financial results
Cement and clinker deliveries increased to 90.5 million t (2001: 84.3) Sales of aggregates
were lifted to 92.1 million t (2001: 89.5), and ready-mix concrete volumes reached 25.3
million m3 (2001: 25.5)
On consolidated net sales of CHF 13.010 billion (2001: 13.644) Holcim achieved an
operating EBITDA of CHF 3.341 billion (2001: 3.335), an operating profit of CHF 1.903 billion (2001: 1.945) and a Group net income after minority interests of CHF 506 million (2001: 812) Earnings per dividend-bearing bearer share came to CHF 12.97 (2001: 21.20) Cash flow
from operating activities amounted to CHF 2.388 billion, matching the previous year’s level
(2001: 2.402)
Key influencers
The decline in operating profit is attributable entirely to adverse currency factors Excluding parity shifts and changes in the scope of consolidation, operating profit increased by 6.8 percent Group regions Africa Middle East and Asia Pacific exerted a favorable impact on the operating result Latin America again made a significant contribution to the operating result The strong decline in Group net income after minority interests is primarily due to a CHF 120 million provision made in connection with a pending legal proceeding in Germany, write-offs of CHF 63 million on
decommissioned non-operating facilities in Argentina, a CHF 60 million increase in earnings tax, and write-offs of CHF 31 million on Holcim’s investment in Swiss International Airlines
Trang 2Investment activity
Net investments in property, plant and equipment were down by CHF 478 million to CHF 1.252
billion The sharp decline in investments reflects the completion of larger newbuild projects
Investments in existing plants to streamline and improve production and distribution processes
as well as in environmental protection and occupational safety amounted to CHF 917 million
(2001: 941)
Proposed dividend
The Board of Directors will be proposing to the Annual General Meeting on June 4, 2003 that an
unchanged gross dividend of CHF 5.- per bearer share be paid and CHF 1.- per registered share
Outlook for 2003
Thanks to the restructuring measures implemented, Holcim is well equipped to achieve robust
results even if the global economy takes a further turn for the worse Holcim is resolutely
focusing on sustainable efficiency increases, while subscribing to a strategy of selective
investment and generating a solid free cash flow
The Board of Directors and Executive Committee are convinced that the Group is ideally
positioned to profit to an above-average extent from an economic upswing
Key figures
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With majority and minority interests in more than 70 countries on all continents, Holcim is one of the
world's leading suppliers of cement, as well as aggregates (gravel and sand), concrete and
construction-related services The Group employs a workforce of some 50,000
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This media release is also available in German and French
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Corporate Communications: phone +41 58 858 87 10
Investor Relations: phone +41 58 858 87 87
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Internet: www.holcim.com
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Media conference: Wednesday, March 19, 2003, 09.00 a.m., Holcim, Hagenholzstrasse 85,
8050 Zurich