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[August 2004]
Imerys Announces Pick-Up in Sales Volumes and Strong Results Growth
Imerys said that growth picked up speed throughout the first half of 2004. The second quarter was marked by healthy activity overall, with an upturn on paper and abrasive markets and the continuation of the positive trends of Q1 2004 in refractory and construction-related markets.
In that context, sales improved by 4.5% for the first half (up 8.4% in the second quarter). At comparable perimeter and exchange rates, the growth was +7.2% (+9.5% in Q2). These trends came with a substantial rise in both operating income, up 16.2%, and net income from recurring operations, up 17.4%.
As perimeter effects were limited and exchange rates impact negative, Imerys said that this change reflected the important positive contribution of higher sales volumes, the firm price/mix component and the results of cost reduction programmes. All four business groups, particularly Building Materials and Specialty Minerals, contributed to this improvement.
The period was also marked by the generation of substantial operating cash flow, which increased compared with the first half of 2003. In parallel, the strategic capital expenditure programme announced by Imerys, mainly in calcium carbonates for paper through industrial projects in India, China and Sweden, was said to be progressing according to plan.
ENDS