EAGLE Cement Corp. reported a net income of P3.4 billion in 2020, falling by 44% as company operations were hit by lockdown measures imposed in mid-March last year in the wake of the pandemic.
“The halting of our operations due to pandemic-related restrictions took a hit on our results in the first half of 2020, but the remaining half proved that we are well-positioned to bounce back,” Eagle Cement President and Chief Executive Officer John Paul L. Ang said in a statement on Monday.
Full-year net sales dropped by 30% to P13.9 billion from P19.8 billion in 2019.
The listed cement manufacturer said it generated P8 billion in sales in the second half of the year, 35% higher than the company’s sales in the first half of 2020.
However, total sales in the second semester is still 14% lower than the P9.3-billion sales seen in the same period the previous year.
“We will continue to work on aggressive marketing and better pricing strategies for this year and this will be complemented by focusing on cost control initiatives in our operations, which will enable us to deliver better returns in 2021,” Mr. Ang said.
Eagle Cement also said it is in a “solid financial position,” which may help the company post a double-digit growth after the economy reopens and once vaccinations are widely rolled out.
Meanwhile, the cement maker’s expansion in Bulacan is expected to increase its production capacity by 1.5 million metric tons (MTT), allowing Eagle Cement to produce an annual cement capacity of 8.6 MTT.
“We are prepared to cater to the market’s demand now and in the future with our expansion underway,” Mr. Ang said.
The Bulacan expansion is said to be completed by the second quarter of the year, which will feature its fifth finish mill, third packhouse, and other supporting facilities.
On Monday, Eagle Cement shares at the stock exchange rose by 5.45% to close at P11.60 from P11 per share. — Keren Concepcion G. Valmonte