(Alliance News) - Cementir Holding Spa reported Thursday that it ended 2023 with revenues of EUR1.69 billion, down slightly from EUR1.72 billion in 2022.

Grey, white and clinker cement sales fell to 10.7 million tons from 10.8 million tons in 2022 due to a slowdown in Denmark, Belgium, the U.S., Egypt and Malaysia while there were improvements in Turkey and China.

Concrete sales dropped 11 percent to 4.3 million cubic meters from 4.8 million, and aggregates declined 10 percent to 9.4 million tons from 10.5 million tons.

Ebitda, on the other hand, rose to EUR411.1 million from EUR335.2 million, accounting for 24.3% of revenues from 19.5% a year earlier.

Operating income rose to EUR278.3 million from EUR204.4 million and financial income fell to EUR12.4 million from EUR32.0 million, with pretax income rising to EUR290.7 million from EUR236.4 million.

Net cash as of December 31, 2023 was EUR217.6 million compared to net cash of EUR95.5 million as of December 31, 2022 and includes the dividend distribution of EUR34.2 million in May. These amounts include EUR82.3 million due to the application of IFRS 16 from EUR73.0 million as of Dec. 31, 2022.

The company also updated its 2024-2026 business plan, forecasting revenues of EUR2 billion, Ebitda of EUR425 million, sustainability investments of EUR100 million over the plan period and annual investments of EUR80 million for production development, and a net cash position of EUR600 million at the end of the plan, resulting from cash generation of EUR500 million before dividend payments.

As for coupons, a payout ratio of between 20 percent and 25 percent of net income for the period is planned.

By 2024, the group expects to achieve consolidated revenues of about EUR1.8 billion, EBITDA of about EUR385 million and a net cash position of about EUR300 million. Planned investments are about EUR135 million from EUR104.2 million in 2023, including about EUR48 million in sustainability projects. Research and development expenses are expected to be stable compared to 2023, as is the average number of employees. The group does not anticipate the need for new external financing, given the cash generation and net cash position expected by year-end.

Cementir Holding's stock is up 0.2 percent at EUR9.92 per share.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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