Confidence Cement to grab new mkt
Company Profile | Saturday, 16 April 2011
Company Profile
Confidence Cement Limited (CCL) is the the first private sector cement manufacturing company in Bangladesh established in early 90's with having 4,80,000 M/T annual production capacity at Chittagong. It manufactures Portland Composite Cement. CCL is the first ISO-9002 certified cement manufacturing company in Bangladesh. Key Revenue Drivers Sale of Portland Composite Cement (PCC) through the brand namely 'Lion Brand Cement' is the key revenue driver. Company Insight Confidence Cement Limited has pursued innovative and aggressive business strategy and seeks to seize large market by reaching mass people through economies of scale. CCL's main target sales zone is in Chittagong. Financial Performance In FY09, CCL achieved net profit after tax of BDT 143 million against the loss of BDT 28 million in FY08. The local sales revenue increased by 4 per cent whereas, export sales decreased by 46 per cent in FY09. Company had produced 223,139MT cement during FY09 against 208,434MT (7% growth) in FY08. But reduction of factory overhead cost by 18 per cent decreased the COGS significantly. Moreover, 67% reduction of financial charges had also fueled profitability of CCL in FY09. Capital gain of BDT 28 million compared to BDT 2 million in FY08 was another stimulator factor in the earnings of CCL. So, the robust growth in profitability in FY09 of CCL was mainly due to cost reduction, proper planning of raw materials procurement & handling shipment schedule and higher capital gain. The company reported net profit after tax of BDT 175.21 million with EPS of BDT 5.37 (restated) for the period of nine months (Jan'10 to Sep'10) ended on September 30, 2010.
Confidence Cement Limited (CCL) is the the first private sector cement manufacturing company in Bangladesh established in early 90's with having 4,80,000 M/T annual production capacity at Chittagong. It manufactures Portland Composite Cement. CCL is the first ISO-9002 certified cement manufacturing company in Bangladesh. Key Revenue Drivers Sale of Portland Composite Cement (PCC) through the brand namely 'Lion Brand Cement' is the key revenue driver. Company Insight Confidence Cement Limited has pursued innovative and aggressive business strategy and seeks to seize large market by reaching mass people through economies of scale. CCL's main target sales zone is in Chittagong. Financial Performance In FY09, CCL achieved net profit after tax of BDT 143 million against the loss of BDT 28 million in FY08. The local sales revenue increased by 4 per cent whereas, export sales decreased by 46 per cent in FY09. Company had produced 223,139MT cement during FY09 against 208,434MT (7% growth) in FY08. But reduction of factory overhead cost by 18 per cent decreased the COGS significantly. Moreover, 67% reduction of financial charges had also fueled profitability of CCL in FY09. Capital gain of BDT 28 million compared to BDT 2 million in FY08 was another stimulator factor in the earnings of CCL. So, the robust growth in profitability in FY09 of CCL was mainly due to cost reduction, proper planning of raw materials procurement & handling shipment schedule and higher capital gain. The company reported net profit after tax of BDT 175.21 million with EPS of BDT 5.37 (restated) for the period of nine months (Jan'10 to Sep'10) ended on September 30, 2010.