PARIS, July 26 (AFP): French cement giant Lafarge, set to merge with Swiss rival Holcim, announced on Friday an increase in second-quarter net profit, off the back of successful cost-cutting and a strong showing in Asian and South American emerging markets.
Lafarge and Holcim, both of which have international activities, intend to create a giant materials group with their merger, due to be completed in the first half of 2015.
The Lafarge group posted a net profit of 205 million euros ($275 million) in the second quarter, up 2.0 per cent from the equivalent figure last year, but over the first six months it plunged by 16.6 per cent to 70 million euros.
Hampered by the relative strength of the euro compared to emerging market currencies, Lafarge's first-quarter sales slumped 4.0 per cent to 6 billion euros, which at constant exchange rates represented a 6.0 per cent increase.
Underlying operating profit as measured by earnings before interest, tax, depreciation and amortisation (Ebitda) fell by 1.0 per cent in the first quarter to 1.1 billion euros, a gain of 13.0 percent on a comparable basis.
Lafarge profits up in Q2
FE Team | Published: July 27, 2014 00:00:00 | Updated: November 30, 2026 06:01:00
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