Fuel price bottom behind us, cement makers say

摘要

Global cement makers are warning investors that the earnings boost from low petroleum coke and coal prices has likely come to an end. Major cement producers including LafargeHolcim, Heidelberg Cement, Cemex and Buzzi Unicem all said historically low petroleum coke and coal prices led to significant cost savings in the first two quarters. But the companies recognize that the bottom of these markets has probably passed, and fuel costs are likely to increase in the second half of this year. “Our feeling is that we enjoyed the best, or the lowest, level in the first half,” Italy-based Buzzi Unicem’s managing director Pietro Buzzi said. “We are more likely to see, probably not a big rebound, but yes, a rebound on energy sectors with a negative impact on profitability versus what we had in the first half.”