Uzbekistan's largest cement producer sees decrease in profit

Business Materials 16 December 2017 13:01 (UTC +04:00)

Tashkent, Uzbekistan, Dec. 16

By Mamed Dashdemirov – Trend:

The net profit of Kuvasaycement JSC (Fergana region), the third largest cement enterprise in Uzbekistan, declined by 3.3 times in the first nine months of 2017 compared to the same period in 2016 and amounted to 14.3 billion sums.

Revenues from the sale of the enterprise's products increased by 3.4 percent during the reporting period and reached 236.7 billion sums by Oct.1, 2017, the cost of production jumped up by 7.5 percent to 93.5 billion sums, profit before payment of tax decreased by 34, 1 percent, to 81 billion sums.

The Kuvasaycement enterprise was put into operation in 1932 and was privatized in 1995. The statutory fund of Kuvasaycement JSC was formed in the amount of 606.3 million soums. IN 2016, dividends were paid in the amount of 110,200 sums per common share and 33,000 sums - preferred shares compared to 102,300 sums and 30,700 sums by the end of 2015.

The production capacity of Kuvasaycement JSC is 1.1 million tons of cement and 886,000 tons of clinker per year. The enterprise produces sulfate-resistant Portland cement SSPTS 400 D20, Portland cement with mineral additive PC 400 D20, as well as Portland cement for the production of asbestos-cement products. Raw materials are local materials and from Kyrgyzstan.

Currently, there are five large cement producing enterprises operating in Uzbekistan with an aggregate capacity of 7.8 million tons (including small plants -8.5 million tons). In addition to the Kuvasaycement JSC, there operate JSC Kyzylkumcement - 3.1 million tons, JSC Akhangarancement, which is part of the holding company Eurocement Group - 1.7 million tons, Jizzakh Cement Plant (Almalyk GMC) - 1.1 million tons and JSC Bekabadcement - 818,000 thousand tons.

The products are exported to Afghanistan, Kazakhstan, Kyrgyzstan, Tajikistan and Turkmenistan.

The exchange rate for Dec.16 is 8093 UZS / USD.