EAGLE CEMENT Corp. posted flat earnings of P1.4 billion in the third quarter, which it linked to the recovery of construction activity due to the relaxation of coronavirus-related lockdown rules.
In a statement on Tuesday, the cement manufacturer said it recorded net sales of P4.1 billion in the July-to-September period, down to 16% from a year ago.
But on a quarterly basis, the company’s net sales have improved almost triple or 192% against second quarter’s P1.4 billion.
“The resumption of major infrastructure projects and retail segment boosted sales. We are optimistic that fourth-quarter results will be better as more sectors of the economy are reopened,” Eagle Cement President and CEO John Paul L. Ang said in a statement.
In the nine months beginning on January, Eagle Cement’s net income stood at P2.7 billion, 43% down from the P4.7 billion it reported the same period last year.
Net sales during the period dropped 35% to nearly P10 billion, resulting in a gross profit decline of 39% to P4.1 billion.
To help it further in recovery, Eagle Cement is looking forward to completing its new mill in Bulacan by the first quarter of 2021. The facility will expand the company’s production capacity by 1.5 metric tons, increasing its total cement output to 8.6 million metric tons every year.
Shares in Eagle Cement increased four centavos or 0.25% to close at P16.04 each on Tuesday. — Denise A. Valdez