Listed roofing products manufacturer,
The group's exports into the region have been hit by national lockdowns that countries have been imposing to curb the spread of the Covid-19 virus, which emerged at the end of 2019. To date over 3 million deaths have been recorded from countries across the globe, according to
"
The weakening exports trend has continued from the group's performance last year. For FY2020,
Overall volumes were however slightly improved as the group saw improved capacity utilisation from the prior comparable period.
"Group sales volumes marginally increased by 1 percent over the same period last year despite the two months lockdown in the period under review.
"Building products, concrete and AC pipes contributed 51 percent, 48 percent and 1 percent of the volumes, respectively," said the chairman.
"Building products have declined by 21 percent compared to last year same period whilst concrete products increased by 43 percent for the period under review. Capacity utilisation improved to 60 percent compared to 57 percent same period regardless of the effects of Covid-19."
The group expects performance to improve in the present and next quarters.
"The group projects a better Q2 performance than Q1, anchored on a continued volume growth trajectory and cost containment.
"Volumes are expected to grow further in the third and fourth quarter on the back of production efficiencies, aggressive sales strategy leveraging on a re-modelled route to market."
Meanwhile, management has indicated that the
The State pensions authority is the largest shareholder in
Demand for building materials locally surges during the peak of the construction season that runs from April to November.
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