HeidelbergCement bouncing back slowly
Skip to main content
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Splash
  • Features
  • Videos
  • Long Read
  • Games
  • Epaper
  • More
    • COVID-19
    • Bangladesh
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Subscribe
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
The Business Standard
THURSDAY, MAY 19, 2022
THURSDAY, MAY 19, 2022
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Splash
  • Features
  • Videos
  • Long Read
  • Games
  • Epaper
  • More
    • COVID-19
    • Bangladesh
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Subscribe
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
HeidelbergCement bouncing back slowly

Corporates

Ahsan Habib Tuhin
26 October, 2020, 10:00 pm
Last modified: 26 October, 2020, 10:05 pm

Related News

  • HeidelbergCement merges assets acquired from Aditya Birla
  • Heidelberg Cement doubles sales in Bangladesh
  • Green Energy: Heidelberg Cement to install 152 KWp solar power plant 
  • Shrugging off Covid-19, HeidelbergCement saw good start to 2021
  • Heidelberg cement recommends no dividend

HeidelbergCement bouncing back slowly

The company witnessed a positive sign of business recovery, posting over Tk251 crore in revenue during July-September this year

Ahsan Habib Tuhin
26 October, 2020, 10:00 pm
Last modified: 26 October, 2020, 10:05 pm

HeidelbergCement Bangladesh, a Germany-based multinational cement manufacturer, is gradually coming back on track by overcoming the Covid-19 upshots, an unhealthy competition and higher financing costs.

During the post-shutdown period in Bangladesh, the company has witnessed a positive sign of business recovery, posting over Tk251 crore in revenue during the third quarter of this calendar year which is 42% higher than that in the second quarter.

Although it still incurred a loss of Tk2.72 crore during this period, the amount is over Tk14 crore less than the sum year-on-year.

Reduction in minimum tax (3% from 5%) on import of cement raw materials, change in market policy and decrease in production costs helped HeidelbergCement see a smaller loss during the July-September period, said a company official.

It is very difficult to make profit in the cement sector in Bangladesh because of an intense competition and policy uncertainties, he also said.

Unstable prices of clinker – the chief raw material for cement – in the international market as well as increase in dollar price in Bangladesh will not help the company maintain the low-cost production in the coming days, he further said.

Yet, HeidelbergCement is trying to maintain low-cost finance and supply chain for making profits, he added.

Another multinational company, LafargeHolcim Bangladesh Limited, posted revenue of Tk365 crore and net profit of Tk65 crore in the third quarter of this year, thanks to enhanced focus on supply chain management, contract negotiations, and improved production efficiencies.

Meanwhile, HeidelbergCement, for the first time as a multinational company after acquiring a local cement plant, did not pay any dividend for the 2019 calendar year due to the loss it suffered.

In the 2018 financial year, the company paid a 75% cash dividend to its shareholders.

Last year, it had acquired Emirates Cements Bangladesh and an adjacent small power plant for over Tk182 crore.

Besides, the company is also investing in expanding its own cement production facility near Dhaka.

HeidelbergCement also decided they will merge with Emirates Cements and Emirates Power, subject to shareholders and the High Court approval.

The company was listed in the Dhaka Stock Exchange in 1989 as Chittagong Cement Clinkers Grinder, which was later acquired by German multinational company Heidelberg.

Currently, sponsors and directors hold 60.67% of the company shares while institutional investors 26.08%, foreign investors 0.75% and general investors 12.50%.

The closing price of each Heidelberg share was Tk143.10 at the Dhaka Stock Exchange on Sunday. Over the previous 12 months, the share's highest price was Tk184.90.

Top News

Heidelberg Cement

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • Falling trade barriers and hyper-efficient logistics produced an age of abundance for many. But the last four years have brought an escalating series of disruptions.Source: Bloomberg
    Age of scarcity begins with $1.6 trillion hit to world economy
  • Turkey's President Tayyip Erdogan holds a news conference during the NATO summit at the Alliance's headquarters in Brussels, Belgium on 14 June  2021. Photo: Reuters
    Turkey has told allies it's a 'no' to Sweden and Finland's NATO bid - Erdogan
  • Photo: Courtesy
    Cabinet asks BB, finance, commerce ministries to report on prices of essentials

MOST VIEWED

  • Photo: Courtesy
    MoU signed between Alamgir Ranch and Daraz Bangladesh
  • Infinix’s HOT 12 available on Daraz
    Infinix’s HOT 12 available on Daraz
  • Photo: PR
    Grameenphone launches 'GP Academy' in partnership with Telenor and Cisco
  • Sonali Bank receives BB certificate of appreciation for disbursing loans 
    Sonali Bank receives BB certificate of appreciation for disbursing loans 
  • Bangladesh Krishi Bank receives appreciation letter from BB governor
    Bangladesh Krishi Bank receives appreciation letter from BB governor
  • IBBL and JPMorgan Chase Bank holds bilateral meeting
    IBBL and JPMorgan Chase Bank holds bilateral meeting

Related News

  • HeidelbergCement merges assets acquired from Aditya Birla
  • Heidelberg Cement doubles sales in Bangladesh
  • Green Energy: Heidelberg Cement to install 152 KWp solar power plant 
  • Shrugging off Covid-19, HeidelbergCement saw good start to 2021
  • Heidelberg cement recommends no dividend

Features

Sketch: TBS

'Food inflation is an unavoidable consequence of currency devaluation'

9h | Interviews
The open-browser-tabs question also tells an interviewer how much of an internet native the job applicant might be. Photo: Noor-a-Alam

The best question to ask a job applicant

9h | Pursuit
Illustration: TBS

Ugly business: Politics in workplace

9h | Pursuit
Illustration: TBS

‘Do you have insurance?’: Life of a life insurance agent

11h | Panorama

More Videos from TBS

How a university teacher and PHD holder become farmer

How a university teacher and PHD holder become farmer

3h | Videos
Dhaka University's Botanical garden home to some of world's rarest plants

Dhaka University's Botanical garden home to some of world's rarest plants

3h | Videos
Cannes Film Festival 2022 resumes after 2 years

Cannes Film Festival 2022 resumes after 2 years

1d | Videos
Pension is coming for all

Pension is coming for all

1d | Videos

Most Read

1
Representative Photo: Pixabay.
Bangladesh

Microplastics found in 5 local sugar brands

2
Mushfiq Mobarak. Photo: Noor-A-Alam
Panorama

Meet the Yale professor who anchors his research in Bangladesh and scales up interventions globally

3
The story of Bangladesh becoming a major bicycle exporter
Industry

The story of Bangladesh becoming a major bicycle exporter

4
How Bangladesh can achieve edible oil self-sufficiency with local alternatives
Bazaar

How Bangladesh can achieve edible oil self-sufficiency with local alternatives

5
Govt tightens belt to relieve reserve
Economy

Govt tightens belt to relieve reserve

6
PK Halder: How a scamster rose from humble beginnings to a Tk11,000cr empire
Crime

PK Halder: How a scamster rose from humble beginnings to a Tk11,000cr empire

The Business Standard
Top
  • Home
  • Entertainment
  • Sports
  • About Us
  • Bangladesh
  • International
  • Privacy Policy
  • Comment Policy
  • Contact Us
  • Economy
  • Sitemap
  • RSS

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net

Copyright © 2022 THE BUSINESS STANDARD All rights reserved. Technical Partner: RSI Lab