Fujian Cement disclosed its semi-annual report on the evening of August 23. In the first half of 2024, its operating income was 711 million yuan, down 30.71% year-on-year; its net profit loss was 105 million yuan, down from the same period last year. During the
reporting period, real estate investment continued to decline and infrastructure investment slowed down, which directly affected the demand for cement, and this trend became more obvious after the Spring Festival, resulting in a continuous decline in the demand for cement. At the same time, the continuous rainfall for a long time also affected the construction of the project, further weakened the market demand for cement, intensified the market competition, and led to the decline of cement sales volume and price.
During the reporting period, the company's cement sales decreased by 577900 tons, and the average price of cement decreased by 45.03 yuan, or 17.26%.
The announcement said that the company's production costs were mainly affected by coal and electricity prices. During the reporting period, the purchase cost and labor cost of raw materials such as coal decreased. The company's average sales cost per ton of cement decreased by about 45.71 yuan, or 16.51%. During the reporting period, the company suspended the production of high-cost Strait Cement and reduced the marketing scale of Jinyinhu Cement, which had a positive impact on the year-on-year loss reduction.
