Benue Cement Company has declared a turnover of N18.9bn while posting a profit after tax of N9.41bn for the half-year ended June 30, 2010.

The company in a statement on Monday attributed the slip in turnover for the half-year to the high cost of sales as well as reduction in the product price.

 

The company had recorded a turnover of N8.84bn in the first quarter with a profit before tax of N4.5bn.

 

While heaving a sigh of relief as a result of the recent directives by the Federal Government which will lead to an increase in the utilisation rate of local cement production capacities, the directors of the company bemoaned the high costs of sales’ which characterised their operation for the half-year.

 

The company said, “For most part of the half-year, imported fuel was used for plant operation which adversely impacted on cost of sales…Selling prices during the period were, however, weak, leading to the reduction in turnover.

 

“However, with the recent return to operation of the local refineries, delivered cost of fuel at the plant has reduced.”

 

 

 

Source: The Punch