Friday, February 20, 2015
Tropical cyclone pounds Australia
Tropical Cyclone Marcia packed powerful winds as it slammed into Australia's eastern coast Friday morning.
Mian Mansha plans $300 million cement plant in Pakistan
Mian Mansha’s DG Khan Cement Ltd — the county’s third-largest maker of the construction material – plans to build an $ 300 million plant near Karachi as economic growth boosts demand, Bloomberg reported on Thursday.
“There will be a shortage domestically in three years if there is 10 percent growth in demand each year,” Chief Financial Officer Inayat Ullah Niazi said in an interview at the company’s headquarters in Lahore on Thursday. The company’s two cement plants have operated near full capacity in the past two years, Bloomberg reported.
The company is building its first plant since 2007. Pakistan’s output is projected to expand 4.3 percent in the year ending June 30 and 4.75 percent in the following fiscal year by the International Monetary Fund, the news outlet reported.
The new plant near Hub, west of Karachi, will produce about 2 to 2.5 million tons of cement a year, Niazi said. Construction is targeted for completion late in 2018. The plant will be financed 40 percent through internal cash and the rest through debt, Niazi said.
“Expansion means the company will enter the southern region of the country,” Tahir Abbas, an analyst at brokerage Arif Habib Ltd. said by phone in Karachi. “This will impact the entire industry and could start a price war.”
Earnings
Earlier in the month, DG Khan Cement announced a net income of Rs3.39 billion for the first six months ended December 2014, up by a healthy 27% compared to Rs2.67 billion in the same period of previous year.
Earnings per share (EPS) also jumped to Rs7.75 compared to an EPS of Rs6.09 in the first half of the previous year.
On a quarterly basis, the company’s earnings surged by 93% quarter-on-quarter (QoQ) to Rs2.24 billion or an EPS of Rs5.10 during the second quarter of fiscal year 2015.
“The earnings were significantly above our estimates due to higher-than-estimated other income and lower-than-expected taxation charges,” Global Research reported on Tuesday.
With stable off-take and prices, the revenues increased by 2% year-on-year (YoY) to Rs12.66 billion during the first half of fiscal year 2015 because of an improved sales mix.
Revenues jumped by 18% QoQ to Rs6.8 billion during the second quarter because of a likely 16% QoQ increase in total off-take to one million tons.
Margins of the company declined by one percentage point YoY to 33% during the first half because of higher average energy costs and increased maintenance expenditures.
On a quarterly basis, margins recovered by three percentage points QoQ to 34% because of higher volumetric off-take and an improved sales mix.
DG Khan Cement’s other income improved by 18% YoY to Rs1.13 billion during the first half because of higher income from its investments. Meanwhile, other expenses declined by 11% YoY to Rs315 million during the first half because of a lower quantum of exchange losses.
Financial charges plummeted by 57% YoY to Rs156 million because of a 43% YoY decline in the company’s average debt to Rs5.3 billion.
On a quarterly basis, financial costs increased by 34% QoQ to Rs89 million during the second quarter because of an increase in short-term borrowings.
Mother and child safety a top priority, says PM Nawaz
ISLAMABAD: Prime Minster Nawaz Sharif said on Friday that mother and child safety through proper immunisation and better nutrition are a major priority for the government.
He was talking to a high-level mission of the Global Alliance for Vaccines and Immunization (GAVI) led by GAVI CEO Dr Seth Berkley at the PM House. Other members of the delegation included WHO Regional Director for the Eastern Mediterranean Dr Ala Alwan and Bill Gates Foundation Global Development Program President Dr Christopher Elias.
Excellent mtg with Prime Minister Nawaz Sharif & senior leadership of @gavi high level mission; honest discussion of immunisation challenges
— Seth Berkley (@GaviSeth) February 20, 2015
The prime minister said that routine immunisation is important and that provincial governments have been directed to take effective measures for speeding up the process so that the areas lagging behind in immunisation can catch up.
The delegation appreciated the personal interest the prime minister took, and the Health Ministry’s role in the implementation of the polio eradication programme and routine immunisation. They also appreciated the Punjab government for setting a target of 80% coverage in routine immunisation in the province by the end of the year.
Just finished a press conference with @WHO & @UNICEF leadership in #Islamabad on improving Pakistan EPI performance pic.twitter.com/SFqXyyXmFv
— Seth Berkley (@GaviSeth) February 19, 2015
Federal Minister for Health Saira Afzal Tarar informed the premier that the confusion regarding procurement of vaccines in the aftermath of the 18th Amendment has recently been cleared and now the federal government will procure vaccines through a National Procurement Committee composed of representatives from all provinces. She said this would not only streamline the system but also save Rs1 billion annually.
Grt for @gavi high level mission 2meet w Pakistan Minister of National Hlth regul. services & coord Saira Azal Tarar pic.twitter.com/avNuYcC6ak
— Seth Berkley (@GaviSeth) February 19, 2015
Talking about the polio eradication initiative, she said a concrete and robust plan has been put in place and its proper implementation would bring about drastic reduction in polio cases.
The WHO representative informed the meeting that 25% reduction can be brought about in child mortality in Pakistan through immunisation and 30% cases of child mortality can be prevented through better nutrition.
#DYK? ~3 million kids in #Pakistan miss out on a full course of basic vaccines every year. Together we can change that! #vaccineswork
— Gavi (@gavi) February 19, 2015
The prime minister said these two are closely linked to each other and concerned provincial government departments should work in coordination with the Ministry of Health to overcome the challenges. He said international best practices should be replicated in Pakistan to achieve better results.
The delegation appreciated the ministry of health for taking the bold step of increasing tobacco health warnings.
Federal Minister for Planning and Development Ahsan Iqbal also attended the meeting.
Is Seville Europe’s greatest cycling city?
A few years ago, barely anyone in this southern Spanish city rode a bike. Now two-wheeled transport is growing exponentially.
Cyclone lashes Australia
Tropical Cyclone Marcia packed powerful winds as it slammed into Australia's eastern coast Friday morning.