Message Mer 29 Juil 2009 17:21

ZCCM records a K272,459 million net loss for the 6 months to

Paru le 17/07/2009
Le lien : http://www.pangaeapartners.com/zambia/weekJuly0309.htm

ZCCM records a K272,459 million net loss for the 6 months to December 31, 2008 - ZCCM-IH has recorded a net loss of K272,459 million in the 6 months period to December 31, 2008 compared to K67,028 million recorded in the 6 months period to December 31, 2007. The loss was attributed to the depreciation of the kwacha against the US dollar from K3,193 as of July 1, 2008 to K4,810 as of December 31, 2008, after the translation of foreign denominated liabilities, resulting in an Exchange loss of K308,617 million for the period compared to K15, 084 million for the period to December 31, 2007.

Turnover was K128,319 million and was down by 14% on K149,681 million for the corresponding period in 2007. The reduction was mainly as a result of a significant decrease in metal price participation income which was K25,390 million for the period under review compared to K70,757 million for the corresponding period in 2007. The reduction in price participation which is received from two of the Investee Companies was due to the fall in metal prices during the period under review.

The Cost of Turnover increased to K60,922 million, compared to K54,173 million for the corresponding period to December 31, 2007, due to the increase in price of Heavy Fuel Oil at Ndola Lime Company as utilisation remained fairly constant. Due to the reduction in turnover coupled with the increase in cost of turnover, operating profit reduced significantly to K67,397 million for the 6 months to December 31, 2008 (K95,508 million for corresponding period in 2007).

However, lime sales increased to K79,941 million (2007: K56,851 million). This was mainly due to an increase in both limestone prices and quantities during the period under review.

The Group’s results include the consolidation of Maamba Collieries Limited (MCL) in which ZCCM-IH acquired a 100% shareholding as of November 19, 2007. There has been no turnover from MCL which is currently not producing due to ongoing rehabilitation of the mine. The rehabilitation costs amounted to K18,016 million for the period to December 31, 2008. Production is expected to commence in April 2009 with projected monthly production of 62,500 tonnes.

ZCCM-IH and its subsidiaries – Unaudited 6 months to December 31, 2008 results (voir tableau sur Pangea )