LafargeHolcim to install Tk180 crore new mill
According to the company's disclosure filed on the Dhaka Stock Exchange, the Company shall install a mill for industrial use to improve energy efficiency and reliability at Surma plant in Chhatak, Sunamganj
LafargeHolcim Bangladesh will invest Tk180 crore to install a new mill at its Surma plant in Chhatak, Sunamganj, its board of directors decided in a meeting on 7 May.
In a regulatory disclosure, the listed cement multinational said the mill will help improve its energy efficiency and reliability.
The company, however, declined a request from The Business Standard for sharing the details of the investment plan.
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According to the latest disclosure, LafargeHolcim Bangladesh's revenue grew by 3% to Tk851.50 crore in January-March quarter of 2025.
In contrast, its profits declined by 16% year-on-year to Tk139 crore during the quarter, primarily attributable to elevated energy cost and softening in cement prices.
Iqbal Chowdhury, chief executive officer of LafargeHolcim Bangladesh, said in a statement, "In the first quarter, we achieved higher volume growth in two key business segments – cement and aggregates – reflecting our strong market performance and customer trust."
He added that the "Water Protect" and "Fair Face", two of the special cement products achieved an impressive growth of 27% which is a testament of consumer recognition of their unique strengths.
"However, our profitability was impacted by significantly higher energy costs and a softening in cement prices, both of which weighed on our margins. We are actively pursuing cost optimisation measures and exploring strategic pricing initiatives to address these challenges."
He further said that our focus on innovation and portfolio diversification continued to yield results.
Iqbal Chowdhury said, "Leveraging our global platform, Geocycle, the company co-processed over 10,000 tons of diverse waste streams in the first quarter, substituting nearly 10% of fossil fuels and advancing our green growth agenda."
The company remains dedicated to navigating current challenges with resilience and is optimistic that the strategic measures underway will drive improved performance in the periods ahead, he noted.
LafargeHolcim Bangladesh announced a 38% cash dividend for 2024, amounting to around Tk441 crore for the year.
The company is a joint venture of Holcim Group based in Switzerland and Cementos Molins of Spain.
Its share price closed 1.3% higher at Tk45.40 each on Thursday (8 May) at the Dhaka Stock Exchange (DSE).
