SAO PAULO, Aug. 9, 2011 /PRNewswire/ -- Eternit S.A. (BM&FBOVESPA: ETER3; OTC: ETNTY), a company with 71 years of activity and the market leader in roof coverings, panels and cement slabs, today announces its results for the 2nd quarter 2011 (2Q11).
Although 2Q11 is seasonally the weakest period of the year, Eternit operated at full capacity in its chrysotile mining business, above 90% in fiber cement production and in excess of 80% in concrete tiles.
Sales volume of chrysotile mineral in 2Q11 was 79.4 thousand tons, a growth of 6.6% compared with the second quarter of 2010, reflecting a carryover of shipments from 1Q11.
Compared with 2Q10, the fiber cement products area, which includes components for construction systems, reported a significant growth of 15.7%, totaling sales of 210.2 thousand tons, while the concrete tiles segment rose 14.8%, representing sales of 1,493 thousand square meters in the second quarter of 2011.
In 2Q11, the Company's net consolidated revenue amounted to R$ 201.0 million, a 13.2% improvement over 2Q10. This performance reflects the increase in sales volume of chrysotile mineral, fiber cement products and concrete tiles, in addition to price increases for all lines and in spite of the unfavorable foreign exchange rate prevailing for exports of chrysotile mineral.
Although margins are lower than recorded in 2Q10, Eternit implemented some initiatives for reducing costs and expenses, these measures already producing quarter-on-quarter improvements in the form of 2 additional percentage points in EBITDA margin and 1 percentage point in net margin. While taking into account foreign exchange devaluation, the increase in US dollar prices for chrysotile mineral was sufficient to maintain gross margins at 38%, stable in relation to 1Q11.
During the second quarter of 2011, the Company invested R$ 10.8 million, the notable aspect of the period being the increase in productivity at the Tegula subsidiary with the automation of the Atibaia/SP and Anapolis/GO industrial units.
Eternit invites all to the following events to discuss second quarter 2011 earnings.
Conference Call with Webcast (in Portuguese – simultaneous translation into English)
Presentation: Elio A. Martins – Chairman and Investor Relations Officer
Date: Wednesday August 10 2011
Time: 11:00 a.m. Brasilia time; 10:00 a.m. in New York and 3:00 p.m. in London
The presentation together with slides may be viewed on the website by registering through the site www.ccall.com.br/eternit/2t11.htm or through the Company's Investor Relations website: www.eternit.com.br/ri.
To listen to the presentation by telephone: (55-11) 4688-6361 to Brazil and (1 786) 924-6977 to other countries - Password for participants: Eternit.
Playback: the recording will be available from 08/10/2011 until 08/16/2011.
Telephone: (55-11) 4688-6312 Password for participants: 1686578.
Eternit S.A. – Relacoes com Investidores
Rodrigo Lopes da Luz - email@example.com
Barbara M. Tanure Goncalves - firstname.lastname@example.org
Phone: (55-11) 3813-6034 - (55-11) 3038-3818