Filtered Press Release : 2024 Aug

CIOB Green Awards 2024: Tokyo Cement wins Gold & Silver for sustainable leadership in construction

Tokyo Cement Group recently had the honor of reaffirming its Sustainable Leadership status in the Construction Industry by winning two prestigious awards at the Annual Green and Sustainability Awards 2024.

The company’s revolutionary new product, TOKYO SUPERSET Multi-Purpose Mortar, received the Gold Award, whilst its innovative solution, Pervious Concrete from Tokyo Supermix (Pvt) Limited; the Group’s Ready-Mix Concrete (RMC) business unit, secured the Silver Award in Sustainable Products and Systems category at the awards ceremony organized by the Ceylon Institute of Builders (CIOB).

TOKYO SUPERSET Multi-Purpose Mortar won Gold in the Sustainable Products and Systems Category at CIOB Annual Green Awards 2024

The 12th World Construction Symposium and Green and Sustainability Awards Night hosted by CIOB and the University of Moratuwa, offered a unique platform to share knowledge and insights on promoting sustainable built environments. It was followed by the Annual Green Awards ceremony, which recognizes outstanding sustainability efforts in the Sri Lankan construction industry, with the aim of promoting sustainable practices, foster innovation and inspire others.

Pervious Concrete by TOKYO SUPERMIX won Silver in the Sustainable Products and Systems Category at CIOB Annual Green Awards 2024

These two ground-breaking and revolutionary products winning the topmost accreditation at the Annual Green Awards stands proof of Tokyo Cement’s continuous commitment to environmental sustainability. Over the years the Tokyo Cement Group, being Sri Lanka’s largest manufacturer of cement, concrete, and cement-based value-added products, has received multiple accolades in recognition of its standard-setting sustainability practices that have transformed the local construction industry.

The TOKYO SUPERSET Multi-Purpose Mortar that was decorated in Gold at the Annual Green Awards 2024 is a revolutionary cement mortar application, which was introduced as an environmental-friendly and highly efficient solution for brick/block laying, internal and external plastering, and floor rendering. It is a pre-blended, ready-to-use solution that only requires the addition of water to apply, as opposed to the troublesome traditional method of preparing cement mortar. In addition to significantly reducing wastage compared to traditional mortar preparation, the Carbon Footprint of TOKYO SUPERSET Multi-Purpose Mortar is reduced further due to its special formula that uses non-toxic organic additives, graded manufactured sand and blended hydraulic cement, which also has a lower carbon footprint compared to that of Ordinary Portland Cement. The reduction in labor costs and time is further enhanced by improved coverage, spreadability, workability, and thin coat application features of the TOKYO SUPERSET Multi-Purpose Mortar, which collectively enhances application efficiency.

Pervious Concrete by Tokyo Supermix won the Silver Award in recognition of its unique mix design that allows water to infiltrate through its surface onto the underlying soil. This product contributes significantly to enhance the environmental sustainability of built environments by supporting natural hydrology and groundwater recharge networks, thus reducing the strain on stormwater drainage systems. Furthermore, the composition of pervious concrete can be adjusted to achieve the right level of porosity and water permeability to suit different site conditions and help eliminate water accumulation on outdoor surfaces such as driveways, sidewalks, courtyards, parking lots and even green roofs of eco-friendly building designs. The rise in demand for well-designed urban residential communities is rising nationwide, necessitating thoughtful micro-level town planning and eco-friendly design practices. As such, Pervious Concrete offers a versatile solution for sustainable water management and environmental stewardship, enhancing both the functionality and value of these developments.

Furthermore, Tokyo Cement Group’s unwavering commitment to promote sustainable construction practices is firmly attested through its distinguished product brand TOKYO SUPER Cement that has gained prestigious accreditations of Green Mark® (Singapore) Certification from the CIOB, and the GREENSL® Labelling System Certification from the Green Building Council of Sri Lanka (GBCSL), making it the Greenest Cement in the market.

Tokyo Cement has earned the reputation as the most trusted supplier of high-quality cement, concrete and cement-based innovative products in Sri Lanka, that have uplifted the local Construction Industry to global standards. By successfully integrating social welfare and environmental conservation into its mission to enrich the country, its people and the environment, Tokyo Cement Group has reaffirmed its position as the leading partner in Nation-building.

Tokyo Cement Group off to an optimistic start in FY24/25 Q1

Quarterly Financial Review Tokyo Cement Group (Tokyo Cement) reported a turnover of Rs. 11,665 Mn (a 3% decline over the same period of the previous year) and a Profit After Tax (PAT) of Rs. 707 Mn (a 18% decline over the same period of the previous year) for the 1st quarter ended 30th June 2024. …

Quarterly Financial Review

Tokyo Cement Group (Tokyo Cement) reported a turnover of Rs. 11,665 Mn (a 3% decline over the same period of the previous year) and a Profit After Tax (PAT) of Rs. 707 Mn (a 18% decline over the same period of the previous year) for the 1st quarter ended 30th June 2024. The decline in turnover compared to the previous year despite recording an increase in sales volume is due to the reduction in prices in the corresponding quarters.

Passing on the benefit of cost reductions to consumers, the cement industry announced two downward price revisions which brought the Maximum Retail Price (MRP) of a 50Kg bag of cement to Rs.2,250/-.

The Economic Environment

The calendar year started off with a positive economic outlook with the country’s year-on-year GDP for the first quarter of 2024 reporting a 5.3% growth.

The Rupee appreciating against the US Dollar facilitated reductions in the cost of imported raw materials, which in turn allowed for the price of cement and other building materials to be revised accordingly. The downward trend in policy interest rates throughout this calendar year, with the Standing Deposit Facility Rate (SDFR) and Standing Lending Facility Rate (SLFR) at 8.5% and 9.5% respectively, has encouraged investors to pursue fixed-term loans for construction projects.

Noteworthy tariff reductions in fuel, energy and utility services were implemented during the quarter. All of these factors allowed for a boost in purchasing power and investor confidence to a greater extent, thus stimulating steady economic growth.

Heavy rains from mid-May continued through June in most parts of the country, disrupting daily life, that included school closures, transportation service breakdowns, power outages, and hindered construction activities. Despite the inclement weather conditions cement consumption grew when compared to the same period last year.

The Government’s settlement of Rs. 200 Bn from the outstanding payments owed to state sector contractors eased cashflow issues faced by the industry, allowing for consistent purchasing of raw materials. This was reflected in the Sri Lanka Purchasing Managers’ Index for Construction Industry, which recorded 54.5 in May and 59.5 in June 2024, indicating a consecutive increase in total construction activities.

Outlook

Building on successful negotiations with the bilateral creditors, the government anticipates achieving similar debt relief from commercial creditors to support its steady economic recovery efforts. Furthermore, the government has committed to resume infrastructure projects worth an additional Rs. 55 Bn, which will contribute to boost sectoral growth. The downward trending policy interest rates are expected to further facilitate the commencement of new or paused projects, both retail and commercial. Historically, there has been a trend of accelerating construction projects in the lead-up to elections. The Company expects this trend to continue, driven by increased individual purchasing power and a stable economic environment, leading to sustained demand growth.

Whilst maintaining its conservative outlook for the short to medium term, Tokyo Cement remains optimistic of stabilisation of the country’s economic fundamentals as the year progresses. The Group will maintain the stringent cost control measures already in place to protect the interests of its stakeholders. The Tokyo Cement Group remains agile to the changes in the business environment and stands ready to be an active participant in the country’s efforts to reignite the economy.

Filtered Press Release : 2024 Aug

CIOB Green Awards 2024: Tokyo Cement wins Gold & Silver for sustainable leadership in construction

Tokyo Cement Group off to an optimistic start in FY24/25 Q1

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