The TCL Group has recorded consolidated revenue of $534 million during the second quarter of 2022.
In the company’s Q2 financial statement, which was posted on the T&T Stock Exchange, Chairman David Inglefield said this represented a 20 per cent increase when compared to the second quarter of 2021.
He explained revenue for the quarter was positively impacted by increased cement sales in T&T, where there was a severe lockdown during this period in 2021, and also due to price increases implemented in most markets earlier this year.
The report also noted that on a year-to-date basis, the TCL Group recorded consolidated revenue from continuing operations of $1.1 billion, 13 per cent higher than that of the same period in 2021.
Inglefield also associated this increase with higher volumes in T&T as well as the company’s price increase strategy which had been implemented earlier in the year to offset the significant inflation in most input costs.
According to the report, the Group’s adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of $118 million in the second quarter of 2022 reflected an increase of nine per cent compared to the same period of the previous year.
“This quarter’s result reflects the positive impact of increased sales, and our management of escalating costs,” the statement said.
The TCL Group’s adjusted EBITDA for the first six months of 2022 was $246 million, a five per cent improvement on the same period during the prior year.
According to the report, this was as a result of improved cement sales locally and in Barbados that offset the significant inflation in input costs experienced.
Inglefield also reported that in the second quarter of 2022, the TCL Group reported net income of $54 million, compared to a net income of $38 million in the same quarter in 2021.
He said, “This increase was mainly driven by increased revenues partially offset by higher operational costs and other expenses incurred during the period.
“Net financial expenses including exchange losses, decreased by $9 million arising from the repayment of US$-denominated borrowings in Jamaica. On a year-to-date basis, the TCL Group reported a net income of $112 million, a 34 per cent increase over the prior year. This increase resulted from increased operating earnings and a 57 per cent reduction in financial expenses which were partially offset by higher other expenses and taxation.”
Inglefield added, “We are pleased with the TCL Group’s improved financial performance during the first six months. A performance driven by disciplined cost control, and the implementation of price increases that helped to contain margin erosion. Moving forward, we remain vigilant to potential impacts on business performance driven by high inflation and restrictions on the supply chain for our materials and services. The conflict between Russia and Ukraine has aggravated the situation, translating into increased costs in fuel, power, and shipping, as well as threats from new strains of the COVID-19 virus.”