CEO Bheki Mthembu Leaves Cimerwa PPC Rwanda in Profits

CEO Bheki Mthembu Leaves Cimerwa PPC Rwanda in Profits

Rwanda leading cement manufacturer CIMERWA PPC ended 2019 on a high note as it registers a 20% year on year increase in sales volumes but the man behind this success is set to leave the country.

This comes on the back of a plant maintenance and upgrade in
2018 which saw the sole cement manufacturer in Rwanda optimizing its production
capacity to over 80% in 2019 as compared to 65% the previous year.

Bheki Mthembu – CIMERWA PPC’s CEO explained it was a
pleasure to drive the company to this success and before he leaves had
strategic intent behind the plant’s capacity upgrades to increase its
performance.

CIMERWA’s plant located in Rusizi district in the Western
Province currently produces 480,000 tonnes per annum as it looks to increase
capacity to 90% by mid-2020 and further to 100% by mid-2021 reaching its full
capacity of 600,000 tonnes per annum.

Addressing the media at CIMERWA’s Annual Financial Report
CEO Roundtable held at the Kigali Marriot Hotel on 05th December 2019, Bheki
Mthembu said as a highly capital-intensive business our upgrades needed to be
systematically undertaken.

The major investment upgrades which was commissioned in 2015 taking us from a capacity of 100,000 tonnes per annum to today’s capacity of 480,000 tonnes per annum are a testament to our commitment of meeting Rwanda’s macro infrastructure agenda.

Cimerwa advert in Rwanda

“We can only be proud of our accomplishment as we are now
officially a profit-making business in 2019 compared to previous years. The
profits we made this year will ultimately contribute to the ongoing capacity
scale up of our plant and giving back to the community.” Bheki said.

Bheki explained that above and beyond profit making and
optimizing production capacity, CIMERWA is a socially conscious and responsible
company that aims at giving back to the communities it operates in. This stems
from PPC Group’s purpose to fuel “A better life for all”.

CIMERWA has been involved in several Social initiatives
aptly dubbed “Because of CIMERWA” that aim at helping the community around the
Bugarama area and beyond.

These projects include a health clinic, a primary school, a
market in the town center of Bugarama, a tailoring workshop and in
collaboration with local authorities, has built a tarmac road that stretches
from the town center to the plant itself.

John Bugunya, the Chief Financial Officer at CIMERWA
highlighted key financial performance figures that showcase CIMERWA’s financial
success this year.

 The company witnessed
a 20% sales volume increase year on year which triggered a 24% revenue increase
year on year with a Rwf 4.45 billion profit before tax. John also expounded on
the key factors behind this financial growth.

“CIMERWA has had a successful year and we hope this year
acts as a precursor to many more profitable years. Most of our profits can be
attributed to the government’s unwavering focus and investment in the
development of the infrastructure sector.

Cimerwa was involved in key national development projects this past year including the Kigali Arena, the Bugesera International Airport which is still under construction, the new Prime Minister’s office, the new Gasabo District headquarters and many more.

“With this being said I cannot overlook the unflinching
support of our stakeholders along this journey and the trust our customers put
in the quality of our products.” Bugunya explained.

With vision 2020 here, CIMERWA’s plans to scale up to 90%
production capacity by the same year and 100% by mid-2021 are underpinned by
its commitment to deliver to the best of its ability to its loyal customers.
This is also part of the Government of Rwanda’s agenda to reduce cement imports
by gearing up local production.

Next year Cimerwa said that it intends to launch a wider
“range” of products with the aim of meeting our customer’s specific application
said CEO Bheki