2013 is expected to be another challenging year for Titan Group.
The economy in Greece will contract for the sixth consecutive year. Building activity will continue to be tested by the lack of liquidity, the high stock of unsold homes and over-taxation. It is therefore forecast that there is scope for a further decline in demand for building materials from its already extremely low levels.
Markets in Southeastern Europe will continue to be affected by the ripples of the Eurozone crisis. Demand for building materials is not expected to recover soon.
In Egypt, political and economic woes appear to be escalating in recent months and the outlook is extremely uncertain. Against such a backdrop, the smooth operation of the plants is being compromised and production costs have been increasing. Although current estimates point to even a marginal increase in cement demand in 2013, the increase in the cost of production and the weakening of the Egyptian Pound are expected to negatively affect results.
Countering these circumstances, market conditions in Turkey remain positive.
In the USA, the residential market is clearly now in recovery thereby benefiting the market for building materials. Despite forecasts calling for an anemic recovery of the American economy at large, the Portland Cement Association (PCA) expects that cement demand will grow by more than 8% in 2013 and grow even further in coming years.
Facing up to the challenges of the times, Titan Group will continue to focus on reducing debt and cutting costs while remaining firmly committed however to the achievement of its longer term strategic goals.