Raysut Cement Returns to Profitability with OMR 2.71 Million Profit in H1 2026

Raysut Cement Records OMR 2.71 Million Profit in First Half of 2026

Muscat: Oman’s cement industry continues to play a key role in supporting the construction and infrastructure sectors, with companies working to improve operational efficiency, strengthen competitiveness and expand their presence in local and international markets.

Raysut Cement Group recorded a significant improvement in its financial and operational performance during the first half of 2026, reporting a net profit after tax of OMR 2.71 million, compared with a loss of OMR 2.85 million during the same period of 2025.

The improvement was supported by higher sales volumes, increased operational efficiency and stronger contributions from key subsidiaries, including Pioneer Cement, Sohar Cement and Raysut Maldives.

Raysut Cement Group has an annual production capacity of approximately 3.47 million tonnes of clinker and 5.70 million tonnes of cement, supported by a regional distribution and export network.

The company is working to sustain the improvement in its operational and financial performance by increasing the utilisation of existing plants and expanding initiatives involving energy, alternative fuels and mining projects.

Under its “A New Dawn” strategy, the company is focusing on performance, results and accountability, alongside stronger teamwork and cost-management discipline. The programme aims to improve operational efficiency and maximise the value generated from existing resources and assets.

The company has also launched an operational transformation programme focused on increasing production efficiency, restructuring costs and maximising the utilisation of its assets and production capacities.

Focus on Operational Transformation

Engineer Ali bin Abdullah Al-Zadjali, Chairman of the Board of Directors of Raysut Cement Company, said the group’s financial performance reflects the positive impact of efforts to restore profitability and establish a more resilient and sustainable business.

He explained that the improvement resulted from measures including tighter cost control, enhanced operational efficiency, stronger commercial discipline, improved performance monitoring, better asset utilisation and the promotion of accountability and transparency across the organisation.

Al-Zadjali said the results demonstrate the effectiveness of the company’s transformation programme and provide a foundation for sustainable growth and stronger competitiveness.

He added that the next phase will focus on converting the recovery achieved into sustainable growth through continued operational discipline, energy-efficiency initiatives, improved utilisation of natural resources and assets, and greater use of investment and commercial opportunities.

Production and Human Capital

Salim Abdul Qader, CEO of Raysut Cement Company, said the company has achieved tangible improvements in production processes and operational performance through business reorganisation and a greater focus on efficiency and competitiveness.

He noted that the company returned to profitability during the first half of 2026 for the first time in six years.

The company’s production processes have undergone comprehensive improvements aimed at strengthening competitiveness, diversifying products and increasing customer confidence. Raysut Cement plans to continue implementing initiatives to improve operational and financial performance.

Tariq bin Salem Fadhil, Head of Human Resources at Raysut Cement Company, said the company is focusing on human-capital development, Omanisation, national talent development and creating a work environment that supports employee growth.

He said the group places emphasis on continuous training, knowledge transfer and providing employees with opportunities to develop the skills and experience required in the industrial sector.

The Omanisation rate at Raysut Cement Company reached 67%, while the rate at Sohar Cement Factory stood at 55%.

Digital Transformation and Energy Efficiency

Engineer Sulaiman bin Mohsen Al-Amri, Head of Information Technology at Raysut Cement Group, said the company has unified and connected systems across its subsidiaries, upgraded data centres and strengthened cybersecurity.

These measures have contributed to improving operational efficiency, accelerating decision-making, enhancing productivity and supporting business continuity across the group.

He said the company aims to expand smart solutions and interconnected systems while making greater use of artificial intelligence and data analytics to support innovation and productivity.

Devarajan, Head of Projects at Raysut Cement, said the company’s new operational strategy focuses on reducing energy, fuel and raw-material consumption per tonne produced.

He explained that the approach is expected to increase production from existing plants while reducing the cost per tonne without compromising quality and safety.

Improving production efficiency and reducing variable costs remain key priorities for the next phase, alongside maximising the use of existing plants and developing solutions that use energy and resources more efficiently.

Raysut Cement said the overall objective is to build a more efficient and sustainable company capable of responding to future market changes and achieving long-term growth.

The success of these initiatives is expected to strengthen the company’s resource and asset management, improve productivity and enhance its ability to achieve sustainable growth through greater control of variable costs.