HOLCIM Philippines, Inc. reported a 61% drop in profit last year after a sluggish construction sector and tight competition hurt the company’s performance, it told the stock exchange on Friday.

Holcim netted P2.688 billion last year, down from 2016’s P6.845 billion.

“The construction growth slowdown, tighter competition and increased input costs affected our financial performance in 2017. But we reacted swiftly to mitigate these challenges,” Sapna Sood, Holcim Philippines president and chief executive officer, said in a statement.

The company said prices had been hit as competition further tightened with the influx of imported cement, causing revenues to decline by 13.9% to P34.7 billion in 2017.

“Despite a challenging 2017, we pursued initiatives and continued investments that prepare us for the opportunities ahead in one of the best-performing economies in the region,” Ms. Sood said.

Holcim said with the lower revenues and higher production expenses largely caused by increased fuel prices, consolidated operating earnings before interest, taxes, depreciation and amortization fell by 49.6% to P5.4 billion.

On Friday, shares in Holcim Philippines fell 1.39% to P9.90 each. — V. V. Saulon